The new administration has announced that the placement will be in the local market and resources will finance the 2016 budget.
The Ministry of Finance (Minfin) has released the rules for the bond issue and financing needed to make up the shortfall in resources for the new Guatemalan government.
Julio Héctor Estrada, head of the branch, told Elperiodico.com.gt that "we will be turning to the local market next week. The decision has been made because only half of the Bonds can be issued in the first half (Q4.7 billion, about $607,274,371) and that is not enough to make an issue abroad. But with this we will be able to breath life into the functioning of the government and although tax collections are above target, we will need Bonds because of cyclical spending ".
Out of a portfolio of seven infrastructure projects estimated at $1.3 billion and which are essential to the economic development of Guatemala, only one is just beginning to see the light.
The project to build the State Administrative Center, estimated at $200 million, is the only one that has started to be implemented since the National Agency for Partnerships for Economic Infrastructure Development (ANADIE) was created in 2013. However, the project, which is just at the stage of pre-qualification of companies, has encountered several obstacles that have delayed the process of making the award and starting the works.
An extension has been given, until April 20, to the deadline to prequalify for construction in a PPP model, for the Administrative Center of the State of Guatemala, a project which is estimated at $200 million.
Two investment projects totaling $200 million are mired in the bureaucratic processes required to start up this type of business model for the first time in Guatemala.
S21.com reports that "The National Agency for Partnerships for Economic Infrastructure Development (ANADIE) plans to put out to tender the construction of Puerto Seco Intermodal Tecum Uman, located in San Marcos, and the Administrative Center of the State, in the capital , before the end of the year, but due to bureaucratic processes it is still not known on what date these contests will be started.
Although it is not yet clear how it will be financed, representatives from both governments have started to work on the technical and legal details of the project.
Elperiodico.com.gt reports that "... Petroleos Mexicanos (Pemex) has put forward a scenario in which includes gas produced by Mexico and the gas imported from the US. The cost is estimated at around US $737 million and the execution would be carried out between 2016 and 2017. The rates, according to preliminary figures, would be around US $8.10 / MMBtu (one million BTU) between the cost of gas and its transfer to Guatemala. "
Two Spanish companies, one German, one Mexican, one French and one Guatemalan have been selected in the tender for the construction of a four-lane highway and commuter train.
The Companies Rios Ferrer, Guillén Llarena, Treviño y Rivera S.C. (Mexico) / Felipe Ochoa y Asociados (Mexico) / Consorcio Constructor, Supervisor y Certificador Internacional, S.A. de C.V. (Mexico), DB International GmbH (Germany) / Cal y Mayor y Asociados SC (Mexico), IDOM Ingeniería y Consultoría, S.A. (Spain), Advanced Logistics Group S.A.U. / Corporación Helio (Spain), Anzueto y Asociados (Guatemala) / Oficina Técnica de Estudios y Control de Obras, S.A. (Spain) and SETEC (France) / LOGIT Consultoría (Brazil) have been qualified to participate in the preparation of pre-investment studies, feasibility, implementation and operation of the beltway and commuter train. The winning firm will be announced in mid-July.
The announcement was made by the director of the National Alliance for the Development of Economic Infrastructure (ANADIE), Julio Héctor Estrada, who added that in the long-term they are looking at extending the route from Tecún to Puerto Quetzal.
Plans for the construction of the airport of Puerto de San José, Escuintla, are ready, and a partnership with the private sector is being sought to provide the finance of $140 million required for the project.
The aim of the construction of this airport is to relieve pressure on the air traffic in the terminal of La Aurora. Due to the fact that the necessary funds have not been obtained, the state is aiming to complete the project via a public-private partnership model.
According to the country's agency responsible for encouraging foreign direct investment (FDI), the agro-industrial sector is the most promising and important.
Fanny Estrada, director of the Guatemalan Exporters’ Association (AGEXPORT), commented that in several cases, "while demand exists for a product there is insufficient supply capacity," and added that, "there is potential to increase output in these areas".
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