Skip to main content

$150m World Bank investment for Lima transportation systems

Cash injection aims to improve Peruvian capital's traffic management and road safety
By Adam Hill October 21, 2024 Read time: 2 mins
Lima, Peru: 'Only 18% of jobs are accessible within 45 minutes by public or non-motorised transport, contributing to congestion, environmental pollution and social inequality' (© Kirill Neiezhmakov | Dreamstime.com)

The World Bank has approved the first phase of a 10-year programme to transform urban mobility in Lima, one of the most congested cities in Latin America. 

A $150 million loan will be used to implement modern traffic light systems, an upgraded control centre, and an automated traffic violation detection system.

The project aims to reduce congestion and improve air quality by optimising traffic flows, while promoting active travel.

It will also improve road safety for pedestrians and cyclists as well as the flow of public transport vehicles at more than 500 intersections. 

World Bank says congestion costs in the city are equivalent to 1.8% of GDP, while vehicles account for 40% of the city’s greenhouse gas emissions.

"Lima’s public transport infrastructure and services have failed to keep pace with rapid urban growth, the adverse effects of which have been mostly felt by the poorest," the organisation adds in a statement. "Only 18% of jobs are accessible within 45 minutes by public or non-motorised transport, contributing to congestion, environmental pollution and social inequality."

The first phase will improve transportation options for 4.6 million Lima residents, increasing their access to transportation in acceptable conditions, economic opportunities, and essential services, it continues.

Traffic calming zones, called supermanzanas, will be established in five municipal districts of the Peruvian capital.

There will also be 50km of new bike lanes, along with a metropolitan public bike system with private sector participation.

“We are committed to transforming Lima into a city where everyone can move around safely and efficiently," says Rafael López Aliaga, mayor of Lima. "This project will not only reduce congestion and pollution but will also improve access to job opportunities and essential services for our citizens."

“This project is an important step toward a more sustainable and inclusive urban mobility system in Lima," notes Issam Abousleiman, World Bank country director for Bolivia, Chile, Ecuador, and Peru.

"Improving traffic management and road safety for sustainable transport allows us to help improve the quality of life of all residents, especially the most vulnerable."

Related Content

  • March 2, 2016
    World Bank to support integrated transport project in China
    The World Bank’s Board of Executive Directors approved a loan of US$120 million to China to support the integrated transport development in the Wuhan Metropolitan Region. Located in Hubei Province in central China, the Wuhan Metropolitan Region is a city cluster formed by eight smaller cities within a 100-kilometre radius of the core city Wuhan and has been selected as a pilot in China’s search for a new urban development model attuned to the national goals of promoting equity and environmental sustainab
  • March 4, 2015
    Lima moves forward in urban transport reform
    Lima’s city council has approved a regulation which prohibits minibuses, locally known as combis, in 16 of the Peruvian capital's most traffic-congested districts as part of an ongoing attempt to modernise its urban transport system. The new rules will take effect over the next year. The bill also included a measure to extend by three years the operating licenses for 399 bus routes, which the city is trying to streamline and incorporate into its integrated urban transport system, or SIT. The SIT is Lima’s a
  • June 21, 2012
    Development banks pledge US$175 billion for clean transport
    Eight of the world’s largest multilateral development banks (MDBs) banks yesterday pledged to invest US$175 billion over the next 10 years to support sustainable transport in developing countries. The pledge was made at the UN Sustainable Development Conference in Rio de Janeiro (Rio+20) by the African Development Bank, Asian Development Bank, CAF- Development Bank of Latin America, European Bank for Reconstruction and Development, European Investment Bank, Inter-American Development Bank, Islamic Developme
  • October 22, 2020
    ADB funds Xiangtan smart city ambitions
    Bank will help realise 60km of bus lanes with signal priority in Chinese municipality