Economy and Finance Minister Luis Miguel Castilla said that $520 million will be used for public investments and $275 million for operations to support the balance of payments.

Castilla said there are four main focuses for the loans, which include social programs, infrastructure development, economic reforms and sustainable development policies aimed at mitigating the effects of climate change.

The government official said the cooperation with the IADB will allow the state to develop better social indicators, while also improving transportation and sewage infrastructure.

Castilla said that the loans will also help to improve Peru’s competitiveness and facilitate business, innovation and technology.

“The support from the Bank together with local knowledge and local consultants will help us create and set out important reforms for the country,” he said.