Paraguay to Receive IDB Loan

Paraguay has agreed to receive a $100m loan package from the IDB aimed at its public administration capabilities, it says. The package consists of 3 parts. A $51.6m 30-year term loan with a 6-year grace period has an interest rate based on Libor, and comes from the IDB’s ordinary capital. A 16-year $35.5m loan coming from the IDB’s ordinary capital flexible facility with a 9-year grace period and also has a Libor-based interest rate. A $12.9m 40-year term loan from the multilateral’s fund for special operations comes with a 0.25% interest rate. Proceeds will be used for social spending concerns and the modernization of systems in the government’s public administration.