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Why invest in health?

On September 18, 2013, I co-led along with Geetha Tharmaratnam (The Abraaj Group) a webinar for the Global Impact Investing Network (GIIN)  Investors’ Council on opportunities in the health sector to address critical needs in emerging markets. Most countries in Latin America and the Caribbean have universal public healthcare systems, however, the infrastructure, especially outside of capital cities and for higher complexity needs, is typically insufficient. There are long wait times for services, limited geographic access to specialists and often long payment cycles for private providers serving lower income patients. These combined factors result in a lack of access to quality care in a timely fashion.

Why invest in health?

Blog_health1IDB is actively supporting private health sector development via loans and guarantees, with IDB financing typically ranging from US$5 million upwards and tenors of about 7-15 years in USD or local currency.  Technical assistance or non-reimbursable financing is also sometimes paired with transactions to further innovation, inclusion or social impact.  IDB works with private providers of health services (hospitals and clinics), insurance companies, leasing companies, equipment investment funds, and companies that produce equipment, medical supply companies and laboratories.

IDB finances healthcare projects with a strong development impact that focus on:

  1. Development impact - focus on underserved areas and populations
  2. Improve healthcare quality
  3. Improve access to healthcare services
  4. Innovation within the healthcare environment

This is the first of a series of blogs about health and education. I encourage you to stay tuned for future entries that further delve into these exciting and high impact sectors.

Authors

Kristin Dacey

Kristin Dacey trabaja como oficial líder de inversiones en Emprenta Impact Investing Fund. Previamente, se desempeñó como oficial senior de inversiones en originación y estructuración de proyectos del sector privado en infraestructura social, principalmente en educación y salud, para el Departamento de Financiamiento Estructurado y Corporativo del BID. Antes de unirse al BID, Kristin trabajó 7 años en GE Capital en especial en líneas de negocio en los EE.UU. y México. Kristin tiene una Maestría en Gestión Global de Thunderbird School of Global Management, un MBA de Arizona State y un B.S. y B.A. de Virginia Tech.

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