According to the developmnet objective is to improve mobility and logistics along selected corridors in the Itapua Department, and in case of an Eligible Crisis or Emergency, respond promptly and effectively to it.

The proposed project in Itapua-- a key agricultural hub with high export potential--seeks to address key bottlenecks in the region's multimodal logistics chain, particularly in the road network and the Parana River waterway. By rehabilitating and maintaining strategic road infrastructure, enhancing port access, and improving waterway navigability, complemented by institutional strengthening and capacity building activities to plan and manage multimodal transport logistics, the project aims to improve efficiency of freight logistics and to unlock the region's growth and job generation potential.The project will have five components:1. Road Transport Logistics (estimated total cost: US$228.2 million): This component will improve, rehabilitate, and maintain approximately 270 km of departmental and rural roads in Itapua--including main corridors, feeder roads, and port access routes--through performance-based contracts that focus on pavement quality, drainage systems, and road safety features. The project does not include the construction of new roads.2. Inland Waterway Logistics (estimated total cost: US$32.1 million): This component will install navigation aids, conduct maintenance dredging, and upgrading barge waiting areas to improve navigability and reduce delays.3. Institutional Strengthening and Capacity Building (estimated total cost: US$15.0 million): This component will strengthen institutions and capacity for road asset management and operations, road safety, and waterway planning, while supporting social and environmental interventions--including targeted assistance for Indigenous Peoples, small producers, and women--to promote inclusive logistics and sustainable development.4. Project Management (estimated total cost: US$4.0 million): This component will finance project management functions, monitoring and evaluation, audits, and environmental and social compliance activities for the Project Implementing Unit.5. Contingent Emergency Response: This component has no initial allocation. In the event of an eligible crisis or emergency, it will allow the GoP to gain rapid access to financing still available under the Project to respond to any natural or man-made event that causes (or may imminently cause) an adverse economic and/or social impact to the country.

World Bank
Task Team Leader: Yang Chen Title: Senior Transport Specialist
Email: ychen3@worldbank.org
TTL Contact: Javier Morales Sarriera Job Title: Senior Transport Economist
Email: jmoralessarriera@worldbank.org

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