Brazil to Improve Environmental, Socioeconomic and Health Conditions in Parintins, Amazonas

The Inter-American Development Bank (IDB) has approved a loan of up to $70 million to enhance environmental, health, and socioeconomic conditions in Parintins, in the state of Amazonas, Brazil.

The operation, which the IDB Board of Executive Directors approved, consists of an Investment Loan for Specific Projects to support climate-resilient works and actions in the urban core of the Municipality of Parintins. The works are designed to improve the quality of drinking water services, increase access to sanitation services, reduce the risk of flooding, strengthen the range and quality of tourism experiences, and improve the way the Autonomous Water and Sewerage Service is managed.

The program will directly benefit 19,000 households with better sanitation, environmental conditions and urban planning. More specifically, 1,949 households will receive new sewerage and wastewater treatment services, and close to 1,000 households will become less vulnerable. In addition, 232 commercial units and 643 families (about 3,150 people) will benefit from resettlement support.

Similarly, the population of Parintins as a whole (116,439 people) will benefit from tourism-focused actions, which will especially favor those who work tourism and the municipality's artisans.

Parintins is the second most populated city in Amazonas and is located in the far eastern side of the state, approximately 369 km from the capital, Manaus. Its water and sanitation services are provided by the Autonomous Water and Sewerage Service, which will receive support on managing sanitation and water infrastructure and improving water production. In addition, certain areas of the city are highly vulnerable to flooding due to the low coverage and quality of the storm drainage system.

To address these challenges, the program will support works for water, and sanitation, and drainage infrastructure, as well as for urban planning, mobility and resettlement. It will also finance institutional strengthening actions, both for the Autonomous Water and Sewerage Service and the Municipal Department of Public Works and Utilities, as well as measures to bolster tourism. The program will weave gender and diversity inclusion measures into all of its actions.

These results will add to those already achieved by the PROSAMIN and PROSAIMAUES programs in Manaus and Maues in the State of Amazonas, benefiting over 350,000 people and with 1.12 billion dollars invested. It is important to highlight that the program contributes to the Amazonia Siempre initiative by aligning with its pillars of Sustainable Cities, Infrastructure, Connectivity, and Digital Inclusion, as well as its cross-cutting dimensions of Inclusion of Women, Youth, Indigenous Populations, Afro-descendants, and local communities, Climate Conservation, Biodiversity and Forests, and Strengthening of Institutional Capacities.

The $70 million IDB loan has a 23.5-year repayment term, a 7-year grace period, an interest rate based on the Secured Overnight Financing Rate (SOFR), and $17.5 million in additional local funding.

The loan is part of the IDB's holistic Amazonia Forever program, which aims to protect biodiversity and accelerate sustainable development on three fronts: expanding funding, boosting the exchange of knowledge, and facilitating regional coordination among the eight countries in the Amazon.