Uruguay’s multi million port expansion project

BID Invest will provide $103 million to Terminal Cuenca del Plata S.A. (TCP). In addition, a further $46 million will be provided by BBVA, which will be used to design, build and operate the extension at the port.

“For BBVA, this deal marks a new milestone in our commitment to support Uruguay in its local and international growth,” said Alberto Charro, the bank’s CEO in Uruguay.

He also stressed the importance of the synergy between multilateral organizations, in this case BID Invest, and international private-sector banks to promote investment and development.

Extended port

The expansion project, which involves an estimated capital investment of more than $500 million, envisages the construction of a second wharf, designed to receive ships with a deeper draft than the current one and a container yard, which will more than double the current international cargo volume of the port.

Crucially, the port extension will also have a direct impact on the growth of the Uruguayan economy, boosting competitiveness in foreign trade, generating quality employment and positioning Uruguay as a regional player in logistics.

TCP said it is committed to an ambitious environmental and social action plan. This includes improvements in the management of environmental, social, labour and occupational health and safety risks to optimise port efficiency.

The transaction will support several UN Sustainable Development Goals (SDGs): Industry, Innovation and Infrastructure (SDG 9), Climate Action (SDG 13), Partnerships for Achieving the Goals (SDG 17), Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8).

The BID Invest loan will be coupled with a facility granted to commercial banks by Crecendo, Belgium’s export credit agency, for a total approaching $340 million.