IDB Invest, OPIC make $3bn LatAm project finance vow

IDB Invest and the Overseas Private Investment Corporation have signed a memorandum of understanding to invest a combined $3 billion in development projects in Latin America and the Caribbean over the next five years, with the option of increasing the investment to $5 billion.

IDB Invest and OPIC aim to match this investment by catalyzing additional capital from the private sector, for a total ranging between $6 billion and $10 billion. 

The two lenders will focus on projects denominated in US dollars or local currency in the infrastructure sector, namely in the areas of transport, energy, water and sanitation, and social infrastructure, which includes health and education. They will also prioritize investment in businesses and funds owned by, led by, or providing a product or service that intentionally empowers women.

Both institutions will explore providing clients a variety of solutions beyond senior debt, including mezzanine financing and equity.