Governors Of The IDB Call For Increase In Private Investment, Reports Felipe Montoro Jens
On March 24, 2018 the Governors of the Inter-American Development Bank (IDB) met to discuss the possibility of increasing private investment in certain sectors, including, among others, banking and infrastructure.
The Governor’s individual views were as follows:
Minister of Planning, Development, and Management: Dyogo Oliveira
Oliveira proposed encouraging private investments in Latin America as a means of managing risk and bolstering the development of infrastructure in the region.
An increase in investment is also required to meet the demands of the next approaching revolution in Latin American Industry.
According to Oliveira, investment from the IDB has led to an increase in public-private partnerships, which are in line with the goals and best practices of the IDB and Latin America as a whole.
President Of The IDB: Luis Alberto Moreno
Investing in the connectivity between countries is also a priority for the IDB, points out Luis Alberto Moreno. Because investments in inter-country connectivity is lacking, the IDB will struggle to meet the needs of the region without further investment.
The IDB has also responded to the social demands of the region, and has made steps toward gender equality and environmental responsibility, according to Luis Alberto Moreno.
Ministry Of Planning: Important Facts
- 1,000 Public-private partnerships approved in the last decade
- Projects valued at $360 billion
- Many projects unable to make use of capital
- Loans to Brazil from the IDB increased 20%, totaling 12.9 billion.
Summary of All Views
- An Increase in Private Investment is needed to support regional growth
- Private Investment is also required to support inter-regional commerce
- Public-Private partnerships financed by IDB support regional and inter-regional growth and development
- Loans from the IDB are up 20%
- 1000 public-private partnerships have been funded by the IDB in the last decade
- Many public-private projects are unable to mobilize capital funds, presumably including IDB loans, according to the Ministry of Planning, Development and Management