CAF Allocates Funding for Tourism and Urban Development Projects in Brazils Fortaleza Municipality

(Lima, Dec. 3, 2013).-CAF-development bank of Latin America-recently voted as Best Multilateral Development Bank of The Year  by Latin Finance  Magazine, recently allocated USD83.3 billion in financing for the Fortaleza municipality, guaranteed by the Federative Republic of Brazil, to execute the Village of Praia Program -Cities with a Future-Fortaleza  development project.        

"The region needs more inclusive, competitive and eco-efficient cities, the end goal of our Cities with a Future program, and that's what the loan approved for the Municipality of Fortaleza seeks to achieve," said CAF Executive President Enrique García. 

García added that with this program the municipality will increase its tourism potential and its competitiveness by "improving the quality of life of its inhabitants and by expanding its tourism sector by optimizing urban infrastructure, by improving the city's competitiveness and by creating value in its natural, cultural and historic attractions."

The Fortaleza Municipal Secretary of Tourism will oversee theVillage of Praia Program - Cities with a Future- Fortaleza, whichwill promote a series of projects aimed at improving urban land management, improving productive transformation to create jobs and income, reducing social inequalities, improving environmental sustainability, public safety and developing the region's cultural heritage.

The program's total investment is estimated at USD166 million, of which USD83 million will be financed by CAF. Local counterparts and the municipality will finance the remaining USD83 million.

Fortaleza is Brazil's fourth largest city, the largest in the northeast, and it is also home to the greatest frequency of tourists. Over the last 15 years the number of tourists visiting the area has quadrupled, reaching 2.8 million in 2011. In response to this hefty increase, municipal officials have been working hard on ways to strengthen the sector by ensuring the city experiences orderly, productive, and sustainable growth.

CAF has supported the municipality in the past through various investment programs, including two currently in effect: The Fortaleza Urban Drainage Program (DRENURB), approved in 2010 for USD45 million; and the National Tourism Program (PRODETUR), with USD50 million approved in 2011.