Bolivia: Chinese loan is for infrastructure projects

China will loan Bolivia around US$7.5 billion for all types of infrastructure projects, according to the Bolivian vice-president Alvaro Garcia Linera. The loan will arrive in tranches with different interest rates, from a low of less than 1% and up to 4%. It will likely increase the country's foreign debt to GDP ratio from 17% to 35%. Road projects will include a double-lane between Bombeo and Villa Tunari; road works between Santa Cruz and Cochabamba; and new motorways between Charazani and Porvenir,
October 21, 2015 Read time: 1 min
China will loan Bolivia around US$7.5 billion for all types of infrastructure projects, according to the Bolivian vice-president Alvaro Garcia Linera.

The loan will arrive in tranches with different interest rates, from a low of less than 1% and up to 4%. It will likely increase the country's foreign debt to GDP ratio from 17% to 35%.

Road projects will include a double-lane between Bombeo and Villa Tunari; road works between Santa Cruz and Cochabamba; and new motorways between Charazani and Porvenir, Santa Rosa de la Roca and Remanzos, as well as between Trinidad and La Morona.

Other infrastructure projects include the Rositas hydroelectric project; the railway line between Motacusito and Puerto Busch; and an upgrade of Viru Viru airport. It will also finance a new stadium in Cochabamba.
Finance & Funding

Related Content

  • Bolivia boosts road building budget
    September 22, 2014
    An investment of nearly US$510 million is being planned in Bolivia for road building works. The country’s state-run road company, Administradora Boliviana de Carreteras (ABC), has plans in hand for a total of 32 road maintenance and construction projects in Santa Cruz department. In all these will stretch for some 5,773km. Of this, $291 million will be spent on 276km of new roads, including the Saavedra-Chane and Circunvalacion Mineros, Hardeman-Colonia Pairi and Rio Uruguaito-Santa Rosa de la Roca-San Igna
    Read More
  • Major plan for Bolivian highway expansion underway
    July 9, 2014
    Bolivia has a major programme of highway expansion and improvements underway at present in a plan designed to improve the country’s transport links. The programme includes 16 double-lane highways being built, costing some US$1.85 billion in all. The work is being managed by the state-run road administration company ABC. The roads will improve connections to La Paz, Oruro, Santa Cruz and Cochabamba. The road between La Paz and Oruro is 80% finished. The other projects will be finished between 2015 and 2018.
    Read More
  • Chinese funding for Bolivia roads
    October 14, 2015
    Bolivia is looking to source funding for two major highway projects from China. This development could follow discussions between Bolivia's vice-president Alvaro Garcia Linera and Chinese funding bodies being held during his trip to China. The highways in focus are the links from Porvenir to Chive and from Chive to Ixiamas. The 151km Porvenir to Chive highway is expected to cost around US$385 million to construct. The 254km Chive to Ixiamas highway meanwhile is expected to cost $600 million. Should Chinese
    Read More
  • Bolivia highway project awarded to Chinese firm
    June 8, 2018
    A Chinese contractor, Sinohydro, is now commencing a major highway project in Bolivia.
    Read More

Highlighted Content