The Finance Commission of the Bogotá Council approved the draft agreement presented by the Mayor’s Office, which authorizes a global quota of $11.7 billion, resources that will be used to comply with the 2020-2024 Development Plan.
The project, which is now undergoing a second debate in the plenary session of the Council, also includes the balances pending commitment from the previously approved quota and, if it receives final approval, it will allocate resources to strengthen the social and productive inclusion of citizens, to through education, progress in the construction of the second subway line and the promotion of the District Recreational and Care System.
“Bogota’s debt capacity continues to be exemplary, with a payment capacity indicator that currently barely reaches 4%, compared to the limit established by law at 40%; with levels of debt sustainability close to 47%, before the limit of 100%”, said Secretary of the Treasury Juan Mauricio Ramírez.
According to the official, the proposed actions will promote the economic reactivation of the city and will generate jobs and quotas in higher education, which will expand the potential of formal employment for young people.
The requested resources will be used to finance the construction of schools, the expansion of student scholarships, post-secondary and higher education, as well as the second line of the subway and various actions of the Recreational and Care System.
Bogotá currently has the highest rating on a local scale (AAA) by the rating firms BRC Ratings, Value and Risk and Fitch Ratings Colombia SA, and, internationally, it has the rating assigned by Moody’s (Baa2, stable outlook). ) in foreign currency, given since last October.
“These ratings ratify the economic strength of the Capital District, backed by its own income, as well as the solid practices of internal governance and of the Administration. Historically, Bogotá has maintained moderate levels of debt”, explained the official.
The Finance Commission of the Council also approved a debt quota of $3.8 billion for the EAAB, earmarked for the company’s Investment Plan, mainly to finance the Canoas wastewater treatment plant (PTAR), a project that will allow the treatment of 70% of the wastewater from Bogotá and 100% of the wastewater from Soacha, with which the middle basin of the Bogotá River will be cleaned up.
The Canoas WWTP will contribute 23% to meeting the country’s sustainable development goals (SDG) by 2030 and will improve the chemical and biological conditions of the Bogotá, Fucha, Tunjuelo and Soacha rivers.