Brazil needs to further ramp up road investment

A report by the Brazilian industry body Ipea points to the need for massive investment to continue expansion and upgrades to the country's road system.
February 28, 2012 Read time: 1 min
A report by the Brazilian industry body 3283 Ipea points to the need for massive investment to continue expansion and upgrades to the country's road system. According to Ipea an eye-watering US$98 billion will be needed to upgrade existing links and build new roads to meet the country's continuing growth in transportation needs. A significant portion is required to build new roads and pave existing links as so many of Brazil's current non-urban roads are unsurfaced at present. However the Brazilian Government's PAC-2 investment plan has budgeted a mere 13% of the funds and finances that the Ipea report says is required. Ipea's report also points out that Brazil has a higher percentage of toll roads than the global average. According to Ipea the average number of toll roads in each country around the world is around 2% while Brazil's privately-owned toll roads account for 9% of the total network.
Highway & Network Management

For more information on companies in this article

Related Content

  • Brazil: Rate of return for upcoming road tenders set at 9.2%
    July 16, 2015
    Brazil's Treasury Ministry has confirmed that the rate of return for the upcoming highway concession auctions is to be set at 9.2%, up from the 7.2% used in the previous round of tenders in 2013. The lower return is to ensure that the road tolls are lower. However, critics said the measure is not high enough and many contractors are looking for a rate of return of at least two digits, Brazil media reported. Even the increased rate as it stands will not lead to a greater number of contractors tendering fo
    Read More
  • Morocco’s new motorway links are boosting connectivity
    December 16, 2014
    Morocco’s massive motorway construction programme will improve transport connections and boost this North African country’s economy - Mike Woof reports A massive road building programme is transforming Morocco, with new motorways connecting cities and major towns, as well as many new rural roads being built. The Moroccan Government has set an impressive plan for its infrastructure investment that will see even the country’s small and remote villages having proper connections to the main road network. The
    Read More
  • Kosovo's award-winning green highway construction
    March 20, 2012
    A new highway is proving an economic lifeline for the tiny country of Kosovo – Mike Woof reports. Road projects in Europe rarely meet such widespread public approval and support as the new Route 7 highway being built in the new Balkan state of Kosovo. The first sections of the new road opened to traffic in November 2011, with locals turning out in large numbers to celebrate the event. The official opening was carried out by the country’s prime minister Hashim Thaçi, president Atifete Jahjaga, and members of
    Read More
  • US president-elect Obama and the future of America's roads
    July 18, 2012
    The current US transportation funding law expires in September 2009. The current law allocates US$286 billion to highway and transportation projects. However, simply re-authorising the same amount will not be sufficient to build, maintain and improve the nation's roads, bridges, airports, and other deteriorating infrastructure. The backlog of projects unaddressed has swollen to the point where the American Society of Civil Engineers (ASCE) says it will take $1.6 trillion to address the country's road and in
    Read More

Highlighted Content