CAF approves US$10 million for infrastructure integration project in Paraguay

A US$10-million loan for Paraguay was approved by the Andean Development Corporation (CAF) to improve and rehabilitate existing infrastructure in the country’s Main Road Network. The project, which is part of the Integration Corridors Program of the Eastern Region of Paraguay, is being executed by the Ministry of Public Works and Communications (MOPC) through the Highways Department.

CAF Executive President Enrique García said that the project, known as Integration Corridors Rehabilitation and Paving, National Route 11 and branch A National Route 10, is a component of the South American Regional Infrastructure Initiative (IIRSA) which is conceived to modernize the region’s physical infrastructure, in an integrationist context, in the areas of energy, telecommunications and transport, as an essential element in the economic and social development of South America.

The project has a total cost of US$28 million, which will be cofinanced by the OPEC Fund and local contributions, in addition to the CAF loan.A US$10-million loan for Paraguay was approved by the Andean Development Corporation (CAF) to improve and rehabilitate existing infrastructure in the country’s Main Road Network. The project, which is part of the Integration Corridors Program of the Eastern Region of Paraguay, is being executed by the Ministry of Public Works and Communications (MOPC) through the Highways Department.

CAF Executive President Enrique García said that the project, known as Integration Corridors Rehabilitation and Paving, National Route 11 and branch A National Route 10, is a component of the South American Regional Infrastructure Initiative (IIRSA) which is conceived to modernize the region’s physical infrastructure, in an integrationist context, in the areas of energy, telecommunications and transport, as an essential element in the economic and social development of South America.

The project has a total cost of US$28 million, which will be cofinanced by the OPEC Fund and local contributions, in addition to the CAF loan.

García added that an integrated region from the point of view of physical infrastructure could make more effective progress in overcoming obstacles to development. The unification of physical infrastructure in South America will lead to better financial and commercial returns, and a closer integration of the region into world economy.

The objectives of the project approved include modernization and improved profitability from National Route 11 to complete the 230-kilometer integration road corridor between Capitán Badó on the Brazilian border and Puerto Antequera on the River Paraguay.

The project is also expected to reduce domestic and regional barriers to trade by providing an alternative route for trade with Brazil (states of Río Grande do Sul, and Paraná), using Argentine ports and contributing in the near future to decongesting the port of Paranaguá, Brazil, by directing trade to Puerto Antequera on the River Paraguay.

The project also aims to link agricultural production from the area of influence of the branch of National Route 10 to the economic circuit with a connection to Puerto Rosario on the River Paraguay; act as more direct connection between Asunción and Salto del Guairá on the border with Brazil through National Route 10; increase agricultural and agroindustrial activity supported by new opportunities for linking private capital to the region and generating opportunities to involve private capital in the rehabilitation and adaptation of the river port on the River Paraguay located in Puerto Antequera.

García added that an integrated region from the point of view of physical infrastructure could make more effective progress in overcoming obstacles to development. The unification of physical infrastructure in South America will lead to better financial and commercial returns, and a closer integration of the region into world economy.

The objectives of the project approved include modernization and improved profitability from National Route 11 to complete the 230-kilometer integration road corridor between Capitán Badó on the Brazilian border and Puerto Antequera on the River Paraguay.

The project is also expected to reduce domestic and regional barriers to trade by providing an alternative route for trade with Brazil (states of Río Grande do Sul, and Paraná), using Argentine ports and contributing in the near future to decongesting the port of Paranaguá, Brazil, by directing trade to Puerto Antequera on the River Paraguay.

The project also aims to link agricultural production from the area of influence of the branch of National Route 10 to the economic circuit with a connection to Puerto Rosario on the River Paraguay; act as more direct connection between Asunción and Salto del Guairá on the border with Brazil through National Route 10; increase agricultural and agroindustrial activity supported by new opportunities for linking private capital to the region and generating opportunities to involve private capital in the rehabilitation and adaptation of the river port on the River Paraguay located in Puerto Antequera.