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💳Public works· 2020-2030

Road works on credit: the next government pays the bill

The transport ministry estimated the previous administration committed US$ 530 million in road works, reaching US$ 890 million once financing is added.

Under debateUnder public debate

Figure published by the sources

US$ 530 millones de obra comprometida en contratos firmados entre marzo de 2020 y febrero de 2025, que ascienden a US$ 890 millones con costos de financiamiento (Dirección Nacional de Vialidad, julio de 2025)

Bodies involved

Ministerio de Transporte y Obras Públicas · Corporación Vial del Uruguay

What it is

Much of Uruguay's road construction is contracted under the Cremaf model — construction, rehabilitation, maintenance and financing — in which the builder executes the work in about two years and the State pays in instalments over ten. The mechanism allows more roads to be built without paying up front, but shifts the bill to later administrations. It sits alongside road PPPs, concessions and the debt of Corporación Vial del Uruguay. At the end of Luis Lacalle Pou's government, in December 2024, the argument over how much work is already committed became public.

What is questioned

On 30 December 2024, Teledoce reported that incoming Transport Minister Lucía Etcheverry voiced concern over the inherited financial commitments and said that "the coming administrations will have to face" the payment obligations generated. Then-minister José Luis Falero replied that what was generated directly in his administration was "significantly lower" than the debt he had himself inherited, explained that some US$ 1 billion in Cremaf commitments correspond to two-year works with payments spread over ten, and argued that "they are nothing that could affect future planning, especially with a new budget that will have to be tackled". On 31 July 2025, Búsqueda reported that National Roads Director Federico Magnone estimated the inherited commitments at US$ 530 million — contracts signed between March 2020 and February 2025, with works to be completed between March 2025 and February 2030 — a figure that rises to US$ 890 million once financing costs are included. Magnone noted that Cremaf contracts were used extensively in the previous term, with projects of up to 100 kilometres, which significantly raised financing costs. In September 2025 the government presented a US$ 2.093 billion plan, of which US$ 635 million was already tied to prior commitments.

Why it matters to you

Financing roads over ten years means paying interest as well as asphalt: in the National Roads Directorate's estimate, US$ 890 million in contracts against US$ 530 million of actual construction. And it ties up much of the infrastructure budget of future governments before they are even elected.

Where it stands

Under debate

The road plan was presented to Parliament on 23 September 2025 and includes US$ 263 million for new roads, US$ 545 million for rehabilitation, US$ 1.047 billion for maintenance, US$ 125.4 million for work on 102 bridges and US$ 112.6 million for road safety. Opposition deputies said the plan is "more sparse" than those of previous terms. As of this file's closing (August 2026) there is no record of later developments.

This money does not travel through state procurement

The contract-by-contract cross-reference is not available for this file. The money is executed through a channel the public-procurement open data does not record, so putting a total here would be inventing it. The cited sources are, for now, the only public quantification.

Where it goes instead

Public-private partnerships (PPP), trusts, state-to-state contracts, direct agreements, or a state company's own budget. None of those channels publish their awards on the Compras Estatales portal.

The figures are estimates by the current administration about the previous one's commitments, disputed by former minister Falero; there is no independent audit validating them. Cremaf contracts are tendered and do appear in state procurement, but the search tool shows the awarded amount, not the ten-year payment flow or the associated financing cost.

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