Brazil water/sanitation improvements target with World Bank loan

Feb. 26, 2016
The World Bank will loan US$88 million to the Municipality of Teresina, Piauí State capital, in Northeast Brazil...  

The World Bank will loan US$88 million to the Municipality of Teresina, Piauí State capital, in Northeast Brazil.

The finance seeks to improve the living conditions in Lagoas do Norte, one of the most vulnerable and poor regions of Teresina, where 92,000 people live.

Composed of 13 neighborhoods, Lagoas do Norte is a low-income region characterised by perennial flooding, poverty and social exclusion.

The first phase of the project – financed by a US$31.1 million loan from the World Bank and US$13.3 million in funding from the City of Teresina – helped protect the residents from floods, expanded access to sanitation, improved the quality of water services, provided green and leisure spaces for the community and helped modernize the city’s financial system.

The new phase will extend the project activities to new areas of Lagoas do Norte, benefiting approximately 92,000 people.

The project will also support the development and implementation of a Municipal Violence Prevention Plan, with a special focus on gender-based violence.

"The Program has already resulted in remarkable improvements to the quality of life of Lagoas do Norte residents,” said Martin Raiser, World Bank director for Brazil. “By extending its benefits to more people we hope to catalyze inclusive economic and social development in the entire region, setting an example for others cities to follow.”

“The transformation of the Lagoas do Norte region has provided the population with new water and sanitation infrastructure, a shoreline park, cycling paths, wider roads, and a theater,” said Firmino Filho, Mayor of Teresina. “This new phase will not only consolidate these improvements but will also promote better integration of the region with the rest of the city.”

Among the outcomes supported by the program are:

· Increased coverage of protection from perennial flooding;

· Increased access to water and sanitation services;

· Urban upgrading and further expansion of green and leisure areas;

· Development of a Municipal Violence Prevention Plan, with a special focus on gender.

This Investment Project Financing from the International Bank for Reconstruction and Development (IBRD) to the Municipality of Teresina has a final maturity of 35 years, with a 5.5 year grace period and is guaranteed by the Federative Republic of Brazil.


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