Nicaragua has received $20 million concessional loan from Inter-American Development Bank (IDB) to help enhance power generation and distribution, and improve electricity supply.
The loan will be invested in transmission, transformation, and rehabilitation of power plants. Photo credit, Inter-American Development Bank.
The Inter-American Development Bank has approved a $20
million concessional loan to Nicaragua to be invested in the country’s power
generation and distribution.
The loan will be invested in transmission, transformation,
and rehabilitation of power plants, hence improving the quantity, reliability
and quality of the energy supply required for Nicaragua's sustained economic
growth.
According to the 2007/2008 Human Development Report, Nicaragua has about 70% electrification rate*.
IDB team leader on the project, José Ramón Gómez, said,
“This program supports the Nicaraguan government’s efforts to create a more
diversified and sustainable energy matrix while mobilizing additional
co-financing resources and promoting climate change adaptation and mitigation
activities.”
This new lending is the third allocated to the program. A
total of $32.7 million and($40.2
million was assigned for the first loan in December 2007 and second loan in
December 2008, respectively.
The European Investment Bank and the Central American Bank
for Economic Integration are also contributing with funding, raising a grand
total of $144.2 million for the program.
* IEA (International Energy Agency). 2002. World Energy Outlook 2002.
Paris and IEA (International Energy Agency). 2006. World Energy Outlook
2006. Paris. More
