CABEI approves US$15 million for dry corridor in Nicaragua
CABEI supports the development of strategies to improve the living conditions of rural families and indigenous peoples in the dry corridor.
Managua, October, 27,2016.- The Board of Directors of the Central American Bank for Economic Integration (CABEI) approved a US$15 million loan to Nicaragua to partially finance the execution of the Project, “Sustainable Development of Rural Families in the Nicaraguan Dry Corridor"(NICAVIDA). The loan will complement US$20.5 million in financing provided by IFAD and US$13.0 million from national counterpart funds for a total of US$48.5 million.
The project aims to have a positive impact on poverty reduction because it will help beneficiary families obtain an increase in household income and a reduction in the rate of chronic child malnutrition.
The Project will also strengthen the population’s capacities for adaptation to climate change; 80 percent of beneficiary families will increase their resilience to climate change. In addition, 41,124 temporary rural jobs and 4,049 permanent rural jobs will be created with the implementation of family, territorial and competitive business plans.
CABEI's efforts will contribute to improving the competitiveness of rural small and medium enterprises in order to adequately insert them into the market.
The project’s executing entity will be the Ministry of Family, Community, Cooperative and Associative Economy (MEFCCA).
With this operation, total approvals made by CABEI for investment projects in 2016 to Nicaragua amount to US$380.00 million.
Currently, the CABEI Board of Directors is holding a meeting in the Nicaraguan capital in order to address strategic issues with regard to development programs and projects for the region and specifically for Nicaragua.
