IADB supports Peru to promote private sector investment in electric mobility
Peru will encourage private sector investments in sustainable electric transport solutions with help from a $20 million loan approved by the Inter-American Development Bank.
The program will offer concessional resources from the Clean Technology Fund, as well as IADB’s own resources to provide long-term financing for the purchase of electric vehicles. The IADB loan consists of a $10.5 million tranche from the bank’s ordinary capital for a 20.5-year term, with a 6.5-year period of grace and interest rate based on LIBOR. The $9.5 million tranche from the Clean Technology Fund will have a 20-year term and a 10.5-year grace period.
The program will provide long-term credit through individual sub-loans to finance electric vehicle projects that will result in the migration to EV technology. These credits will be delivered through the national development bank Corporación Financiera de Desarrollo (COFIDE).
The resources will be delivered to final beneficiaries through accredited financial institutions. Financing will be made available to eligible projects, and may or may not include investments other than the vehicle itself, such as charging infrastructure.
