AFD in Latin America and the Caribbean
At COP21, in Paris, Jolita Butkeviciene, European Commission (EC) Director for Latin America and the Caribbean, and Régis Marodon, Director of the Latin America and Caribbean Department at AFD, today signed a new financial partnership for sustainable cities in Latin America, in the presence of Luis Enrique Berrizbeitia, CAF 's Executive Vice President.
This technical cooperation program, which is financed via a EUR 4.2m grant, will allow CAF and its partners to define and implement climate strategies at local level. This European Union support is being provided through a blending instrument combining grants and loans, which aims to promote local investments that contribute to poverty reduction. This support, provided thanks to the LAIF (Latin America Investment Facility) program, comes in addition to a EUR 100m loan allocated by AFD in early 2015, which will finance projects for sustainable urban investments: construction of a public transport network, works to upgrade energy efficiency in buildings and street lighting, adaptation projects for cities exposed to water stress and the risks of extreme weather events.
This new stage is part of the three institutions’ “Cities and Climate” strategy in Latin America, a continent where 80% of the population is urban and where there are major urbanization challenges.
To expand a longstanding partnership between the French government and the Latin American and Caribbean region,
Inter-American Development Bank
(IDB) President, Luis Alberto Moreno, and French Development Agency (AFD) Chief Executive Officer, Anne Paugam, signed a Memorandum of Understanding (MoU) today in Paris, on the margins of the Latin American week.
“The Government of France, through AFD, has been a longstanding and valuable partner of the IDB,” said Bernardo Guillamon, Manager of the IDB’s Office of Outreach and Partnerships. “We view this latest agreement as a vehicle for continued and expanded partnership that is certain to make a transformative impact in the region in such priority areas as energy, infrastructure, education, and more.”
From left to right : Anne Paugam, French Development Agency (AFD) Chief Executive Officer, and Luis Alberto Moreno, Inter-American Development Bank (IDB) President
The new agreement builds on the previous MoU between IDB and AFD signed in October 2012, as well as past collaborations supporting Haiti’s coffee value and sustainable cities, among others.
The partnership framework agreement sets the principles of collaboration between AFD and IDB for the next three years, within the overarching strategic framework of each organization. Collaboration will encompass both sovereign and non-sovereign, including private sector operations through AFD’s subsidiary, Proparco.
The new agreement will support the expansion of the AFD-IDB partnership and cooperation ties for development efforts in Latin America and the Caribbean in areas such as climate change, urban development and sustainable cities, renewable energy and energy efficiency, water and sanitation, education and training and reduction of poverty.
Potential joint activities include project co-financing, exchange of personnel and secondments to support Bank operations, and knowledge exchange and dissemination activities.
The AFD and IDB are currently collaborating in multiple projects in Latin America and the Caribbean, including projects such as co-financings for the Line 2 for Lima’s Metro and programs for the development of sustainable cities in Colombia, the latter with support from the Latin American Infrastructure Fund (LAIF) of the European Commission.
About the Inter-American Development Bank
The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source of long-term financing for economic, social and institutional development in Latin America and the Caribbean. The IDB also conducts cutting-edge research and provides policy advice, technical assistance and training to public and private sector clients throughout the region.