Funds to promote development in Ecuador

(Quito, July 29, 2009).- During a visit to the Ecuadorian capital by CAF President & CEO Enrique Garcia three agreements were signed on institutional strengthening for sectional governments, infrastructure for local development, and a third for the environmental sector.

The signing, which took place in the CAF offices in Quito, was attended by representatives of sectional governments: for Chimborazo Mariano Curicama, provincial prefect; for infrastructure for environmental development, Washington Varela, Tena Municipal Government; and for the environment sector, Xavier Bustamante, president and CEO of Fundación Natura.

Garcia said the Corporation supported specialized operations which supplemented and raised existing technical capacity in its shareholder countries in an effort to stimulate innovative programs which contribute to sustainable development and regional integration. The CAF CEO confirmed his institution's commitment to continue promoting programs and projects for the development of Ecuador.

The first operation signed relates to the Program of Rural Road Studies in Chimborazo Province, which provides non-reimbursable finance for definitive studies and designs of various sections of rural roads, previously selected and included in the Participatory Road Plan. The Plan presents a general diagnosis of rural roads in Chimborazo Province. Rehabilitation of the rural roads will restore accessibility for rural indigenous communes to the centers which provide social services and regional markets. The beneficiary is the Chimborazo Provincial Council.

The second technical cooperation agreement, Computer System for Municipal Administration and Management, was signed with the Tena Municipal Government. The funds will develop a Municipal Administration and Management System to design standards and procedures which facilitate municipal collection, management and administration. The operation will increase the productivity of administrative processes, enhance the transparency of economic and financial processes, reduce bad debts, resulting in an improved and faster service to users, and more public works for the population.

The third agreement, Environment and Biodiversity as Meeting Point between Social Actors of Colombia and Ecuador, aims to strengthen dialogue and cooperation between the two countries, by building a joint environmental agenda in the areas of environmental management, biodiversity conservation and sustainable development. This technical cooperation is a first step toward solving environmental problems common to both countries, such as water pollution, solid waste handling, and loss of biodiversity, among others. The other party to the operation is the non-governmental organization Fundación Natura Regional.