Guatemala could take a decisive step in urban mobility with the presentation of the Master Mobility Plan for the Metropolitan Area, known as the “KOICA Plan”. The plan was delivered on September 26, 2025, to the Executive Branch by the Korea International Cooperation Agency (KOICA), in collaboration with the Ministry of Communications, Infrastructure and Housing (CIV) and the National Agency for the Development of Economic Infrastructure Partnerships (ANADIE).
The document proposes to organize traffic across the 17 municipalities that make up the Guatemala City metropolitan area through two main pillars: road infrastructure and integrated mobility.
Main pillars and proposals
- Expanded coverage: The plan seeks to connect the municipalities of San Juan Sacatepéquez, San Raymundo, Chuarrancho, San Pedro Sacatepéquez, Mixco, Chinautla, San Pedro Ayampuc, San José del Golfo, Villa Nueva, Guatemala City, Palencia, San Miguel Petapa, Santa Catarina Pinula, San José Pinula, Amatitlán, Villa Canales, and Fraijanes.
- Metropolitan transportation authority: The plan proposes the creation of a single entity responsible for route planning, schedule coordination, municipal collaboration, and regulation of mass public transportation services.
- New routes and services: It includes the extension of existing lines, such as the Metrorriel toward Palencia and Villa Nueva, along with new connections from Mixco, El Obelisco, and Santa Catarina Pinula. Feeder routes and coordinated integration among different transportation modes are also part of the proposal.
- Unified fare and renewed fleet: A common fare system is envisioned for all municipalities, including transfer options and interchange centers, as well as the promotion of electric units for public transport.
Legal and institutional challenges
The creation and operation of the new metropolitan authority will require overcoming legal, technical, financial, and governance challenges.
- Legal framework: The entity must have financial autonomy and a solid institutional structure.
- Proposed creation mechanisms: Three alternatives have been identified:
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- Establishment by decree.
- Coordination through a government agreement.
- Formation of a metropolitan association.
Each alternative presents distinct implications regarding autonomy, legal efficiency, and institutional design.
- Infrastructure priorities: The plan includes two ring roads and three radial routes as priority projects, which could be developed through public-private partnerships (PPPs), public tenders, public works contracts, or concessions. Feasibility studies are expected by 2027, subject to the corresponding budget allocation.
Investment opportunities
The Master Mobility Plan opens wide investment opportunities in road infrastructure, electric fleet modernization, and the development of fare collection and traffic control systems. These projects may be structured through PPPs, public tenders, or concession schemes, offering participation opportunities for both local and international investors.
Demand Projection and Financing
Implementation of the plan is expected to generate significant economic and social impact by promoting job creation, reducing logistical costs, fostering orderly urban expansion, and enhancing regional competitiveness. Its development will require public, private, and international funding sources, creating opportunities for banks, investment funds, and specialized operators interested in infrastructure and urban service projects.
Regulatory and legal aspects
Future stages of the KOICA Plan will also shape contractual frameworks, bidding processes, and project management models. These factors will be key for stakeholders seeking to participate in various phases, from structuring to operation.
The evolving regulatory and contractual environment will require specialized legal advisory services in PPPs and concessions, as well as administrative, urban, and environmental law.
Business preparation
Companies aiming to engage in future stages of the Plan can begin preparing now by:
- Conducting feasibility and risk analyses.
- Seeking strategic partnerships with local or international partners.
- Strengthening compliance and sustainability programs.
Anticipating these processes will enable potential participants to position themselves competitively once the bidding, structuring, and implementation phases of the Master Mobility Plan begin.
