CAF approves USD 96 million financing for Cabo de Santo Agostinho

The Board of Directors of CAF, Development Bank of Latin America and the Caribbean, today approved a loan of USD 96 million for the municipality of Cabo de Santo Agostinho, in the state of Pernambuco, Brazil. The amount, which is part of a total operation of US$120 million, will be used for the Infrastructure and Urban Development Program, directly benefiting the city's more than 200,000 inhabitants. The objective is to promote sustainable urban development through investments in sanitation, drainage, mobility, social infrastructure, sustainable tourism and climate resilience.

"Cabo de Santo Agostinho is strategic in the metropolitan region of Recife, with a strong industrial and tourist vocation. This financing will reduce inequalities, expand social infrastructure and improve the quality of life of the population, especially women, with the construction of a first-rate hospital for this group. For CAF, this is an important step in supporting Brazilian cities in their sustainable and inclusive urban development," said Sergio Diaz-Granados, CAF's executive president.

The program includes the construction of urban drainage systems, paving and redevelopment of roads, bicycle lanes, containment of risk areas and environmental recovery works. It also foresees the expansion and modernization of public recreational, cultural, health and educational facilities, as well as the creation of parks and sports facilities.

One of the main milestones will be the construction of the Women's Hospital, which will strengthen the municipality's health network and expand access to specialized services, with a focus on gender equity and the reduction of social vulnerabilities.

The project also includes actions to strengthen sustainable tourism, such as the adaptation of the coastal strip, environmental recovery, and improvements in solid waste management, increasing the municipality's attractiveness for national and international visitors.

With this approval, CAF reinforces its presence in northeastern Brazil, supporting municipalities in the promotion of more inclusive, resilient and sustainable cities.