Peru project postponed for funding issue

The project to construct the Via Expresa road project in Peru looks likely to be further postponed. Construction of the link, in Peru’s Cusco Region, was to have commenced in the first quarter of 2017. The project was to have been partly paid for by a loan from the World Bank worth US$110 million but first payments for the funding package were delayed. The local authorities are now considering cancelling the loan package altogether and finding another funding source, although this could affect the region’s
December 20, 2017 Read time: 1 min

The project to construct the Via Expresa road project in Peru looks likely to be further postponed. Construction of the link, in Peru’s Cusco Region, was to have commenced in the first quarter of 2017. The project was to have been partly paid for by a loan from the 2332 World Bank worth US$110 million but first payments for the funding package were delayed. The local authorities are now considering cancelling the loan package altogether and finding another funding source, although this could affect the region’s credit rating.

Finance & Funding

For more information on companies in this article

Related Content

  • Brazilian highway projects face funding issues
    December 10, 2014
    In Brazil financing issues have hit a number of transport projects in Minas Gerais state. The Banco do Brasil is holding back funds for planned work. As a result the state government of Minas Gerais has halted work on 32 construction projects. The Banco do Brasil has not provided the expected US$345.86 million for the work to be carried out. The finances were arranged by the central government through its funding programmes. The projects include a section of the MG-437 road between Sabara and Nova Lima. The
    Read More
  • Bolivia dual carriageway project stalled
    September 12, 2016
    Work remains at a halt on the 70km dual carriageway upgrade connecting Yapacani with Montero in Bolivia’s Santa Cruz department. A disagreement between the Mexican construction company that was building the link, Tradeco, and Bolivia’s road administration department, ABC, resulted in the contract being cancelled. The route, Highway 4, runs from Yapacani through Santa Fe, San Carlo and Portachuelo to Montero and the project was intended to improve the road and boost its capacity by increasing the number of l
    Read More
  • Funding for key Russian highway projects
    May 10, 2012
    A notable partnership deal looks set to provide funding for key Russian highway projects. A memorandum of cooperation has been signed between the state-owned Russian Highways (Avtodor) and the European Bank for Reconstruction and Development (EBRD). Under this deal the EBRD may provide loans to Avtodor, redeem bonds, or co-operate on concession agreements. This funding stream will allow Avtodor to implement its key PPP projects. Avtodor and the EBRD have been discussing the highway linking Moscow with St Pe
    Read More
  • Ethiopia races on with projects
    June 13, 2012
    Ethiopia is pursuing a 10-year $2.4 billion development plan, part of which are ambitious road developments. Shem Oirere reports Ethiopia is hastening its pace towards accessing a share of the East Africa commodity market and opening itself up for foreign investment through the implementation of an ambitious road development strategy, the Road Sector Development Programme (RSDP). The landlocked nation has convinced a number of international lenders of the viability of RSDP, with some of them now loosening
    Read More

Highlighted Content