IDB Helps Stir Investments Across Latin America, Caribbean

The Inter-American Development Bank is lending USD5 million to support microfinance institutions across Latin America and the Caribbean. Photo by: Alex Munoz / IDB

The Inter-American Development Bank is lending USD5 million to a new social investment fund that will support microfinance institutions providing innovative financial solutions across Latin America and the Caribbean.

The Social Investment Fund 2010 targets firms that provides traditional microfinance loans bundled with other financial services to businesses and organizations working directly with low-income populations across the region. The fund’s goal is to create a new investment class where investors receive both economic and social returns, IDB explains in a news release.

The fund has raised a total of USD20 million from various individual and private investors. It will be managed by Global Partnerships, a non-governmental organization based in Seattle, Washington.

Meanwhile, IDB President Luis Alberto Moreno and Uruguayan Finance Minister Fernando Lorenzo have signed a USD1.2 million technical cooperation grant agreement for the development of public-private partnerships in Uruguay. The grant will be used to create incentives for private investment in infrastructure projects in the country.

About the author

  • Ivy Mungcal

    As former senior staff writer, Ivy Mungcal contributed to several Devex publications. Her focus is on breaking news, and in particular on global aid reform and trends in the United States, Europe, the Caribbean, and the Americas. Before joining Devex in 2009, Ivy produced specialized content for U.S. and U.K.-based business websites.