CAF is a financial institution established in 1970 that fosters sustainable development and regional integration in Latin America. It promotes an agenda for integral development that is focused on growth that is sustained, sustainable and of high quality through credit operations, non-reimbursable resources and through its support of the technical and financial structuring of projects in the public and private sectors.
It is comprised of eighteen countries of Latin America, the Caribbean, Europe and fourteen private Banks. CAF’s headquarters is in Caracas and has offices in Buenos Aires, La Paz, Brasilia, Bogotá, Quito, Madrid, Panama City, Lima and Montevideo.
CAF plays a catalytic role in counter-cyclical financial policies, and has become the main source of financing for infrastructure projects in South America and an important generator of knowledge for the region.
Currently, most resources come from the international capital markets. CAF also receives deposits from central and commercial banks in the region and obtains loans and credit lines from international commercial banks, official institutions, and, export credit agencies, provided they have imports that are related to projects financed by CAF.
What does CAF do with the funds borrowed from the financial markets?
In order to promote sustainable development and regional integration of its shareholder countries, CAF works as a financial intermediary to borrow resources from industrialized countries for use in Latin America, promoting investments and business opportunities in the region.
With these resources, CAF’s strategy focuses on promoting the socioeconomic development of its shareholder countriesby financing operations to improve competitiveness within the different sectors of the economy, social and economic infrastructure development, physical and border integration in the region, development of small and micro enterprises, consolidation of national and regional financial markets, development of human resources, and state reform and modernization.
In all of the foregoing activities, CAF takes environmental and social factors into consideration to ensure the sustainable use of natural resources.
Along these lines, CAF provides multiple, valuable and timely financial services to the public and private sectors in the form of loans, guaranties, collateral financial advisory services, investment banking, treasury services, shareholdings, and technical cooperation, among others. (go to Products and Services).