Colombian government signs agreements with 50 mayors

CAF and the Fund for Investments for Peace finance the maintenance of 2,130 kilometers of rural roads, generating 270,000 workdays for local unskilled workers.

May 09, 2001

With a total investment of US$1.7 million, 50 Colombian municipalities in areas of conflict will begin the maintenance of 2,130 kilometers of rural roads through the Presidential Roads For Peace Program, to be executed over four months. About 270,000 workdays will be generated and an average of one million pesos invested in each kilometer of maintenance.

The Roads for Peace Program, which forms part of the social component of the Plan Colombia, is financed chiefly by the Andean Development Fund. So far, CAF has approved credits for US$162 million for the program and is studying an additional US$200 million for the second part.

Today’s signing of the 50 agreements in the Colombian Presidential Palace (Casa de Nariño) forms part of the Alliance Subprogram. During the first stage 182 agreements were signed for US$6.2 million, which generated 399,530 workdays for maintenance of 6,734 kilometers of tertiary roads nationwide.

The president of Colombia, Andrés Pastrana, signed a document with the mayors to turn over 50% of the funds for the works to be put through in their area. The remaining 50% will be transferred during the execution process. The program is backed by CAF and the Fund for Investments for Peace.

This second delivery of funds covers 80% of the municipalities included in the Plante Zone (presence of illegal crops) and Plan Colombia, which have the lowest rates of municipal development. This development rate takes into account factors such as poverty level, power service, education, overcrowding, concentration of population in main town, water supply and sewage treatment, financial variables, tax and non-tax revenue and non-dependence on transfers.

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