US conglomerate General Electric (GE) and a Singapore university said Thursday they will invest 100 million US dollars in a research facility aimed at helping solve the world's water problems.

GE Water, a unit of GE Energy, signed an agreement with National University of Singapore to establish the Singapore Water Technology Centre at the school's campus, a GE statement said.

The facility will "house GE scientists and engineers who will develop new solutions for low-energy sea water desalination, water reclamation and more efficient water use," it said.

It is expected to be fully operational by mid-2009.

About 1.1 billion people now lack access to safe drinking water and by 2025, about 2.8 billion will be living in water scarce areas, GE said.

The facility "will focus on solving some of the most pertinent water challenges, including alleviating the increasing water stress found in many parts of the world, including regions in China, India and the Middle East," it said.

Affluent but resource-starved Singapore, which imports much of its water needs from neighbouring Malaysia, has embarked on a major effort to use modern technology to achieve self-sufficiency.

Apart from man-made water reservoirs that dot the tiny city-state, Singapore is already recycling sewage for use in factories and homes. It is also selling water technology discoveries to the rest of the world.

In June, international water experts, urban development planners, industry leaders and policy makers will gather in Singapore for a conference on how to meet the world's future water needs.