US$43 million approved to support social projects in Bolivia

A US$43-million loan was approved today by the Andean Development Corporation (CAF) for the Republic of Bolivia, destined to finance the Program for Water and Basic Sanitation and Support for Social Investment whose total cost is US$138 million. The approved loan has a 15-year term with three years of grace.

CAF Executive President Enrique García said that the loan approved today was intended to support the government in developing social investment projects in the sectors of education and health, agricultural development and water resources; increase coverage and quality of water and basic sanitation services; and facilitate access to reliable water supplies giving priority to the most vulnerable population, as well as preventing and controlling landslide risks in La Paz.

The government program has three components: the first executed by the Vice Ministry of Public Investment and External Financing with the objective of guaranteeing the financing of public investment in social projects.

The second component is aimed at improving access to potable water and basic sanitation services. The third component seeks to improve urban land use in La Paz through the execution of works to prevent and control landslides. The executing agency is the Vice Ministry of Basic Services.

For execution of components two and three, the Government has selected six projects: provision of water for Cochabamba valley through support for the financing of the building of the Misicuni dam; renewal of the potable water and sewage systems in the old section of Cochabamba; construction of a sewage system in the eastern sector of Santa Cruz de la Sierra; design of the Master Plan for waterworks and sewage treatment for Puerto Suárez; construction of waterworks and irrigation system in El Chaco Seco, Gran Chaco province; and landslide control works in La Paz.