Support for prevention of and comprehensive response to natural emergencies in Bolivia

(Caracas, October 4, 2010).- CAF and the Ministry of Planning of the Development of the Plurinational State of Bolivia signed a loan contract for USD 19.94 million in favor of Bolivia for the resurfacing and reconstruction of roads forming part of the Fundamental Road Network in departments declared in emergency by the government -La Paz, Cochabamba, Beni, Santa Cruz, and Chuquisaca- that have been affected this year by natural phenomena caused by El Niño.

“This credit facility that CAF is granting permits rapid access to funds in the event of natural emergencies. Its purpose is to support the restoration of basic services and the conducting of prior studies in order to undertake final reconstruction works and works to prevent future risks; and, above all, it aims to meet, in a manner that is comprehensive, the needs of the thousands of Bolivian families that have been left homeless,” explained CAF’s executive president, Enrique García.

This is the third contract of the USD 75 million credit facility granted in April this year by CAF, which will provide support for the second phase of the Road Prevention and Resurfacing Program that is being carried out by Administradora Boliviana de Carreteras (ABC), the agency in charge of administering the country’s roads.

The first contract, for USD 29.5 million, was signed in July this year during the meeting of the president of the Plurinational State of Bolivia, Evo Morales, and CAF’s executive president, Enrique García. The purpose of the contract was the execution of the first phase of the reconstruction of fundamental road infrastructure (roads and bridges) damaged by climatic phenomena.

The second contract –for USD 22.16 million- was signed at the same meeting and was allocated to the construction of guardrails, dikes, and channels and reforestation along the banks of the Grande, Piraí, and Chané Rivers in the department of Santa Cruz and risk prevention works in Villa Tunari - Cochabamba.