Resources for Rio de Janeiro

(Rio de Janeiro, Sept. 20, 2012). CAF –development bank of Latin America– and Rio de Janeiro state’s government signed two loan agreements for a total of US$419 million. The resources will be employed for the state’s Road Infrastructure Improvement and Implementation Program as well for the recovery of areas in mountain areas damaged by torrential rains in 2011.

The agreements were signed by Rio de Janeiro Governor Sergio Cabral de Oliveira and CAF Country Director in Brazil, Moira Paz Estenssoro.

The first US$319.6 million loan contract will be applied to the Pro-Vías road improvement program, which seeks to reform and complement the state’s road network, promoting access and safety through measures to promote production and tourism in the area.

The program, whose total cost is estimated at US$532.7 million, includes work in different parts of the state, such as rehabilitation, improvement and road network enlargement through the construction and reinforcement of drainage systems and embankments; road paving; mudslide prevention; special art work construction and recovery; viaducts, bridges and footbridges, as well as road signs and services.

The second loan contract for US$100 million will be used for mudslide prevention work, drainage, housing as well as bridge and urban access rebuilding in the mountain area districts that were damaged in the 2011 rains. The funds will also be allocated to the state road network’s improvement projects, especially in industrial and tourism areas.

Moira Paz Estenssoro said CAF provides comprehensive support to shareholder nations for emergency attention and prevention “through financing facilities, with the goal of minimizing natural disasters’ impact on residents lives and their nations’ economies.”

The loan is part of a fund created by CAF to address emergency situations due to a worrying growth in the number of natural disasters, and their social, environmental and economic impact in the region.