Tuesday, February 27

CAF closes 2021 with $ 13,200 million in approvals for the development of Latin America and the Caribbean

Throughout 2021, CAF approved a total of $ 13.2 billion to finance development initiatives in the countries of Latin America and the Caribbean.

The impact of these approvals means, for example, that more 2.5 million people will have new or improved potable water and / or sewerage connections; approximately 500 km of sewerage networks will be built; and more than 1 million people will benefit from climate vulnerability reduction projects.

29% of the approvals ($ 3,795 million) were used to respond to the crisis generated by Covid-19, including attention to the health emergency and support for fiscal consolidation, an aspect significantly affected by the health crisis.

26.9% of the loans ($ 3.555 million) were used for economic reactivation, especially in energy, transport and telecommunications infrastructures.

Additionally, through the productive and financial sector, $ 5,856 million were approved for public and private entities, as well as equity investments and participations in investment funds.

In 2021, CAF Asset Management, the manager of private equity debt funds to finance infrastructure, consolidated its presence in the region with $ 1,500 million in assets under management, and by 2026 it plans to be operating in 10 CAF member countries.

Also in 2021 the CAF Directory approved by consensus the largest capitalization in the history of the institution, for $ 7,000 million, which will allow it to double its portfolio by 2030.

The new resources will support the economic reactivation in the shareholder countries, and will help to consolidate the multilateral organization as the green bank of Latin America and the Caribbean.

“The performance of CAF In this complex year, it has provided important support for the countries of the region to overcome the socio-economic crisis generated by the pandemic. Looking to the future, we will continue to support consensus to face key issues in the region, such as climate change, digitization, increased productivity, integration, the greater role of the private sector and the reduction of inequalities “, He said Sergio Diaz-Granados, executive president of CAF.

From an institutional perspective, in September 2021 Díaz-Granados assumed the presidency of CAF with the aim of turning the institution into the green bank and reactivating Latin america and the caribbean, as well as promoting the development of sustainable and resilient infrastructures, supporting the private sector to increase formal employment, promoting gender equality, inclusion and diversity policies, and promoting the digitization of the countries of the region.

Regarding the environmental proposal, CAF presented at the COP26 de Glasgow the main lines of action to become the green bank of Latin America and support the countries of the region in their commitments to environmental conservation, preservation of natural ecosystems and energy transition.

During the summit, the organization announced that during the next five years it will mobilize $25,000 million to promote green growth in the region. This means that your green portfolio will go from 24% in 2020 to 40% in 2026.