IDB Group Expands Support for Uruguay to $5 Billion for 2026-2030 Under New Country Strategy

MONTEVIDEO — The Inter-American Development Bank Group (IDB Group) plans to expand its support to Uruguay to $5 billion for 2026-2030 based on three pillars established in the new Country Strategy: accelerating investment through support for innovation and competitiveness, strengthening citizen security and public well-being, and improving mobility and public services. 

The ambitious Country Strategy was launched by IDB Group President Ilan Goldfajn and President of Uruguay Yamandú Orsi during a meeting in Montevideo that marked a new chapter in the Group’s close partnership with the country. 

“Uruguay has a unique opportunity to transform its institutional and macroeconomic stability into a platform for growth, greater well-being, and innovation. The IDB Group is ready to support this new phase with a stronger focus on impact and a shared agenda: greater security for families, enhanced competitiveness for businesses, and better opportunities for people and investment,” said Goldfajn. 

During his visit to Montevideo, President Goldfajn also met with Minister of Economy and Finance Gabriel Oddone and Minister of the Interior Carlos Negro. The agenda also includes the event “Uruguay as a Regional Innovation Platform: Results, Challenges, and Opportunities” and a meeting with more than 100 business leaders to discuss investments and IDB Invest’s support for the private sector. 

The IDB Group’s support for Uruguay combines sovereign financing, private-sector support, and technical cooperation under the 2026-2030 Country Strategy, which was recently approved and jointly developed with the Uruguayan government. This year, the IDB Group expects to provide a record $1.65 billion in financing, more than three times the amount approved last year. 

The Country Strategy envisions nearly $5 billion in investments, combining financing for the public sector, businesses, and innovation, exceeding the original projection of $4.2 billion.  

The IDB Group’s new roadmap with Uruguay is built around three pillars: 

Supporting Innovation and Competitiveness

• On Monday, a $20 million financing agreement was signed for Uruguay’s Internationalization Promotion Program.
• Plans also include a Bioeconomy and Agri-Food Innovation Programme, which is part of an overall productivity development plan of the country.
• There are negotiations for a new policy-based program to prepare the country and businesses for the opportunities of the European Union-Mercosur Agreement and of the country’s rapprochement with the OECD. The total for this pillar amounts to $550 million.
• IDB Lab, the innovation and venture capital arm of the IDB Group, currently has a portfolio of 75 active operations in Uruguay.
• In addition, the IDB is working with Uruguay’s Central Bank (BCU) and Ministry of Economy and Finance (MEF) to develop capital markets and expand long-term financing options under more favorable conditions for investment. 

Strengthening Citizen Security and Well-Being

• Security is a priority for the government of Uruguay. During the visit, a $25 million operation was signed under a $200 million credit line to improve the effectiveness of the prison system, strengthen the National Police, and support police training in criminal investigation and analysis. In addition, a technical cooperation program was launched to support the National Public Security Plan and the Office of the Attorney General.
• The IDB and the government are also collaborating on a new $150 million program to support implementation of the National Public Security Plan and provide additional financing for the Comprehensive Citizen Security Program II.
• The total IDB Group support for security reaches $350 million.
• For the social welfare pillar, the IDB Group works with the Government to advance projects to contribute to reducing child poverty and advancing the quality of education.. 

Improving Mobility and Public Services 

• In June, the IDB approved a $70 million operation to support integrated development and expand access to housing, basic services, and opportunities for children, adolescents, migrants, and vulnerable households.
• This year, the IDB is working on a $200 million operation to improve the quality of spending for transportation infrastructure and support the transformation of Montevideo’s metropolitan transportation system. In addition, the Bank is seeking to advance another partnership focused on water security, with financing of $51 million.
• Collaboration is also being explored to expand electricity networks and strengthen energy security through support of approximately $80 million. Through IDB Invest, the IDB Group has a long track record of operations with the private sector in transportation, energy, and sanitation and remains open to new opportunities in these sectors.