IDB approves US$135mn for Cortes port upgrade

IDB has approved a US$135mn loan to finance improvements at Honduras' Cortes port on the Caribbean coast, which handles nearly 90% of the country's maritime traffic. The expansion project includes dredging the port's basin and depositing the material to gain more land. The reclaimed area will be used for the port's future expansion, which includes an organic bulk terminal. The loan will finance 60% of the project, including construction of a new container terminal on the reclaimed land and acquisition of equipment, IDB said in a release. Funds will also be used to improve national port authority ENP's supervision of the port through training and technical assistance. The financing consists of a 30-year fixed-rate loan for US$94mn and a US$40.5mn loan from IDB's special operations fund, with maturity and grace period of 40 years and 0.25% interest rate. IDB also approved a US$10mn loan earlier this week to improve security and customs control at the port, the release said.