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In accordance with governmental objectives, the Ministry of Public Works and Communications is developing various infrastructure projects nationwide, for which it is calling for bids from those interested in providing the required services.

Thus, for example, it foresees the construction of some 6,645 linear meters of bridges nationwide, including reinforced concrete, composite and metal bridges, at different points of the country. The goal would be the replacement of 12,000 linear meters of wooden bridges, having already been awarded more than 2,000 linear meters, while another more than 1,200 linear meters are under tender. This program began in 2015 and has resources until 2020, with financing from the Inter-American Development Bank (IDB), the Development Bank of Latin America (CAF), the Japan International Cooperation Agency (JICA) and a counterpart from the Local Fund.

It is also implementing the outsourcing of the road cleaning service since 2015. This year, a call for bids has been issued for the maintenance of the domain strip by levels of service for a total of 1,853 km of roads throughout the country. With this new call for tenders, more than 4,000 km of roads have already been tendered in three years, which shows that the modality is proving to be a success.

Guaranteeing Paraguay's growth requires an investment of around US$ 1 billion in infrastructure works executed, paid, built and completed each year, according to what was stated by the Minister of Public Works and Communications, Ramón Jiménez Gaona at the 2017 Economy Congress “Economic Regulation and Competition” -held at the end of July-, which is equivalent to 3.5% of the Gross Domestic Product. Being that the General Budget of the Nation currently limits infrastructure investment in the MOPC to US$500 million per year, it is vital for said portfolio to create favorable conditions for private capital investment in public works through tools such as the Public-Private Partnership Law and Law No. 5074 on “Turnkey” Projects.

For more information on bidding processes or private equity investment in public works, please contact Perla Alderete (palderete@vouga.com.py) or Walter Vera (wvera@vouga.com.py).

Source: Ministry of Public Works and Communications.

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