1. Environmentally Sustainable
Dollars & Cents
Economic Growth
The Inter-American Development Bank (IDB), the oldest and largest
regional multilateral development institution, was established in 1959
to help accelerate the process of economic and social development
in Latin America and the Caribbean.
Electric Development Program. Hydroelectric plant (177MW) Program to enhance Inter-American Development Bank education project in Haiti
distribution, transmission and energy saving/energy conservation (images courtesy of IDB)
T he Bank’s two main goals are to promote poverty reduction and social equity
as well as environmentally sustainable economic growth throughout the
region. The IDB also conducts research on development and economic and social
issues and provides policy advice to its member governments.
In 2007 the IDB approved US$9.6 billion in financing for projects in areas such
as renewable energy, sanitation, transportation infrastructure, microcredit and
social safety nets.
The Bank’s membership totals 47 nations, including 26 Latin American and
Caribbean countries, the United States, Canada, and 19 nonregional countries.
It provides loans, grants, guarantees and technical assistance to the public and
private sectors in its borrowing member countries. It is the only major multilateral
financial organization for the region that has country offices and technical staff in
all of its borrowing member countries.
The IDB Group includes the Inter-American Investment Corporation (IIC), an
autonomous affiliate that promotes economic development by financing small and
medium-sized private enterprises, and the Multilateral Investment Fund (MIF),
which supports micro- and small-enterprise development and market reform.
In carrying out its mission, the Bank has approved over $156 billion in loans
and guarantees to finance projects with investments totaling $353 billion, as
well as $2.4 billion in grants and technical cooperation financing. The Bank’s
operations cover the entire spectrum of economic and social development, with
an emphasis on programs that benefit low-income populations. The IDB also
lends up to 10 percent of its Ordinary Capital resources directly to the private
sector, without government guarantees.
In preparation for celebrating its 50th anniversary in 2009, the IDB is adjusting
its operations and refocusing its priorities to meet the evolving needs of its
members. The Bank has expanded its presence in the field, adopted a faster and
more flexible lending structure, and broadened its product mix to include loans to
subnational governments and projects without sovereign guarantees.
The IDB also maintains a close relationship with the fast-growing Hispanic and
Caribbean communities in the District of Columbia, where it is headquartered. The
IDB-DC Solidarity Program builds strategic partnerships with local community-
based organizations to promote development initiatives aimed largely at
low-income communities, with emphasis on education, health and economic
development. It provides grants, volunteers, equipment donations and technical
assistance. Since its creation in 1998, the program has disbursed more than
$2,300,000 in grants.
www IADB.org
The IADB Building 1300 New York Avenue in Washington DC
88 Best of DC Best of DC 12
Luis Alberto Moreno, President of Inter-American Development Bank