OPEC Fund provides US$50 million loan to improve connectivity in Paraguay

January 22, 2025: The OPEC Fund for International Development (the OPEC Fund) is providing a US$50 million loan to co-finance the rehabilitation, upgrading and maintenance of National Route PY22 and access roads in the north Paraguayan department of Concepción. Co-financed with a US$135 million loan from CAF – Development Bank of Latin America and the Caribbean, the project will benefit some 125,000 people by enhancing regional connectivity, strengthening trade and supporting socio-economic development.

OPEC Fund President Abdulhamid Alkhalifa said: 

“Efficient transport infrastructure is vital to unlock economic potential and connect communities. With this project we are not only improving mobility and trade but also enabling greater access to essential services and creating new opportunities for people in Paraguay. We are pleased to partner with CAF once again to deliver tangible benefits for communities.”

The financing will support the rehabilitation of a 176.2 km section of the Concepción-Vallemí-San Lázaro route and the upgrading of 41.2 km of access roads, including the Concepción bypass and connections to the free trade zone in the north-eastern region. These improvements will facilitate the transport of essential goods, such as construction materials, agricultural products and livestock, while supporting Paraguay’s largest private-sector investment - the Paracel pulp mill. The improved infrastructure is expected to boost economic activity, strengthen regional trade and play a crucial role in fostering economic integration.

The OPEC Fund has supported Paraguay’s sustainable development since 1978 with more than US$600 million loans to date in support of transport, energy, agriculture and water & sanitation projects. 

About the OPEC Fund

The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed more than US$29 billion to development projects in over 125 countries with an estimated total project cost of more than US$200 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA+, Outlook Stable by S&P. Our vision is a world where sustainable development is a reality for all.