Right in the center of Asuncion, Paraguay is the neighborhood of Chacarita Alta, an informal settlement formed more than 60 years ago as a result of migration to the city that occupied the northern flood zones of the Bay of Asuncion. Chacarita Alta is in a privileged location, located in the historical center of Asuncion, within walking distance of landmarks such as the Parliament, the Government Palace, the Cathedral, and the Asuncion Waterfront; additionally, it is not at risk of flooding. However, today Chacarita Alta is a neighborhood made up of dead-end streets and a complex web of passageways that impede both communication with the rest of the city and the socioeconomic development of the neighborhood.
The families of Chacarita Alta are living with inadequate water, power, and street lighting services, and a complete lack of sewers and rainwater drainage systems. Sanitation conditions in the neighborhood are also quite weak due to minimal waste management services, leading most families in the neighborhood to dispose of their waste in water channels that run through Chacarita Alta and go into the Bay of Asuncion.

For over two years the IDB has worked with the Housing and Habitat Secretariat (SENAVITAT), the Municipality of Asuncion, the Ministry of Public Works and Communications and the NGO Habitat for Humanity Paraguay (Habitat), among other key stakeholders, to design a comprehensive transformation intervention to improve the living conditions of the more than 700 families living in Chacarita Alta. Last August, the Chamber of Deputies of Paraguay approved a loan of US$ 30 M from the IDB to SENAVITAT, of which US$ 14M will go to finance investments in basic and urban infrastructure within the neighborhood, allowing for property registration, improvement of distribution pipes for drinking water, opening of streets and walkways, installation of a secondary sewage system, and creation of a proper drainage system, among other improvements.
The MIF has looked to support this process of comprehensive transformation by helping to facilitate consultations with neighbors to ensure that the coming urban investments address their demands for improving their living conditions. To this end, as part of our strategy for Inclusive Cities, a Technical Cooperation grant of approximately US$ 1M is being implemented in partnership with Habitat for Humanity Paraguay, which will be leading community engagement activities within Chacarita Alta.

After having just opened their office within the Pastoral Social’s Chacarita Community Center, Habitat has already began working on the social component of the transformation project by going into the different sectors of Chacarita Alta and approaching the community to socialize the project and raise first-hand information on the living conditions of the families, the status of ownership of their homes, and their expectations for the transformation of their neighborhood. After the official approval of the loan, on August 31st Habitat held its first workshop with the community to inform them about the project and field any questions or concerns raised by community members. Representatives from SENAVITAT and the Municipality were present and the event was widely supported by the community, with approximately 250 residents gathered to learn more about the project and voice their own proposals and concerns. In the coming months Habitat will continue to work closely with the community and play an active role in coordinating with all the government agencies to ensure that the requests of the community are taken into account when investments in basic and urban infrastructure begin in Chacarita Alta.
