The Inter-American Development Bank (IDB) approved a US$100 million loan to strengthen water and solid waste management in Uruguay, boosting the country’s resilience and promoting circular economy practices. The initiative will benefit the entire population, with a particular impact on the two million inhabitants of the Montevideo Metropolitan Area.

The loan, the second phase of a reform programme, seeks to improve water security by reducing water losses, installing early flood warning systems and updating the regulatory framework on water pollution. It also aims to strengthen the agricultural and industrial productive sector through environmental improvements and new investment incentives.

In terms of solid waste, departmental governments will implement measures to optimise its management. These include facilitating food donations, regulating the proper treatment of electronic waste, recovering materials from construction and demolition sites, and ensuring the traceability and recycling of end-of-life batteries, including those linked to electric mobility.

The loan has a repayment term of 19 and a half years, a six-year grace period and an interest rate based on SOFR, supporting key reforms for the country’s sustainability.

Read the full article at the following link.

Access more information about the Support Programme for Policy Reform in Water Resources and Solid Waste II here.

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