CAN $ 20 million grant from Canada will improve transparency and sustainability in the extractive industries sector
The Government of Canada has donated CAN$20 million to establish the Canadian Extractive Sector Facility (CANEF) at the Inter-American Development Bank (IDB). The Facility will support knowledge generation activities and technical assistance throughout Latin America and the Caribbean.
Specialists from the IDB will identify and implement best practices in the management of natural resources linked to extractive industries (oil, gas and mining), with particular attention to the implementation of environmental and social safeguards.
Ambassador Guillermo Enrique Rishchynski, Executive Director for Canada at the IDB, says, “Our country has long been a key partner of the IDB in its activities in the extractive sector in particular. Canada and countries in Latin America and the Caribbean share the conviction that natural resources can help boost inclusive economic growth in the long-term when the sector is handled with transparency, openness, and efficiency.”
The project will focus on generating regional public goods that promote long-term prospects, responsible investment, and good relations between actors in the sector. They seek to address specific technical challenges and to facilitate the exchange of knowledge and technologies. In addition , CANEF will support technical assistance efforts in at least three countries to contribute to strengthening the governance of natural resources by improving regulatory and institutional frameworks and improving infrastructure information management.
Ramon Espinasa, IDB Project Team Leader indicated, “This project reflects our commitment to finding innovative solutions that improve the investment climate and economic, social and environmental sustainability of the extractive sector in Latin America and the Caribbean. This sector is the backbone of the economy of many of our countries.”
The Canadian facility will allow the execution of projects with a non-reimbursable technical cooperation grant within 5 years. The grant will finance projects to promote knowledge generation and improved governance in the extractive sector.
The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source of long-term financing for economic, social and institutional development in Latin America and the Caribbean. The IDB also conducts cutting-edge research and provides policy advice, technical assistance and training to public and private sector clients throughout the region.
- Christopher Barton