Senate approves loan for corridor in Paraguay amid corruption accusations at MOPC

The Paraguayan Senate approved in committee a $286 million loan for an integration corridor, while opposition senators accused the Ministry of Public Works of corruption for alleged overpricing in tenders, leading to the summons of Minister Claudia Centurión to provide explanations.

Senate approves loan for corridor in Paraguay amid corruption accusations at MOPC

The Paraguayan Senate approved in committee a bill authorizing a $286 million loan from the Japan International Cooperation Agency (JICA) for the construction of the Southwest Integration Corridor. The project, which will connect the departments of Misiones and Ñeembucú, involves building 154 kilometers of highways and 25.37 kilometers of urban crossings between Yabebyry and Pilar, plus four bridges.

The Minister of Public Works and Communications, Claudia Centurión, highlighted that the project settles a historical debt with Ñeembucú, the department with the lowest percentage of paved roads in the country, improving connectivity and market access. The works are scheduled to begin in 2027, after the tender processes, and the bill now goes to the Senate floor for analysis.

However, the committee session was marked by harsh criticism from Senator Líder Amarilla (PLRA) of Minister Centurión's management. The lawmaker stated that the administration of the Ministry of Public Works and Communications (MOPC) has a "stench of corruption" and denounced that several works are awarded at prices significantly above reference values.

Amarilla cited data previously presented by Senator Éver Villalba (PLRA), who alleged overruns exceeding $157 million in 13 MOPC tenders from 2024 and 2025. As examples, he mentioned a project with a reference price of G. 40,000 million awarded for G. 49,000 million (21% more) and another of G. 72,000 million awarded for G. 114,000 million, a difference of about 49%.

The senator also questioned the cost per kilometer of the bioceanic corridor, estimated at $1.65 million, a figure he considered excessive when compared to regional costs between $600,000 and $700,000 per kilometer. He argued that these overprices reduce the length of the work that could be carried out with the loan funds.

Faced with the accusations, Minister Centurión chose not to respond during the committee meeting. She was summoned to appear next Monday before the Senate's Board of Directors, where she is to provide clarifications on the contracting mechanisms and the costs of the works. Senator Celeste Amarilla (PLRA) requested specific explanations about a tender in which a bid of G. 25,000 million was allegedly disqualified, while the award was made for about G. 49,000 million, raising suspicions of collusion between companies.

Share WhatsApp Facebook LinkedIn

Sources (2)

Updated: Aug 5, 2026, 1:07 AM