November 29 (Renewables Now) - The Central American Bank for Economic Integration (BCIE) will loan USD 86.5 million (EUR 71.7m) to the Nicaraguan government so it could expand its electricity network.
This loan will be allocated to the National Programme for Sustainable Electrification and Renewable Energy (PNESER), which seeks to reduce electricity losses and extend the coverage of electrification throughout the country, the government said.
PNESER has a current goal to expand the country's distribution network from 6,755 km to 8,244 km in rural communities and from 1,060 km to 1,635 km in urban settlements. It is estimated that the expansion will benefit additionally 20,193 homes in rural communities and 16,350 homes in urban settlements.
In addition to the USD-86.5-million, the programme will also receive USD 10 million from the OPEC Fund for International Development (OFID), USD 76.9 million from the Inter-American Development Bank (IDB) and USD 5.3 million from the local government, reaching an overall of USD 178.7 million.
(USD 1 = EUR 0.845)