IDB Approves Loan to Chile’s Public Transport

The IDB has approved a 16-year $400m non-sovereign guaranteed loan to provide financial support to Transantiago, the public transportation system of Santiago, Chile. The proceeds will be managed by Transantiago Financial Administrator (AFT), the private sector entity responsible for the system’s payments and collections. The loan will also support Chile’s comprehensive plan to improve the operation and quality of Transantiago’s bus and subway services, which are used by some 5.4m passengers a day. The IDB is also preparing a $10m loan for a program led by Chile’s Ministry of Transportation and Telecommunications to establish the Metropolitan Transportation Authority, which will monitor Transantiago’s services.