NASSAU, BAHAMAS — The Inter-American Development Bank (IDB) has approved an US$80 million loan to strengthen New Providence’s resilience to recurrent flooding, aiming to reduce socioeconomic disruptions and protect key transport corridors across the island.

The loan will fund a Global Multiple Works (GOM) program to design and implement sustainable flood-mitigation and stormwater-management infrastructure in urban roads, main thoroughfares, and residential streets, while improving drainage systems and optimizing road maintenance. The initiative aligns with the IDB Group’s ONE Caribbean strategy for sustainable development and its Ready and Resilient Americas program to enhance disaster resilience in Latin America and the Caribbean (LAC).

According to the IDB, residents of New Providence will directly benefit from safer and more reliable mobility during adverse weather, while the island’s millions of annual tourists will also experience improved access.

Flooding in New Providence frequently causes significant socioeconomic disruption, as roads become inundated when drainage systems reach capacity. Impassable streets restrict mobility, limit access to essential services, disrupt economic activity, and accelerate road deterioration.

The program also supports the Ministry of Works and Family Island Affairs’ asset-management system, updates quality standards and specifications for road construction and maintenance—including drainage systems—and promotes universal accessibility standards for streets.

The US$80 million loan carries a 25-year repayment term, a 5.5-year grace period, and an interest rate based on SOFR. Officials say the project will strengthen the island’s flood resilience, safeguard infrastructure, and deliver long-term economic and social benefits for residents and visitors alike.