Bolivia to Expand La Paz’s Mi Teleférico Aerial Cable Car Network with IDB Support

The Inter-American Development Bank (IDB) approved $62 million in financing for a Bolivian program to expand the Mi Teleférico cable car network in La Paz by extending the Brown Line from Las Villas station to Pampahasi, providing sustainable and inclusive electric mobility.

The operation approved by the IDB's Board of Executive Directors will improve accessibility in the area served by the Brown Line and enhance the Mi Teleférico system’s overall environmental and financial sustainability. It will reduce travel times and emissions by moving passengers via aerial cable car instead of along the ground. The extended Brown Line will connect Pampahasi, one of the poorest outlying areas of greater La Paz, with the rest of the metropolitan area and provide better mobility for residents.

The operation will fund the installation of solar photovoltaic power generation systems in areas and stations managed by Mi Teleférico to provide sustainable electricity for running those stations. It will also incorporate energy efficiency systems to significantly reduce the system’s operating costs and emissions.

The program will benefit the estimated 2.2 million users and people in the Metropolitan Area of La Paz by increasing the share of solar photovoltaic power in the grid and by ensuring a financially and environmentally sustainable system for Mi Teleférico and the area’s cities. In particular, the 69,000 inhabitants of Las Villas and Pampahasi will benefit from the extension of the Brown Line. Low-income people, women, and people with disabilities will also especially benefit from the program.

The Brown Line will be extended 1.2 kilometers to allow residents of the new areas to access the world's largest aerial cable car network, at 31.6 kilometers in length. It will connect these new users to the main health, education, government, recreation, and employment centers in the cities of La Paz and El Alto. The operation will also reduce net CO2 emissions; provide safer, more efficient, more comfortable, and more affordable access for women; increase job opportunities; and promote inclusion of people with disabilities.

The program also aims to improve the Mi Teleférico system’s planning, management, and collection by incorporating advanced technologies. It will optimize systems like ticketing, electronic payments, and smart cards to speed up transactions and reduce wait times. These steps are part of a comprehensive digital transformation strategy that encompasses operational management, cybersecurity, energy, resources, and administration.

The $62 million IDB loan has a 21.5-year repayment term, an 8-year grace period, and an interest rate based on the Secured Overnight Financing Rate (SOFR).