| Project Name | Urban and Sustainable Infrastructure Program – Aracaju City of the Future | ||
| Country | The Federative Republic of Brazil | ||
| Area of Operation | Multiple Areas | ||
| Concept Approval Date | 24 December 2021 | ||
| Board Approval Date | 13 December 2022 | ||
| Total Project Cost | BRL 598 million | ||
| Initial Limit of NDB Financing |
Up to 84 million | ||
| Current Limit of NDB Financing |
Up to 84 million | ||
| Borrower | Municipality of Aracaju | ||
| Project Entity |
Municipal Government of Aracaju (PMA) through its Municipal Secretariat of Infrastructure (SEMINFRA). | ||
| Project Context | Aracaju is the capital of the state of Sergipe in the northeast region of Brazil. Aracaju’s population increased by 45% in the past 20 years and reached around 700 thousand in 2021. The rapid population growth has caused the municipality to face challenges related to inadequate urban infrastructure. This is reflected in the expansion of neighbourhoods to areas without stormwater and sewage system, unpaved and susceptible to floods. It also affects the Aracaju’s major mobility corridors with the reduction on the level of service and fast pavement deterioration due to the increase in traffic flow. | ||
| Project Objective | The Project aims to enhance life conditions of the population in a comprehensive manner through increase of sanitation coverage, street paving, elimination of flood areas, and improve accessibility and mobility throughout the city. | ||
| Project Description | The Project consists of the following components:
|
||
| Expected Benefits | The Project outcomes include: (i) a four percentage points increase of the population with access to sewage network, from 54% to 58%; (ii) a reduction by 25% of households exposed to waterlogging and floods; and (iii) a reduction in the average number of road users with over an hour commute time throughout the city, from 11% to 4%.
The Project will contribute to economic and social development of Aracaju by providing basic infrastructure to most vulnerable areas and improving intracity connectivity, in line with its Urban Development Master Plan. |
||
| Environmental and Social Aspect | The Project has been classified as “Category A” in accordance with the NDB Environment and Social Framework. The main Project’s Environmental and Social impacts include: (i) acquisition of public and private land, and resettlement; (ii) interference in aquatic habitats and impacts on biodiversity; (iii) temporary disruption of traffic and public utilities, (iv) occupational health and safety risks, and general pollution emissions; and (v) discharges during construction. | ||
| Financing Aspect | The Project will be financed through the loan from NDB and counterpart funding from the municipality’s budget. | ||
| Source of Fund | Amount (USD) |
||
|
NDB Loan
|
84 million
|
||
|
Counterpart funding
|
21 million
|
||
| Implementation | PMA, through SEMINFRA, will be responsible for implementing the Project, ensuring compliance with applicable regulations and achieving its results. The implementation period of the Project is five years, starting from the beginning of 2023 till the end of 2027. | ||
| Contacts | NDB | Borrower | Implementing Agency |
|
Public Sector Department Fernando Silva |
Municipality of Aracaju
Edvaldo Nogueira, Mayor |
Municipal Government of Aracaju
Antônio Sérgio Ferrari Vargas, Secretary of Infrastructure |
|
