CAF in condition to grant emergency loan to Ecuador

(May 26, 1993).-- In relation to a press statement in the May 20 issue of "El Universo," which reported the difficulties of the Inter-American Development Bank in implementing part of the general credit granted to the Ecuadorian National Road Program, CAF vice president of operations Rodrigo Moscoso said his institution would definitely make an emergency disbursement under the Program, to be cofinanced by both institutions.

"In fact -- the official said -- the last CAF meeting (78th) held in Caracas on May 7 decided to make an advance payment of 30% (US$9 million) of the total loan of US$30 million granted to the road program which the Ministry of Public Works and Communications is implementing through the Public Works Department."

"Given the state of emergency declared in the country -- Moscoso said -- it was decided to grant this support in solidarity with Ecuador to partly mitigate the effects of the natural disaster of the River Paute."

The US$9 million which CAF will exceptionally disburse in advance will be used to initiate rehabilitation road works because over 1,000 km of roads and railways have been destroyed.