Lobos, Cabei ink US$46.1mn loan agreement for roads, disaster prevention

Honduras' President Porfirio Lobos has signed a US$46.1mn loan agreement with the Central American Bank for Economic Integration ( Cabei) for infrastructure and natural disaster prevention works in the central district, which includes capital Tegucigalpa. Some 377mn lempiras (US$19.8mn) will be earmarked for completion of a beltway around the city, as well as road repairs and improvements along Tegucigalpa's outlaying areas. Work will be carried out by the public works, transport and housing ministry (Soptravi). Another 496mn lempiras will be used by the central district to prevent and mitigate natural disasters, with work including new bridges and drainage works, among others, the presidential website reported. Part of the loan will also be reserved for immediate response in case of a future natural disaster. The 15-year loan comes with a three-year grace period and 5.9% interest rate.