Visions for Development · Edition 02

Visions for Development · Edition 02

Visions for Development is a magazine developed by CAF, the development bank of Latin America and the Caribbean, and Editorial EL TIEMPO, in partnership with the Special Content Agency (ACE), which analyzes global development challenges from a Latin American and Caribbean perspective.

A NEW SPACE FOR REFLECTION AND DIALOGUE

"Visions of Development is a response to the need to reposition Latin America and the Caribbean in the world. We invite academics, social leaders, business leaders, and the entire international community to join this initiative, contributing their perspectives and knowledge to build together a more prosperous future for Latin America and the Caribbean."

 

Sergio Díaz-Granados
Executive President of CAF

INTERVIEW

 

 

Former Mexican President Ernesto Zedillo calls for the defense of the multilateral trading system, which he calls a "global public good."

"We are witnessing the demolition of a rules-based trading system."

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DATA

USD 3.5 billion

Financing that would be needed between 2025 and 2029

to meet health, education, roads and water goals

USD 400 million

It is the financing that Latin America and the Caribbean requires

for biodiversity and ecosystems

18.400

are local governments

in 33 countries in the region

80%

of the inhabitants of Latin America and the Caribbean

resides in municipal capitals

POINT OF VIEW

CAF's commitment to a more just and sustainable region

By: Gianpiero Leoncini, Executive Vice President of CAF

In a global context marked by geopolitical tensions, inequalities, and multiple crises, Latin America and the Caribbean (LAC) finds itself at a crossroads: how to move toward development that combines economic growth with environmental protection and social inclusion. With the support of its 55-year history, CAF has taken on the challenge of catalyzing this change, aligning its strategy with the UN Sustainable Development Goals (SDGs) and the priorities of its 23 member countries.

The pandemic exposed the region's structural vulnerabilities. Added to this are the effects of climate change, which particularly threaten the small island states of the Caribbean and coastal communities. Faced with this scenario, the $7 billion capitalization approved in 2022 by CAF's Board of Directors was a milestone and a mandate to become the development bank that leads the transition toward green and inclusive economies and also energizes the private sector. This commitment shows tangible results. In 2024 alone, more than 4 million people gained better access to basic services, 5,000 SMEs received support to generate employment, and 11,000 microentrepreneurs accessed microcredit. Today, 41% of our financing is for green projects, and we have mobilized $3.6 billion from international sources, demonstrating our ability to articulate global solutions to regional problems.

Through CAF's 2022-2026 Corporate Strategy, our actions are structured in three dimensions. First, we concentrate our efforts on six areas of impact: fair energy transition, climate change adaptation, resilient territorial development, inclusive social well-being, physical and digital connectivity, and increased productivity through partnerships with the private sector. Second, we integrate fundamental principles into our operations: environmental sustainability, evidence-based decisions, institutional strengthening of our partners, a gender and inclusion approach, and attracting international resources. And third, we strengthen our institutional capacities, focusing on financial sustainability, talent development, digital transformation, geographic expansion, transparency, and the creation of innovative financial instruments.

Our interventions follow principles that multiply their impact. Fifty percent of sovereign projects include gender components, such as loans tailored to female entrepreneurs in Ecuador. We incorporate ancestral knowledge and facilitate South-South cooperation to replicate successful experiences, such as the Uruguayan wind energy model. Our strength enables innovations such as sustainable bonds linked to reforestation goals in the Amazon, always with anti-corruption systems that meet international standards. Partnerships with universities are developing local talent in critical technologies.

The challenges remain enormous. The region needs $150 billion annually to meet its climate commitments. A third of countries still face limitations in implementing complex projects. Integration between nations remains insufficient. That's why CAF is redoubling its efforts to increase climate financing by 2030, strengthen local governments with technology transfer, and deepen partnerships with multilateral organizations and the private sector.

Finally, CAF's impact is cemented by its internal agendas, which reinforce its ability to transform vision into action. In 2024, it consolidated the best risk rating in its history, which has been accompanied by the strengthening of human talent and a digital transformation strategy. In a world that demands innovative, sustainable, and fair solutions, CAF reaffirms itself as the strategic partner the region needs to move forward.

POINT OF VIEW

Access to information and sustainable development in LAC

By: Alejandra Claros, Secretary General of CAF

Multilateral development banks (MDBs) play an increasingly important role in achieving the Sustainable Development Goals (SDGs) and in climate finance. We are strategic players in mobilizing resources and generating impact in emerging economies. However, institutional diversity and the lack of comparable information limit the understanding of our true contribution, as well as the active participation of citizens.

Transparency is not an abstract value: it is an indispensable condition for making better decisions, allocating resources wisely, and avoiding duplication. It allows us to evaluate what works, improve what doesn't, and amplify the impact where it is most needed. Furthermore, it strengthens accountability and builds institutional trust. When information is unavailable or inaccessible, the capacity to govern effectively is weakened and citizen participation and collaboration are limited. In our region, where inequality persists as a structural challenge, transparency is also a tool for redistributing power and including those who have historically been excluded in decision-making.

In infrastructure projects—such as roads or dams in rural areas—open information is essential. Clearly publishing social and environmental impacts, along with enabling spaces for public consultation, fosters genuine dialogue between communities, authorities, and businesses. This early participation allows for resolving tensions, building consensus, and ensuring that development leaves no one behind.

Publishing data on social investments and their results allows rural communities to identify gaps, demand improvements, and participate with greater tools in the decisions that affect them. When data is clear, what was hidden becomes visible. And what is seen can be transformed. Thus, transparency contributes to closing historical gaps and moving toward more equitable territorial integration.

Advancing transparency involves more than increasing the amount of information published: it requires that it be useful, timely, and understandable. It is necessary to strengthen publication standards, promote accountability, and ensure that individuals and communities have access to data relevant to their reality. Only in this way will it be possible to democratize decision-making and strengthen the link between institutions and citizens. Transparency and access to information are not merely technical requirements. They are the foundation of modern, open governance oriented toward the common good. In Latin America and the Caribbean, we need information that flows, is reliable, and is available in a timely manner and in accessible formats.

As Gabriel García Márquez said: “The best news is not always the one delivered first, but often the one delivered best.” And in development, “delivering it better” means doing so with evidence, openness, and listening. At CAF, we embrace this commitment: that access to information is not a privilege, but a bridge. A bridge that connects institutions with citizens, financing with results, and data with decisions that transform lives.

SOCIAL DEVELOPMENT

The Caribbean: Development that demands resilience

Every year, Caribbean countries face the threat of natural disasters, which affect the availability of resources for economic and social growth, but they are also impacted by international crises that impact markets such as the oil market.

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Tourism, an economic alternative for indigenous people

CAF and UN Tourism launched the "Indigenous Tourism Challenge for Latin America and the Caribbean" to encourage indigenous communities to organize and turn this activity into a driving force for transforming their reality.

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Early motherhood, the high cost of lost opportunities and dreams

A study by the UN Population Fund reveals the strong impact of teenage pregnancies on the region's socioeconomic development and the perpetuation of poverty and inequality. However, this can be reversed by investing in prevention and working with young people.

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