CAF and MCDF join to lift air connectivity in Latin America and the Caribbean
March 26, 2024
CAF established a partnership with MCDF where the main deliverable will be a pilot project concept paper, that is expected to last 3 months from inception and with an estimated budget of USD 157,500.
Airports are an essential part of the transport and logistics network in Latin America and the Caribbean, and a means to improve connectivity between cities and countries. However, they also generate negative externalities such as noise, pollution, ineffective space usage, road congestion, and other environmental concerns.
For that reason, CAF, Development Bank of Latin America and the Caribbean, and The Multilateral Center for Development Finance (MCDF) established a partnership where the main deliverable will be a pilot project concept paper with an estimated budget of USD 157,500.
The work will include a three-month study to gather data on city airport dynamics and features, the link between national and cross-border connectivity and issues around asset ownership, management modalities, investment requirements, operational matters, and financial, economic and safeguards considerations.
"Our partnership with the MCDF marks a crucial step in CAF's commitment to enhancing airport infrastructure in Latin America and the Caribbean. By securing this technical assistance grant, we are not only investing in the future of city airports but also in the economic growth and connectivity of the region as a whole. Together with MCDF, we are confident that we can pave the way for transformative change in the aviation sector," said Ignacio Corlazzoli, Manager of Resource Mobilization and Global Alliances.
Based on this information and analytics, CAF will be better equipped to consider a first project in the area, and thereafter craft an appropriate proposal for project preparation (i.e. a feasibility study).
In addition, CAF will be responsible for the implementation of the proposed technical assistance, including hiring a consulting firm which provides three individual experts with experience in city airport work, as well as in urban and regional development.
It is prime to highlight that the expected outcome for this project leans in the wide range of economic and social benefits across Latin America and the Caribbean. These benefits include economic growth, infrastructure development, increase of tourism, employment, connectivity, and community development.