Spain and CAF will organize a summit of Latin American and EU finance ministers
November 08, 2022
Spain, as Presidency of the Council of the EU, and CAF will convene the 27 Ministers of Economy and Finance of the European Union and their 33 peers from the Community of Latin American and Caribbean States (CELAC) to a meeting to be held in Santiago de Compostela in September 2023. This summit aims to generate new transatlantic synergies on key issues such as the green transition, inclusive growth, digital transformation and human development.
On the occasion of the Spanish Presidency of the Council of the European Union (EU), the Government of Spain and CAF - development bank of Latin America - will promote a meeting between the 60 Ministers of Economy and Finance of both continents, in order to align interests, synchronize development agendas, strengthen geopolitical ties and strengthen trade relations between Europe and Latin America and the Caribbean. The event will be held within the framework of the informal Eurogroup and Economic and Financial Affairs Council of the European Union (ECOFIN) meetings to be held in the north of Spain, specifically in Santiago de Compostela (Galicia).
“The first meeting of the EU Economy and Finance Ministers with the Latin American and Caribbean ministers is an unparalleled opportunity to strengthen economic, commercial and political ties between the EU and Latin America and the Caribbean, and should help the two regions face the great global challenges such as the green transition, economic reactivation or digital transformation. This joint work will help us find innovative solutions, new financing mechanisms and more opportunities for integration between the two regions,” said Sergio Díaz-Granados, Executive President of CAF.
At the request of the Spanish Presidency of the European Union, the identification of projects will be promoted throughout Latin America and the Caribbean in which European institutions can participate together with multilateral financial institutions in transnational investment projects to favor the integration of the economies of the continent. In principle, these projects would be focused on the ecological transition, digital transformation and basic social services (education and health).
CAF, the green bank of Latin America and the Caribbean
CAF has set itself the goal of becoming the green bank in the region to promote green growth through greater positioning and financing of environmental, forestry, energy, agricultural, climate and water projects. To do this, over the next five years it will allocate USD 25 billion to green financing, which will grow its green operations from the current 26% to 40% in 2026. This amount includes USD 1.25 billion for the preservation of the oceans.
As a sign of support for this new strategy, CAF's Board of Directors and Assembly approved by consensus, in March 2022, a historic capitalization of USD 7,000 million, which will allow the portfolio to double by 2030 and, with it, promote economic reactivation. equitable and inclusive, more actively support subnational governments, promote regional integration, enhance the role of the private sector and promote alliances with national development banks.