The Inter-American Development Bank Group (IDB) expects to more than double its annual financing to companies in Latin America and the Caribbean over the next four years, a move that will help the Group fulfill its mission to promote development though the private sector in the region.
The IDB is the largest source of development financing for the Latin American and Caribbean region. Their mission is to support efforts by Latin American countries to reduce poverty and inequality.
Private sector financing by the IDB Group—including loans and grants—is expected to exceed $3.0 billion per year by 2015 from $1.4 billion in 2010. The Group is comprised by the Inter-American Development Bank (IDB), the Inter-American Investment Corporation (IIC) and the Multilateral Investment Fund (MIF).
The IDB is expected to increase its operations without a sovereign guarantee in small and vulnerable countries in the region and boost lending to private sector projects that will help promote greater social inclusion and poverty reduction, as well as help the region mitigate and adapt to the effects of climate change and improve its competitiveness with better infrastructure.
Under the capital increase, the IDB is expected to boost total lending to small and vulnerable countries to 35 percent of its total lending by the end of 2015. Lending in support of climate change adaptation initiatives as well as projects in renewable energy and environmental sustainability is expected to reach 25 percent of total lending by 2015, from an average of 5 percent over the 2006 to 2009 period.