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

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