The Inter-American Development Bank announced the approval of a USD 47.6 million (EUR 49.13) loan to the state owned company Saneamento de Goiás S/A to improve and expand the drinking water system and enhance wastewater disposal in the city of Goiânia and in contiguous urban areas*. A goal of the project will be to provide year-round, 24-hour drinking supply service to 90 percent of the users in Goiânia by the end of 2007. More than 64 percent of the beneficiaries of the project are in low-income groups. The project will contribute to the worldwide campaign to halve the number of people without access to safe drinking water by 2015 - one of the Millennium goals of the United Nation. The total cost of the program is USD 95.2 million (EUR 98.25). The IDB loan is for a 25 year term, with a 5-year grace period, at the variable interest rate, now 6.19 percent. Local counterpart funds total USD 46.7 million (EUR 48.2).

*Loan proposal available at http://www.iadb.org/exr/doc98/apr/br1414e.pdf

Contact: Suzanne Bouwman, EVD, Netherlands, fax: +31-70-3858097 (please mention contact number for this project: 94614

Source: Global Learning Network's PPP News, Issue 16
EVD, 16 Aug 2002