Lima To Reap Economic Benefits Of Pan American Games In 2019

Peru is expected to invest $1.5 billion in infrastructure for the games and at least 16 projects to improve chaotic traffic in the capital.

More than 1,000 companies are expected to compete for three key infrastructure projects for the 2019 Pan American Games in Lima.

As one of the growing economies in Latin America, Peru is expected to invest $1.5 billion in infrastructure for the games, including sporting facilities required by the International Olympic Committee (IOC) and at least 16 projects to improve Lima’s chaotic traffic.

The bidding process will involve the construction of accommodations for the Pan American Athletes Village, the sporting complex Andres Avelino Caceres and the High Competition Center of Callao. The total cost for all three facilities is estimated to be around $310 million, according to the Organizing Committee of the Lima 2019 Pan American Games (Copal).

Two other bidding processes—the High Performance Surf Center and High Performance Gymnastic Center—are expected to be announced soon.

Public and private investments for the 2019 games should have a positive effect on the construction and service industries and, consequently, on Peru’s economic performance. The Peruvian Ministry of Finance is estimating GDP growth of 3% for 2017 and 4% for 2018.

Lima was chosen in 2013 for the 18th Pan American and Parapan American Games, which will take place in Lima between July 26 and Aug. 11, 2019. The 41 countries of the Western hemisphere should be in attendance, with a total of 9,000 athletes competing in 29 sporting modalities. More than 250,000 tourists are expected for the event.

With 21 months to go before the Pan American Games’ inauguration, Copal is under criticism for its delay in announcing the bidding process. Its investment plan was released only last September, when it also announced the winner of the bidding process for the Pan American Athletes Village—the consortium Besco-Besalco, the Peruvian branch of Chile’s Besalco. The project consists of building 20 towers and a total of 1,090 apartments.

“We are working hard, taking care of Peruvians’ money and building the most efficient sporting facilities,” said Copal president Carlos Neuhaus last September. “We want to avoid stumbling, do things well and, of course, be on time.”

Every bidding process for Lima’s games will be conducted by Copal, with the technical support of the UK Department of International Trade, which was responsible for similar construction work for the 2012 Olympic Games in London.