Washington, DC, June 15, 2018 —
IFC, a member of the World Bank Group, has completed a US$300 million financing package for the construction of 17 kilometers of the provincial capital ring road. This financing is part of IFC’s strategic engagement with the Province of Cordoba in the transportation sector, focused on construction and improvement of critical road infrastructure. IFC is supporting the Province’s 2016-2019 provincial road investment program of US$2.3 billion through a staged financing envelope and advisory services.
IFC funds will be used to finance the completion of the Cordoba City Ring Road and the construction of an accelerated entryway from the Ring Road to the city center to enable better access to jobs - benefitting the vulnerable population living in outer neighborhoods. These investments will reduce congestion, travel time, and costs while enhancing transportation efficiency and safety within the metropolitan area.
IFC’s financing was split in two tranches to finance a multi-year investment program with the first tranche of US$150 million committed on July 17, 2017. The second tranche of the financing package, which was committed on June 15, 2018, consists of an eight-year US$50 million loan from IFC and a six-year US$100 million loan provided HSBC (US$40 million), BBVA (US$35 million), and Santander (US$25 million).
As part of its strategic engagement, IFC has also provided advisory services to the Province of Cordoba to help the Province optimize its future interventions in the areas of transport, water/sanitation, and street lighting.
“Since we started our relationship in early 2017, IFC has been crucial to the transformation we have undertaken to improve transport infrastructure for our citizens and our economy. Through the completion of the ring-road, we will be able to deliver on a 60-year old promise that will transform the capital’s urban mobility,” said Juan Schiaretti, Governor of Cordoba.
The Province of Cordoba is the second most populous in Argentina, with 3.6 million inhabitants, 40% of whom live in its capital city, Cordoba. The Province is committed to improving infrastructure and access to basic services for all segments of the population.
David Tinel, IFC Regional Manager for the Southern Cone (Argentina, Chile, Paraguay and Uruguay), said, “By building critical road infrastructure including dual carriage ways, a bridge and the construction of an avenue linking the main intercity bus station to the ring road, IFC will support Cordoba’s agenda of improved connectivity and access to critical infrastructure for its citizens.”
Over the past decade, IFC has invested more than US$12 billion in 350 projects that supported urban development in more than 60 countries.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Working with more than 2,000 businesses worldwide, we use our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In FY17, we delivered a record US$19 billion in long-term financing for developing countries, leveraging the power of the private sector to help end poverty and boost shared prosperity. For more information, visit
www.ifc.org
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