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Cartista Deputies vs. Beto Ovelar: What is hidden in the US$75 million credit for rural roads?

Cartista Deputies vs. Beto Ovelar: What is hidden in the US$75 million credit for rural roads?

From ABC Color · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

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  • A dispute between Paraguayan senators and deputies over a $75 million rural road construction credit has intensified.
  • Deputies suspect Senator Silvio “Beto” Ovelar has ulterior motives, possibly involving $5 million allocated for consulting services.
  • The project's long timeline for road construction, with immediate funds potentially going to consulting, is a point of contention.

A dispute between ruling party deputies and Senator Silvio “Beto” Ovelar has escalated over a $75 million credit for rural road construction. Deputies are questioning the allocation of funds, particularly an estimated $5 million designated for consulting services, which they suspect is Senator Ovelar's true interest.

The deputies plan to question Public Works Minister Claudia Centurión on Monday about the project's details. Vice President of the Chamber of Deputies, Hugo Meza, stated that they want to understand all components of the project, including the substantial amount for "advisories" and other technical aspects.

Speculation suggests that Senator Ovelar's interest may lie in the approximately $5.05 million allocated for consulting. A key point of suspicion is that the project's clause 4.06 indicates that the road construction itself would not begin for seven years after the loan's approval, meaning work would likely start in 2033, well after the current government's term. However, the consulting funds could be disbursed much sooner.

Despite the controversy, the project is expected to be approved following intervention from Vice President Pedro Alliana, who reportedly admonished Ovelar. While the official reason for contention cited by some was that 50% of the credit was earmarked for works in the Caaguazú department, this aspect cannot be altered as the credit is presented as a take-it-or-leave-it proposal.

DistantNews Editorial

Originally published by ABC Color in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.