Background
The State of Sonora faces critical water and wastewater challenges due to recurring drought conditions and the deterioration of essential service infrastructure, as well as air quality issues associated with deteriorated or unpaved roadways, limited connectivity in certain areas and insufficient green spaces. In addition, there is a need to upgrade essential public infrastructure, improve solid waste management systems and expand access to public facilities that are energy- and water-efficient, all of which will contribute to improving the quality of life for residents.
The State developed a Comprehensive Investment Program designed to address essential infrastructure needs, generate environmental benefits and support the economic development of the state. Projects to be financed under the program must be aligned with the Sonora Sustainable Public Finance and Investment Framework. In November 2025, the Congress of the State of Sonora approved a decree authorizing the State to issue debt for up to $1,500 million pesos to support public infrastructure works and priority investment projects in 2026.
Project Scope
In its Comprehensive Investment Program, the State of Sonora identified and prioritized an indicative list of environmental infrastructure projects to be funded with the loan proceeds:
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Water and wastewater management. Rehabilitation, relocation and equipping of 27 water wells in 15 municipalities; replacement of deteriorated waterlines in nine localities, including equipment for four pump stations; and improvements in wastewater collection and treatment systems.
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Transportation infrastructure. Paving of dirt roads, including approximately 3.5 kilometers (2.2 miles) in Puerto Lobos; and construction and rehabilitation of deteriorated roadway infrastructure to optimize urban vehicular and pedestrian mobility in the municipalities of Hermosillo, Agua Prieta and Nogales
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Waste management. Expansion, construction and equipping of infrastructure for the disposal of municipal solid waste, including construction of a second phase of the Puerto Peñasco sanitary landfill.
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Energy efficiency. Rehabilitation, modernization and equipment to increase energy efficiency of four public buildings in the municipalities of Hermosillo and Magdalena.
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Urban development. Rehabilitation and equipping of parks, green areas and public spaces, including La Sauceda Park and Cerro La Cementera, and equipping the sports facilities in Hermosillo, incorporating energy- and water-efficient measures, improvements in stormwater management (including rainwater harvesting) and environmental infrastructure, as well as other components with demonstrable environmental merits for public urban spaces.
NADBank, through its Mexican subsidiary Corporación Financiera de América del Norte, S.A. de C.V. SOFOM E.N.R. (COFIDAN), participated in the competitive process with an offer for up to $650 million pesos (US$36.2 million) and won the bid for that amount.
Benefits
The projects funded under this program are expected to improve basic water and wastewater services, roadways and solid waste management, generate water and energy savings and/or reduce related contamination. Investments in public buildings will help optimize energy use, reduce high operation and maintenance costs, and improve the delivery of public services.
