IDB Invest finances the modernisation of Water and Sanitation Systems in Bogotá
- The $100 million financing for the Bogotá Water and Sewerage Company will support network upgrades and expand coverage in the capital.
- The project aims to strengthen water resilience and improve access for vulnerable populations.
IDB Invest Finances Grupo RAS to Drive Railway modernisation in Uruguay
- The project aims to position Uruguay as a logistics hub in the Southern Cone.
- The financing package will expand cargo capacity and reduce costs in the regional trade chain.
WASHINGTON, USA – IDB Invest signed a financing agreement for up to the equivalent in Colombian pesos of $100 million with the Bogotá Water and Sewerage Company (EAAB), Colombia’s largest water and sanitation utility, to support its 2016–2026 investment plan. The program seeks to optimise supply systems, expand sewer networks, and reinforce resilience against extreme rainfall events in Bogotá.
The operation will help improve access to water and sanitation for more than 9.5 million people, including vulnerable households, through network expansion and quality standards assurance. More than 206,000 new water connections and 203,500 sewer connections are expected to be installed by 2028, strengthening urban resilience and response capacity to extreme rainfall. The project will also support national goals for coverage and wastewater treatment and is expected to meet increased demand driven by population growth.
The financing consists of a senior corporate loan for up to the equivalent in Colombian pesos of $100 million.
IDB Invest will also provide advisory services to strengthen EAAB’s environmental and social management and corporate governance. The project includes a circular economy initiative to use biomass from invasive species and technological modernisation through smart metering and renewable energy integration.
Meanwhile, IDB Invest will finance Grupo RAS to acquire state-of-the-art locomotives and wagons, in an operation that seeks to modernise freight rail transport in Uruguay and strengthen the country’s role as a logistics hub in the Southern Cone.
The investment will renew the rail fleet and improve freight transport efficiency, offering a more competitive alternative to road transport. The locomotives will connect the Ruta 5 Industrial Park (PIR5) with the Port of Montevideo and with towns and industrial zones in the country’s interior, strengthening Uruguay’s multimodal logistics capabilities, improving operational efficiency, reducing logistics costs, and contributing to sustainability. The project is also expected to generate direct and indirect employment, boosting economic activity beyond the metropolitan area.
Uruguay is consolidating its position as a strategic point for regional trade, with growing flows to Paraguay, Bolivia, southern Brazil, and northern Argentina. Railway modernisation will facilitate integration between rail, road, and ports, improving the resilience of the logistics system against crises or congestion and strengthening the country’s competitiveness in a scenario of greater commercial dynamism.
The financing package includes $10 million provided by IDB Invest and is complemented by $10 million from Itaú Uruguay, completing the project’s financial structure.
IDB Invest will also support Grupo RAS in implementing a plan to strengthen its environmental and social management, incorporating enhanced occupational health and safety standards and improvements in corporate governance to ensure the project’s long-term sustainability and resilience.
This project is aligned with the IDB Group’s regional program “South Connection,” which seeks to boost competitiveness and sustainable growth in South America by strengthening connectivity, trade facilitation, and logistics, with environmental and social sustainability as a cross-cutting principle.
