The Inter-American Development Bank today announced the approval of a $30 million emergency loan to help Paraguay mitigate the effects of its economic crisis on the poorest segments of the population and to support modernization of social programs.
The resources will support the macroeconomic stabilization process, protect funding for social programs that benefit the poor and ensure that modernization efforts continue, especially in the areas of health and education.
The program will also ensure the availability of local counterpart resources for ongoing projects financed by the IDB and the World Bank that benefit the poor.
The loan will be for a five-year term, with a three-year grace period, at an interest rate based on LIBOR plus a 400-basis point spread.