IDB Approves $200M Credit Line to Boost Public Security and Justice in Uruguay

Uruguay, long regarded as one of Latin America's more stable countries, is now facing intensifying threats from organized criminal networks.

The Inter-American Development Bank (IDB) has approved a Conditional Credit Line for Investment Projects (CCLIP) totaling $200 million to support Uruguay’s efforts to modernize its public security and justice systems. This significant financing package will help the country confront growing challenges posed by organized crime, prison overcrowding, and technological shortcomings in law enforcement.

As the first operation under this credit line, the IDB’s Board of Executive Directors has greenlighted a $25 million loan for the program titled “More Security I: Advancing Key Areas of Public Security Management.” The initiative is part of the broader Alliance for Security, Justice, and Development, a regional IDB strategy that champions evidence-based public safety solutions throughout Latin America and the Caribbean.

Confronting Uruguay’s Evolving Security Threats

Uruguay, long regarded as one of Latin America's more stable countries, is now facing intensifying threats from organized criminal networks. These groups are exploiting gaps in the justice system, including:

• An overburdened prison system

• Outdated criminal investigation practices

• Inadequate police training to tackle emerging security threats, including cybercrime

The “More Security I” program responds with a multifaceted modernization strategy aimed at reinforcing state capacity in public safety and law enforcement.

Reforming the Prison System: Infrastructure and Protocols

A major component of the initiative involves strengthening Uruguay’s correctional system, which has been plagued by overcrowding, violence, and insufficient resources.

To this end, the project will fund:

• The construction and equipping of a new Assessment and Referral Center (Centro de Evaluación y Derivación, CED) in the country’s interior region. This facility will serve as a hub for classifying and managing inmates, improving individualized care, rehabilitation strategies, and overall inmate flow management.

• Implementation of advanced prison security technologies, including surveillance, biometric controls, and digital tracking systems, to enhance safety for inmates and corrections personnel.

• New management protocols to improve institutional coordination and reduce the risks of internal violence and criminal activities managed from within prison walls.

These measures aim to ensure more humane incarceration, improve working conditions for staff, and reduce the prison system’s role as a breeding ground for organized crime.

Upgrading Criminal Investigations and Policing Capacity

A second major focus of the program is to modernize Uruguay’s National Police and increase the effectiveness of criminal investigations, particularly those involving homicides, organized crime, and cyber offenses.

Key investments include:

• Acquisition of scientific and technological tools, such as digital forensic kits, criminal intelligence software, and advanced equipment for cybercrime units.

• Upgrades to police protocols to strengthen evidence-based investigation techniques and ensure greater transparency and effectiveness in law enforcement.

These reforms will enhance Uruguay’s capacity to identify, track, and prosecute serious offenders, contributing to a stronger and more trusted justice system.

Professionalizing the Police Force Through Education

One of the most forward-looking elements of the project is the development of a new competency-based training model for police officers. Recognizing the need for a more professional and analytically equipped force, the project will:

• Create a credit-based university career path for law enforcement personnel

• Establish specialized training programs in key areas such as criminal analysis, leadership, and investigative techniques

This approach aims to transform policing into a professionalized and evidence-informed discipline, with a curriculum that evolves to meet changing threats and technologies. The goal is not only to equip officers with modern tools but also to build a culture of ethical, accountable, and community-centered policing.

Loan Terms and Execution

The $25 million loan is structured as a Specific Investment Loan with the following terms:

• A repayment period of 24.5 years

• A six-year grace period

• A five-year disbursement window

The Ministry of the Interior will act as the executing agency for the program, overseeing implementation in collaboration with national security institutions and justice system stakeholders.

A Regional Model for Security Sector Reform

By aligning itself with the IDB’s Alliance for Security, Justice, and Development, Uruguay’s public security overhaul is expected to serve as a regional model for institutional reform. The alliance emphasizes data-driven, inclusive, and sustainable solutions to the complex issues of crime and justice in Latin America.

The $200 million CCLIP framework enables Uruguay to expand this initial operation into future phases, which may include further infrastructure upgrades, digital transformation of justice services, and deeper institutional reform across the judiciary and law enforcement sectors.

This first step—embodied in the “More Security I” program—signals a bold shift toward smarter, more humane, and more effective public safety governance in Uruguay.