IDB to Fund Brazilian Sanitation Project

The Inter-American Development Bank (IDB) has agreed to fund $600m to implement sanitation projects in Brazil’s Sao Paulo state.

The loan from the US-based bank will be used to finance the work on the phase III Tiete River sanitation project, which will further expand sanitation services in the metropolitan area of Sao Paulo.

The project includes construction of 580km of main sewers, 1,250km of secondary sewer lines and 200,000 new household connections.

The sanitation project will boost wastewater treatment capacity by 7,400l per second, an increase of 41%.

The project will cost $1.05bn out of which Sao Paulo state water utility Sabesp will contribute $200m and the remaining money will come from other sources.

Phase III of the Tiete project is scheduled for completion in 2016, and the work will be managed by a Brazilian consortium.