EIB provides $63.5m USD loan to finance water supply and sanitation projects in Bolivia
- January 2, 2019
- Category: Investment and Finance, Europe, South America
The European Investment Bank (EIB) is providing a $63.5 million USD loan to finance water supply and sanitation projects under the “My Water V” programme of Bolivia’s Ministry of the Environment and Water.
The agreement will improve access to drinking water in rural areas for 200,000 people and help to combat climate change in Bolivia that will
The EIB is financing the construction of drinking water supply and wastewater treatment facilities in Bolivia. The $63.5m USD loan agreement with the country’s Development Planning Ministry will be matched by a further USD 77m from the Andean Development Corporation (CAF) to finance the project, which complements the bilateral aid in the water and sanitation sector that the European Union provides to the country via its delegation in the form of grants.
The funds made available by the EIB and CAF will enable the implementation of more than 600 small investment schemes that will provide over 200,000 people with access to drinking water and over 85,000 with better wastewater collection and treatment services. The new sanitation and wastewater treatment networks will prevent the discharge of polluting effluents into rivers. The majority of the beneficiaries live in small communities in isolated rural areas.
The EIB is providing this finance in the framework of the 2014-2020 lending mandate for Latin America, meaning that this agreement is covered by the EU budgetary guarantee. By supporting this project, the EU bank is contributing to achievement of the United Nations’ Sustainable Development Goals and to the fight against climate change,
The different schemes under the programme will be carried out over the next four years up to 2022 and their implementation will provide jobs for around 12,000 people.
Since the EIB began operating in Latin America in 1993, it has provided total financing of around EUR 8.4bn in support of 117 projects in 14 countries.