In light of Latin America and the Caribbean’s financial needs, the Committee of the Board of Governors of the Inter-American Development Bank has recommended new operating margins for lending for the next three years, the IDB said on Monday.
At a committee meeting held last week at the IDB headquarters in Washington, D.C., governors put forward the following framework for 2002-2004:
The IDB’s financing capacity for ordinary capital loans will be set at $26 billion for that period, including special credit lines to support borrowing member countries facing emergencies or critical situations.
The IDB will also be able to make up to $2.25 billion in concessional or subsidized loans to member countries with relatively lower levels of economic development. As well, it will have $500 million available from a variety of funds to provide technical cooperation grants to support country-specific and regional projects.
At the closing of the Committee’s meeting, IDB President Enrique V. Iglesias said these new parameters would help the Bank respond more efficiently to borrowing member countries’ needs.
The Board of Governors, the IDB’s top policy-making body, periodically reviews the Bank’s operating guidelines.