CABEI and Germany sign agreement to execute water and sewerage works in Central America
The EUR102.0 million agreement will contribute to sustainable water resource management, environmental protection and sanitation in Central America.
Tegucigalpa, August 28, 2014. - The Central American Bank for Economic Integration (CABEI) and the German government signed a cooperation agreement totaling EUR102.0 million to support the "2nd Water and Sanitation Program in Central America.”
The agreement signed with the German government KfW development bank will grant CABEI the resources to finance the "2nd Water and Sanitation Program in Central America" for an amount of EUR100.0 million, as well as non-reimbursable cooperation of up to EUR2.0 million for complementary measures that may be required in the project execution process. The program will also support the preparation of a regional diagnosis of the subsector.
The resources from this agreement will partially finance the project “Reduction of Non-Revenue Water and Optimization of Energy Efficiency,” in response to the efforts of the Costa Rican Institute of Aqueducts and Sewers to increase its institutional and operational efficiency.
The agreement will also strengthen the institutional, technical, commercial and management capacities of the Costa Rican Institute of Aqueducts and Sewers so that it can implement the project in a sustainable fashion, institutionalize a reduction in non-revenue water and improve energy efficiency on a long-term and autonomous basis.
This significant project is part of the Regional Water and Sanitation Program promoted by CABEI, and it is the second project of this magnitude to be supported by the German government.
CABEI Executive President Dr. Nick Rischbieth explained that the agreement involves coordination between officials from both organizations, who are committed to the region’s needs, which include water and sewerage projects.
Dr. Nick Rischbieth expressed his satisfaction to the interim Chargé d’Affaires of the German Embassy in Honduras, Daniel Kempken and his thanks for Germany’s participation in the region’s development process and its contribution to the wellbeing of Central Americans.
