The Ministry of Housing, Construction and Sanitation announced on March 20 the signing of a $200 million loan contract between the Ministry of Economy and Finance and the International Bank for Reconstruction and Development. The funds will finance Phase 1 of an investment program aimed at improving and expanding drinking water and sanitation services in the Lurín and Titicaca river basins.
This agreement was formalized at a ceremony held at the Government Palace, attended by President José María Balcázar. Balcázar said, “This program incorporates the circular economy approach that will allow us to expand service coverage and improve environmental quality. In the case of Puno, it will directly contribute to preserving Lake Titicaca.”
Most of the resources are earmarked for interventions in Puno, including implementation of Agreement 025—a major project expected to provide quality drinking water and sanitation services to more than 154,000 residents through installation of over 10,000 new potable water connections and nearly 7,000 sewer connections.
Minister of Housing Wilder Sifuentes Quilcate said, “This agreement has more than 200 km of networks and pipelines. It is important because a new drinking water treatment plant will also be built with automation through the SCADA system, which brings modernity.”
The financing will also support preparation of technical documents for construction of wastewater treatment plants in Lurín and Pachacamac (Lima), as well as pre-investment studies for five additional plants in Ayaviri, Moho, Puno, Ilave, and Juli (Puno). The Ministry’s National Urban Sanitation Program and Safe Water Program for Lima and Callao will oversee execution with technical assistance from its Directorate General for Programs and Projects in Construction and Sanitation.
According to officials, this comprehensive program involves total investment exceeding S/2.2 billion across two phases. It aims to promote sustainable solutions that ensure basic quality services while supporting social development in Puno and Lima.
