The government of Paraguay is set to receive a US$160 million from the Inter-American Development Bank (IDB) for the refurbishment of National Route 9 (RN9).
The 761km road – also known as La Transchaco - connects the capital Asuncion with the border between Paraguay and Bolivia.
It crosses the economically important agro-livestock region of Chaco and helps to connect Paraguay with the ports of Chile and Peru, making it a key corridor for intra-regional and global trade.
On average, 1,500 vehicles use the road per day – 50% of which are mid-sized and heavy trucks.
The money will be used to improve the stretch between Cerrito (kilometer 50) and Mariscal Estigarribia (kilometer 525).
The loan will finance pavement recoating, repair and reconstruction work, road and bridge widening, and the installation of new road signaling.
In addition, it will fund climate change adaptation measures, such as the building of embankments in areas where they are needed to preserve good road conditions.
The money will also be spent on road maintenance for a four-year period.
For another important road project in Paraguay – the Bioceanic Corridor – two consortiums have put forward their proposals.
One consortium comprises Queiroz Galvao and Ocho, while the other is includes Mota Engil and Talavera Ortellado.
With the intention of establishing a connection that crosses the country horizontally in order to improve connections with deep water ports in Chile and Brazil, the project would see 277km of road being constructed between Loma Plata and Carmelo Peralta, in the department of Alto Paraguay.
In addition to the paved road, the works would involve the construction of bridges over water passages, curbs, signage fences, and other associated structures.