USD 220 million to improve connectivity and promote regional integration in Bolivia
The funds will be allocated to finance the construction of two important tunnels and a corridor that will favor the country's internal connection and regional integration, through the West-South corridor
CAF, Development Bank of Latin America, approved a loan for USD 220 million to the Plurinational State of Bolivia for the construction of the El Salto - Monteagudo highway and the Cazaderos and Cazaderitos tunnels, located in the Department of Chuquisaca, which will become one of the greatest underground infrastructures in the country.
The project, which will be executed by the Administradora Boliviana de Carreteras (ABC) (Bolivian Highway Administrator), will provide multiple benefits. On the one hand, it will provide a better connectivity between the Departments of Chuquisaca, including the municipalities of Tomina and Hernando Siles toward the Department of Santa Cruz. This will promote an increase in productivity in the regional economies. At the same time, the works will favor a significant reduction in transportation costs and times, enabling uninterrupted traffic through the highway year round. The project will also complement the construction of the Diagonal Jaime Mendoza, connecting a vital national and international integration corridor that enables a direct connection between Bolivia, Argentina, and Paraguay .
Enrique Garcia, CAF's Executive President, stated, "Investments in first class infrastructure are essential for inclusive development and economic growth in Bolivia, as they generate more national and international connections, strengthen productivity and competitiveness, and improve the life conditions of the inhabitants of rural areas. The objective of this loan, is to contribute to the generation of productive employment, improvement of the quality of life of all citizens, and, in general, the comprehensive development of Bolivia".
In the past five years, CAF has supported the construction and pavement of more than 4,300 kilometers of the Red Vial Fundamental de carreteras de Bolivia (Essential Highway Network of Bolivia). With the execution of this new project, in addition to deepening the institution's actions in the country's roadway sector, a substantial part of the Diagonal Jaime Mendoza will be finished. This is a bi-oceanic corridor which is important for the country's exports. The works will facilitate the distribution of agricultural and livestock products to the main marketing centers of the country.
CAF's more recent content
Latin America and the Caribbean seek a regional brand
CAF - development bank of Latin America and the Caribbean - aims to generate new opportunities for the countries of the region through greater international projection that attracts investment, cooperation and tourism, among others.
CAF doubles its Caribbean shareholder countries
Continuing to deepen its engagement with CARICOM countries, CAF – Development Bank of Latin America and the Caribbean – convened a meeting with CARICOM Ministers of Finance during the WB-IMF Spring Meetings in Washington DC to advance the process for incorporating its three new Caribbean shareholder countries – Bahamas, Dominica and Grenada – into the financial institution.