The expansion of the Atlantic Road will be funded with a donation of $50 million and other $50 million in loans.
The Taiwanese government will donate $50 million for the expansion of the Atlantic Highway, and has also authorized a soft loan for another $50 million for the project which has a cost of $119 million.
Lending by the Asian nation is at a rate of 1% interest, with a five-year grace period and payable over 20 years.
The government and the Millennium Challenge Corporation yesterday signed an agreement to start the process of installing an office for the Millennium Fund II, whose amount is $2.94 million.
From a press release issued by the Government of El Salvador:
On March 20 an agreement was signed between the Millennium Challenge Corporation (MCC) and the government of El Salvador to start the installation process for the Fomilenio 2 offices.
The Ministry of Environment and Natural Resources (MARN) will develop two water management projects in 2011.
During the presentation of objectives for 2011, MARN detailed the creation of a "Water Fund" of $ 79 million, through an agreement with the Spanish Agency for Development Cooperation (AECI) and the Technical Department of the Presidency of El Salvador .
To obtain a second donation from the Millennium Challenge Account, the country must reach the objectives of the program in the established dates.
The Millennium Funds Program (FOMILENIO), was started in El Salvador in September 12, 2007, with a total donation of $460.9 million, contributed by the United States Millennium Challenge Account (MCA).
The MCA could renew the program when it ends, if all its projects are completed within the established deadlines.
With approximately $10 million in cooperation from Japan, the construction of 3 or more hydroelectric plants could ready by 2011.
Each hydroelectric plant would be built on the Cahabón River and would produce a minimum of 250 kilowatts, and construction would cost an average $500 thousand.
The $10 million in cooperation are coming from the Japanese International Cooperation Agency (JICA).