CAF claims the development path for Latin America and the Caribbean at FFD4

During its participation in the fourth edition of the Financing for Development Conference (FFD4) in Seville, CAF -development bank of Latin America and the Caribbean- raised the region's voice and consolidated its leadership as a financier of development projects, generator of strategic alliances and promoter of innovative financial instruments that improve the quality of life of all citizens.

Among the most outstanding activities were the Board of Directors meeting (where a record US$5.2 billion was approved for sustainable development), the EU-CELAC meeting (which was a prelude to the next bi-regional summit in Santa Marta) and the meeting with the Arab Coordination Group (made up of ten Arab funds).

In addition, from its own space in the Real Fábrica de Artillería, CAF held workshops, events and meetings, as well as a television set with the participation of the main political, economic and development figures who attended the FFD4 in Seville. Their voices can be heard here.

At FFD4, CAF also outlined a new Latin American and Caribbean development path, especially through direct financing to subnational governments, social inclusion, gender, infrastructure, climate action or energy transition. The institution also analyzed new financial instruments that reduce the cost of financing, strengthen local capacities, minimize risk and ensure that financial tools are adapted to the context of the countries. Among the most outstanding formulas are Special Drawing Rights, guarantees, green bonds, debt-for-nature swaps and blended finance.

These are some of the activities that CAF carried out in Seville:

• CAF Board Meeting: USD 5.2 billion for sustainable development and regional expansion. In a historic Board of Directors meeting, CAF approved a record USD 5.2 billion for 16 operations in 10 countries in the region, which will be allocated to infrastructure projects, climate action, human development, urban mobility and energy transition. In addition, the institution continues to expand in Central America and the Caribbean with the inclusion of Guatemala and St. Lucia, the conversion of Barbados to a member country and the capital increase of Antigua and Barbuda.
  
  
• EU-CELAC meeting strengthens bi-regional cooperation. CAF co-organized a meeting between the European Union (EU) and the Community of Latin American and Caribbean States (CELAC), where mechanisms to mobilize green and digital investments were discussed. The meeting promoted the Global Gateway investment agenda and prepared for the IV Bi-regional Summit to be held in November in Santa Marta, Colombia. It also followed up on achievements since the III EU-CELAC Summit in Brussels. III EU-CELAC Summit in Brussels(July 2023), where the bi-regional partnership was relaunched, and the first meeting of Ministers of Economy and Finance in Santiago de Compostela, in September 2023.
  
  
• CAF coordinates meeting with 10 Arab funds: In a milestone for South-South cooperation, Latin American and Caribbean countries, the Arab Coordination Group (ACG)and the OPEC Fund for International Development created an investment committee to promote projects in critical areas of Latin America and the Caribbean, such as infrastructure, energy transition, food security and digitalization. The committee, which will be chaired by CAF, will analyze instruments such as green bonds and mixed public-private funds; facilitate the exchange of technology and knowledge; and prioritize climate-resilient projects with social impact.
  
  
• CAF in the FFD4: the voice of the region in major global forums. The institution actively participated in the FFD4 in Seville with more than 40 official events, highlighting cross-cutting themes such as innovative finance, gender and development, sustainable infrastructure, environmental financing mechanisms and just energy transition, among others. During the forum, CAF also joined global alliances, such as Beyond GDP or the Build Support for Global Public Investment Coalition, and signed agreements with institutions such as the EIB, Cox or the OEI.