Preparation of CABEI-financed railroad projects progresses in the region
CABEI's actions are focused on developing a railroad transportation system that will reduce transportation time and logistics costs, increasing the region's competitiveness and the well-being of its inhabitants.
Tegucigalpa, April 16, 2021.- The president and chief executive officer of the Central American Bank for Economic Integration (CABEI), Dr. Dante Mossi, participated in the Latam 2021 Virtual Forum on Trains, where he highlighted the importance of supporting the development of the Rail Transport System, an aspect that will lower the logistical costs of transporting products and improve travel times, increasing the region's competitiveness, while enhancing its geographical position between the Atlantic and Pacific oceans.
He highlighted CABEI's recent advances and support in this sector. In the case of Costa Rica, in recent years CABEI has granted approximately US$2.2 million for studies and technical support for the Rapid Passenger Train in the Greater Metropolitan Area (GAM) of San José, which would transport 59.4 million people per year by 2050, with a route of 84.85 kilometers, powered by electricity and replacing the current service, with a positive effect on the reduction of greenhouse gas emissions.
Also, with support from CABEI beginning in 2018 and an extension in 2020 to US$1.66 million, CABEI is supporting the preparation of feasibility studies for the rehabilitation, modernization and expansion of the Tren Eléctrico Limonense de Carga-TELCA, which covers a route of approximately 240 km from Moín, in the province of Limón, to Muelle in the canton of San Carlos.
El Salvador is moving forward with the preparation of the feasibility study for the Pacific Train, with technical cooperation in the amount of US$450,000, which was approved by the Republic of Korea within the framework of the Korea-CABEI Single Donor Trust Fund (KTF). The purpose of the project is to support the Government of El Salvador in exploring the viability of the Pacific rail and train network for freight and possibly passenger transportation. This project will help promote national economic and commercial transformation, improve trade flows and land transportation safety, reduce road congestion and greenhouse gas emissions, and support El Salvador's Nationally Determined Contributions (NDC) goals.
In Guatemala, preliminary studies for the Guatemalan segment of the Central American rail freight connection project are being financed by the Knowledge Sharing Program (KSP) in the amount of US$466,900, as part of the non-reimbursable technical cooperation granted by the Republic of Korea to Guatemala through the Joint Cooperation Project with CABEI.
Dr. Mossi explained that Honduras has also requested support to prepare a Diagnostic and Prefeasibility Study for a Freight Train. In turn, the Dominican Republic has expressed interest in moving forward with a Diagnostic and Prefeasibility Study for the Freight and Passenger Rail Network between the cities of Santo Domingo and Santiago de los Caballeros.
At the regional level, CABEI is collaborating with SIECA's Transportation, Infrastructure and Logistics Directorate (DITIL), together with a regional technical group, to advance in the definition of a regional railroad instrument that will make it possible to define unified standards and criteria aimed at achieving regional interconnection and interoperability, thus strengthening Central American integration and economic development.
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