The OPEC Fund for International Development is providing a loan of US$50 million to enhance the rehabilitation, upgrading, and maintenance of National Route PY22 and its access roads in the Concepción department of northern Paraguay. This funding is part of a larger initiative that includes a US$135 million loan from CAF – Development Bank of Latin America and the Caribbean. The project is set to benefit around 125,000 people by improving regional connectivity, bolstering trade, and supporting socio-economic development in the area.

As reported by WAM, OPEC Fund President Abdulhamid Alkhalifa emphasized the importance of transport infrastructure, stating, “Efficient transport infrastructure is vital to unlock economic potential and connect communities.” He noted that the project would not only enhance mobility and trade but also improve access to essential services and create new opportunities for the people of Paraguay. The collaboration with CAF aims to deliver significant benefits to local communities.

The loan will specifically aid in the rehabilitation of a 176.2 km segment of the Concepción-Vallemí-San Lázaro route, along with the upgrading of 41.2 km of access roads, which includes the Concepción bypass and routes connecting to the free trade zone in the northeastern region. These infrastructure improvements are essential for transporting vital goods, such as construction materials, agricultural products, and livestock, and will support Paraguay’s largest private-sector investment, the Paracel pulp mill.

The enhanced infrastructure is expected to stimulate economic activity, strengthen regional trade, and play an essential role in promoting economic integration. Since 1978, the OPEC Fund has contributed to Paraguay’s sustainable development with over US$600 million in loans for various projects, including those in transport, energy, agriculture, and water and sanitation.