The Andean Development Corporation (CAF) has confirmed its support for Bolivia by signing two agreements with the administration of Evo Morales.

CAF will grant non-reimbursable cooperation for the II Meeting of Heads of State of the South American Community of Nations to be held in the country in October. The total amount is US$279,000.

The second agreement guarantees the paving of a 71km section of highway between Huachacalla and Pisiga which, CAF believes, is important for Bolivia and for regional integration.

The paving of this 71km section would cut the travel times and road accidents in the area and improve the connection between Oruro, Bolivia’s fourth most populous city, and Iquique, Chile’s largest port.

The CAF board is also to approve a loan for the construction of the Riberalta- Guayaramer­n Highway as part of the IIRSA programme.