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According to the WB, the development objective is to enhance competitiveness and job creation in the State of Bahia through improved transport and digital access and support to new energy value chains.
The development objective of Bahia State Sustainable and Inclusive Development Policy Loan for Brazil is to enhance competitiveness and job creation in the State of Bahia through improved transport and digital access and support to new energy value chains. Increased economic competitiveness is central to Bahia's Pluriannual Plan (PPA) 2024-2027 and Development Plan 2035 (PDI 2035), and the Development Policy Financing (DPF) series supports reforms aligned with key PPA axes - Rural and Productive Development; Infrastructure and Logistics; and Science, Technology, and Innovation as well as Special Programs including Energize Bahia, Bahia Economic Growth, A More Digital Bahia, Accelerate Bahia, and A Greener Bahia, in line with Brazil's New Industrial Program (2024). The operation is structured around two pillars: Pillar 1, which enables accessibility to jobs and boosts productivity through improved transport systems and expanded digital access, including regulatory reforms that strengthen performance-based road rehabilitation and maintenance and advance sustainable urban mobility; and Pillar 2, which supports job creation through the development of new energy value chains and the expansion of new or improved energy infrastructure, including electric vehicle charging networks, biomass and biomethane production, and distributed renewable energy in isolated communities. The operation is aligned with the World Bank's Maximizing Finance for Development (MFD) approach and supports the Private Capital Enabling (PCE) corporate scorecard indicator, with results measured through performance-based road contracting, EV market penetration, private investment commitments in biorefinery value chains, biomethane tender volumes, and distributed renewable energy capacity installed in public schools, with cumulative PCE expected to reach at least US$2.8 billion by 2030. The World Bank Group adds value through complementary operations and knowledge activities in resilient road asset management, electric public transport deployment through private concessions, sustainable rural development, IFC support for Bahia's first biorefinery, and targeted technical assistance on sustainable urban mobility financing and EV charging standards. The operation is aligned with Brazil's Country Partnership Framework FY2024-FY2028, the World Bank Group's corporate priorities, the Gender Strategy 2024-2030, and the goals of the Paris Agreement, supporting greener competitiveness, institutional strengthening, and opportunities for replication across Brazil and the Latin America and Caribbean region.
CONTACT POINT
World Bank
Aiga Stokenberga
Senior Transport Economist
Manuel Luengo
Lead Energy Specialist
Borrower/Client/Recipient
Bahia State Government
Implementing Agencies
Bahia State Government
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