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IFC Advises the State Government of Bahia on the Rehabilitation and Improvement of Roads


In So Paulo:
Patricia Carvalho
Phone: (55 11) 5185-6873
E-mail: pcarvalho@ifc.org

January 12th, 2018—With technical advisory from IFC, a member of the World Bank Group, the Government of the State of Bahia, in Brazil, through its Secretariat of Infrastructure (SEINFRA), plans to promote the rehabilitation of BA-052, known as Estrada do Feijo (or “Bean Road”). The project is currently in public consultation stage; its final bidding notice should be published next March.

The project, which will be implemented through a Public-Private Partnership (PPP), involves the rehabilitation and maintenance of 462 kilometers of the Estrada do Feijo (BA-052), connecting the cities of Feira de Santana and Xique-Xique, and 85 kilometers of the BA-160 road, in the stretch between Xique-Xique and the ferry crossing point to the municipality of Barra. The project also includes the building of a new bridge over the So Francisco River that will connect the municipalities of Barra and Xique-Xique. The new roads structure will reduce travel times for pedestrians, passenger cars, and commercial vehicles, and make the river crossing—currently done by ferry—and travel between municipalities a lot safer.

The total investment is estimated at around BRL 705 million over the 20-year concession period. Residents of 18 municipalities in the western portion of Bahia State will benefit from the road improvements. This project innovates on the contract model for Road Rehabilitation and Maintenance (CREMA) currently in use in Brazil, as it will convert the existing short-term agreements into a PPP. This will contribute to improving the quality of the rehabilitation and maintenance services provided by private partners, and for a longer period—benefiting both users and the management of the infrastructure by the government.

The public consultation is the initial step in the implementation of the bidding process. The bidding is expected to start in March 2018. “We will hold a public hearing on January 18th to complete the auction bidding notice,” says Marcus Cavalcanti, the Secretary of Infrastructure for the state. “This project will contribute to the region’s development, which is of utmost importance for the state’s economy.”

The project is being designed with the technical support from IFC, in cooperation with the Inter-American Development Bank (IDB) and the Brazilian National Bank for Economic Development (BNDES) through their Private Participation Promotion Program, which aims to support the implementation of infrastructure projects in Brazil.

About IFC
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work with more than 2,000 businesses worldwide, using our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In FY17, we delivered a record $19.3 billion in long-term financing for developing countries, leveraging the power of the private sector to help end poverty and boost shared prosperity. For more information, visit www.ifc.org.

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