The IDB Group supports companies and financial institutions of all sizes whose investments have a positive impact on the economic and social development of Latin America and the Caribbean. The IDB Group works with the private sector through the Inter-American Development Bank, the Inter-American Investment Corporation (IIC) and the Multilateral Investment Fund (MIF).

Through its private sector and non-sovereign guaranteed operations, the Structured and Corporate Finance (SCF) Department of the IDB provides direct loans, guarantees, and technical assistance to companies and financial institutions. It also provides indirect funding for private firms through local financial institutions and investment funds as well as loans and guarantees to eligible state-owned enterprises without a sovereign guarantee.

In addition, the Bank’s Opportunities for the Majority Initiative provides medium and long-term loans and partial credit guarantees to private sector companies of all sizes that are interested in supporting sustainable business models and market-based solutions to benefit low-income populations in Latin America and the Caribbean.

Through the IIC, the IDB Group specializes in access to finance and technical assistance for small and medium-sized companies. The MIF, Latin America’s largest grant fund, supports microenterprise and small companies.

The IDB Group supports private sector projects that foster:

• Greater social inclusion: education, health, housing, food security, job training and capacity building, projects to provide high quality services and products for low income populations (Base of the Pyramid), which also generates jobs.
• Greater access to basic services: infrastructure energy, transportation, water and sanitation.
• Enhanced access to credit and capital markets
• Deeper regional integration: increased international trade; sustainable use of natural resources and increased indirect investment
• Adaptation and mitigation against climate change: renewable energy; energy efficiency, recycling and biofuels

From 1999-2009, the IDB Group approved more than 1,900 projects financed by developmental loans, guarantees, and equity investments, totaling US$13.7 billion, reaching more than 3,000 clients across all borrowing member countries. In addition, the IDB Group complemented its portfolio of financial products with another US$806 million in technical assistance approved during the same period.