The International Finance Corporation (IFC) signed a $220 million sustainability-linked loan to finance Colombia’s strategic Buga-Loboguerrero-Buenaventura corridor, marking the first such road concession deal in the region and the largest project finance facility in Colombia, according to IFC official announcement.
The World Bank Group member is backing the brownfield toll road project awarded to SACYR in 2022, which connects Colombia’s interior with Buenaventura port that handles 44% of the country’s total trade. The loan terms tie directly to the borrower hitting specific sustainability targets including cutting greenhouse gas emissions and increasing women in the workforce.
The BLB corridor has suffered from poor maintenance and disruptions that hurt Colombia’s trade competitiveness and economic growth. The route connects Colombia’s interior regions with its largest port, making it crucial for moving goods and supporting regional integration. The project should cut travel times by 30 to 40 minutes while creating jobs and boosting stability along this vital commercial route.
IFC’s investment is part of a larger $904 million financing package, with other lenders joining under IFC’s leadership for environmental and social coordination. The sustainability-linked loan structure is a first for road concessions in the region, tying loan terms to specific performance targets measured through key indicators. The project must reduce absolute greenhouse gas emissions and increase the share of women in the direct workforce during both construction and operation phases.
“This project is key to the development of the region and will bring important social benefits to the communities,” said SACYR’s Colombia Country Director Ignacio García.
IFC’s Cheryl Edleson Hanway called it “a milestone for sustainable infrastructure” that sets new standards for environmental and social performance while mobilizing long-term capital for critical trade infrastructure.
The deal represents IFC’s first direct work with global infrastructure developer SACYR and its third investment in a 4G/5G toll road in Colombia, showing the organization’s growing commitment to sustainable infrastructure development in the region.
