New IDB loan to fix rural roads in Paraguay

By Inter-American Development Bank

New IDB loan to fix rural roads in Paraguay

Paraguay is about to make it easier for rural communities to reach basic services and sell their products, thanks to a new $75 million loan approved by the Inter-American Development Bank (IDB), according to a press release. The funding will go toward upgrading about 123 kilometers of rural roads in the Eastern Region.

IDB’s program targets key gaps in local infrastructure. Work will include drainage, erosion control, slope protection, and replacing or building new bridges. The roads will be maintained for four years to ensure long-term benefits. New safety measures are part of the plan, especially in stretches near schools, making it safer and simpler for children to get to class.

Around 170,000 people stand to benefit from these improvements, many of them living in poverty. The project will connect rural families to bigger markets and essential services. A new 100-meter bridge over the Monday River will also help farmers and villagers travel more easily year-round.

Along with upgrading roads, the program will fund a new transportation master plan for Paraguay, aiming to make public spending more effective and strengthen local planning know-how. IDB’s support builds on a decade of roadwork designed to help rural Paraguay grow and connect.