Inter-American Development Bank
The Inter-American Development Bank (IDB) is a major international financial institution focusing on promoting economic development and social progress in Latin America and the Caribbean. Established in 1959, the IDB has contributed to the economic, social, and environmental progress of its borrowing member countries in Latin America and the Caribbean. In 2017, it had total assets of US$100 billion.
The IDB is a multilateral institution with 48 shareholder countries, including the United States, Brazil, Mexico, and several Caribbean and South American countries. It is currently owned by the governments of 26 borrowing countries, and its president is Luis Alberto Moreno, a Colombian economist who has been in his position since 2005.
The mission of the IDB is to reduce poverty and inequality in the region, with a focus on five key areas: economic growth, environment and natural disaster mitigation, poverty reduction, health, and education. It provides funding for projects that are designed to foster economic development and promote increased participatory growth through sustainable development programs. In addition, it supports research and development programs in the sciences, agriculture, and economics.
The IDB administers various types of financial assistance, the most popular being long-term loans and grants. The IDB often combines loans and grants for larger projects to increase their impact in the community. It offers both bilateral and regional programs, giving funds to creditworthy borrowers from both private and public sectors.
The IDB also provides technical assistance to support project implementation. It has a network of specialized funds, such as the Trade and Investment Fund, the Istituto de Desarollo de la Energia Renovable Fund, and the Mesoamerican Investment Fund, which invest in projects with high potential for regional development.
The IDB is active in the Caribbean as well, establishing the Caribbean Investment Facility in 2015. This facility provides funding for projects in the areas of health care, education, energy, water, food security, and infrastructure. It supports the growth of small and medium-sized enterprises, improves human capital and public sector performance, and increases climate resilience.
The IDB is one of the largest sources of development finance in the Americas. It has helped to promote regional integration, build resilience, and increase access to finance. Its wide-reaching projects benefit citizens and increase development opportunities throughout the region.
