Just 11% of Bolivia’s roads are paved, the lowest density in the Latin America and Caribbean region. This both affects international competitiveness and limits many Bolivians’ access to transport, basic services and well-paying jobs.

The IDB loan will increase the number paved roads and refurbish existing ones, helping Bolivia better connect production centres with local and external markets.

It will also strengthen the overall management of highway resources through a more efficient collection of toll charges.

The project will be financed by the IDB with a $142.8m loan from common capital funds for 30 years. The remaining $35.7m will come from the bank’s Special Operation Fund, with a grace period of 40 years.