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Project number

Executing Unit

Superheroes of
Development edition

DECEMBER 2024

Xochi,

Corredor de las Flores Development edition

The CA-2 West highway in Guatemala is a critical link for Central America, 
carrying 75% of the region’s cargo from Mexico to El Salvador.

Traffic congestion between San Antonio and Cuyotenango led to the construction of Xochi, a 31-kilometer,

first-class

HIGHWAY

set to reduce travel time from over by increasing speeds from 19 to 80 km/h.
Managed entirely by private actors, the project is expected to be 
operational by 2025.

Key Challenges & Lessons Learned

Land Acquisition

Without state expropriation tools, Fondo BPS had to negotiate with a wide range of landowners and occupants. Solutions included property exchanges, shareholder opportunities, resettlement plans, and adjustments to the road laoyout to accommodate owners unwilling to sell.

01

02

Community Engagement


Initiatives like Xamba and Emprendex prioritized hiring local workers 
and engaging local businesses,
while a reforestation program
trained women and youth to
manage nurseries.

03

Risk Management

With no state involvement, private actors bore all risks. To mitigate these, Fondo BPS established partnerships with contractors and suppliers, negotiated materials at preferential prices, and hired a 
single supervisory company to manage activities, ensuring adherence 
to time, cost, and quality standards.

Discover more about the lessons learned here.

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Find more

useful information here:

Check out this publicationx

Infraestructura regional para el desarrollo económico y logístico de Centroamérica y República Dominicana. Juan Pablo Matiz, Osvaldo Landaverde, Isabel Granada, Marelia Martínez Rivas. Banco Interamericano de Desarrollo, 2022.

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