Program will benefit 190,000 households with collection, transportation, recycling and disposal services
Bolivia will improve municipal solid waste management services including sweeping, collection, transportation, and disposal, with a $20 million loan from the Inter-American Development Bank (IDB).
The program is expected to increase the final disposal of trash in landfills from 37 percent to 51 percent nationwide, contributing to environmental improvements in Riberalta, Potosi and other Bolivian cities. The program, which will benefit approximately one million people, was designed taking into account lessons learned throughout successful experiences in other cities, including La Paz.
As part of the program, comprehensive municipal service frameworks will be implemented covering street sweeping, collection, transportation, recycling and disposal of solid waste through activities that enhance the quality and coverage of the various services, increase the disposal of trash in landfills and improve the operating efficiency of service providers.
The program will also improve the quality of life of recyclers currently working in landfills, offering them training under the framework of a labor inclusion and formalization plan. Participation and training of all stakeholders at all levels of the solid waste management process is crucial to the financial and institutional sustainability of these municipal services.
The resources of the loan come from the IDB’s Ordinary Capital (OC) and the Fund for Special Operations (FSO). The OC funds, totaling $16 million, will have a 30-year repayment term, a 6-year grace period and a variable interest rate. The remaining $4 million, financed by the FSO, of will have a 40-year repayment term and grace period, with an annual interest rate of 0.25 percent.