The €75m loan will finance the construction of an approximately 360km-long 500kV transmission line from the Yacyretá hydropower plant to Villa Hayes in the greater Asunción area.
In addition, the loan will support the enlargement and modernization of three substations to help increase capacity and enhance the reliability of the power grid.
Besides loan, the project will receive a €10m European Union (EU) grant from the Latin America Investment Fund (LAIF), which is expected to be used by ANDE for installation of 625,000 new electronic meters under its energy loss reduction program.
The investments are in line with the EIB’s mandate to support economic development in the region.
The project will also be financed by other international financial institutions, including the Interamerican Development Bank (IDB) and CAF-development bank of Latin America.
