WASHINGTON, DC – Barbados is among countries expected o benefit from a new collaborative framework between the Inter-American Development Bank (IDB) and the OPEC Fund for International Development (OPEC Fund) which will enable the institutions to explore joint co-financing opportunities in key sectors for Latin America and the Caribbean (LAC).
The IDB said along with its private-sector arm, IDB Invest, the new imitative will allow for opportunities in several areas including infrastructure, renewable energy, transportation, resilience and mitigation, social infrastructure, sustainable agriculture, and biodiversity preservation.
“This agreement marks a new step in our partnership with the OPEC Fund. It reflects our continued efforts to deepen our collaboration in exploring and executing co-financing projects in key priorities areas for both the public and private sectors in Latin America and the Caribbean, as well as advancing joint technical assistance initiatives,” said IDB president, Ilan Goldfajn.
OPEC Fund president, Abdulhamid Alkhalifa, said the partnership with the IDB and IDB Invest reinforces the OPEC Fund’s mission to drive development through collaboration.
“By pooling resources and expertise, we can deliver tangible results that support climate resilience, inclusive infrastructure and economic opportunity in Latin America and the Caribbean — and ultimately improve the lives of people across the region.”
The memorandum of understanding (MoU) allows IDB and the OPEC Fund to pursue new co-financing of sovereign and non-sovereign guaranteed operations, as well as mechanisms to provide technical assistance across the region.
The MoU outlines collaboration between the IDB and the OPEC Fund for the early identification of co-financing and parallel financing opportunities for development projects, with a focus on maximizing impact in key sectors.
In this regard, the IDB and the OPEC Fund are already exploring co-financing opportunities in Barbados, Chile, Colombia, Panama, Paraguay, Peru, Mexico, and Uruguay for the period between 2025 and 2027.
On the private sector side, IDB Invest and the OPEC Fund will streamline the process of identifying and executing pilot projects in the region, involving joint technical assistance and co-financing.
“The IDB, IDB Invest, and OPEC Fund will establish a technical assistance facility to support both public and private sector operations. For the public sector, this includes project preparation and support in priority sectors for both institutions. For the private sector, it involves the joint delivery of advisory services to clients,” the IDB said.
It said that the institutions will also collaborate on project preparation and implementation, as well as on information exchange, knowledge sharing, and capacity building in areas such as nature-based solutions
This may include the development of a shared database on development and climate indicators, participation in joint high-level events, training, capacity-building activities, publications, temporary staff exchanges, internships, and knowledge missions, said the IDB.
