US$ 100 Million For Bahia’s Roads

This month The World Bank has approved a US$ 100 million loan to the State of Bahia in northeast Brazil to increase the efficiency of the State’s road infrastructure in readiness for the ever increasing traffic it is set to receive.

The bulk of the money will be spent on repair, resurfacing, safety and environmental rehabilitation, covering some 2,000 km of road surface, or 15%, of Bahia's paved road network.  A major issue in Bahia’s transport sector has been the poor condition of the road networks.  Insufficient funding and ever increasing traffic, including heavy goods trucks over the past fifteen years has led to the deterioration of the roads.

Currently this property hotspot area of northeast Brazil is undergoing a vast amount of development and off-plan projects, along with increased tourist activity and a heavy traffic flow.   Investors are pleased to see that Brazil is keeping up with the infrastructure requirements of a top class tourist destination, while travel time will be kept to a minimum and safety to a maximum.

The upgrading of the State’s highways will bring with it vast improvements to the economy of Bahia.  World Bank Director for Brazil, John Briscoe, said, “We are pleased to support the State’s long-term development by addressing the effectiveness in the use of State road infrastructure. By reducing the cost of doing business and increasing the State’s productivity, the project will have significant effects on job creation and income, as well as contribute to sustainable growth and poverty reduction.”  This is a further indication of the massive growth potential of the Bahia area and good news for today’s investors.