IDB Invest Promotes Connectivity in Suriname to Boost Agricultural Exports and Economic Integration
IDB Invest partnered with Aannemings-Maatschappij Baitali (“Baitali”), one of the main construction companies in Suriname, to provide $5 million in financing for the Jenny-Henar Road construction project, part of the corridor known as the East-West Connection Road and included in Suriname’s National Development Plan 2017-2021 to further integrate the country with the region.
The deal will support greater connectivity and integration of the northwest area of Suriname. It will connect Nickerie, one of the essential districts for agricultural production mainly bananas and rice for internal demand and exports, to the Port of Paramaribo.
The corridor also connects Suriname with Guyana, which makes the rehabilitation of this road critical to reduce travel time with Guyana and facilitate economic integration between both countries and its neighbors.
As part of its development impact mandate, IDB Invest worked with Baitali to create an environmental and social action plan, comprising several actions to ensure that 1construction activities would be carried out in compliance with IDB Invest's Environmental and Social Sustainability Policy. IDB Invest is also complementing the financial support to Baitali with an advisory that will support the company to incorporate best practices in corporate governance.
This project demonstrates IDB Invest’s support of critical infrastructure projects with a focus on transportation networks, regional connectivity, urban revitalization, and resilience enhancement and adaptation particularly for Small and Island economies in the region.
The project is expected to contribute to the following United Nations Sustainable Development Goals (SDGs): Decent Work and Economic Growth (SDG 8), and Industry, Innovation and Infrastructure (SDG 9).
“The best way to facilitate development in Suriname is by unlocking its potentials. Baitali believes that these potentials can be unlocked by investing in the necessary infrastructure that connects opportunities. We are thrilled to have IDB Invest as a partner in achieving this,” said Farsi Khudabux, CEO of Baitali Group.
“Increasing investments in regional integration and infrastructure is paramount to facilitate job creation, competitiveness and trade. At IDB Invest, we are committed to working with the private sector to scale impact in Suriname and across the Caribbean,” said James Scriven, CEO of IDB Invest.
About IDB Invest
IDB Invest, a member of the Inter-American Development Bank Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $16.3 billion in assets under management and over 394 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
About BAITALI Group
Over the past 60 years, BAITALI Group has played an important role in the realization of mid- and large-scale infrastructure projects in Suriname. With a staff of more than 600 in various disciplines and spread across the subsidiaries Aannemings-Maatschappij BAITALI N.V. (AMB), BAITALI Pavement Testing & Technologies (BPTT), BAITALI Pavement Products (BPP) and BAITALI Mining (BM), BAITALI Group currently has a leading role in the construction industry and all the potential to deepen this role and add dimensions. BAITALI Group's strength lies in the fact that besides executing works (AMB), through the other companies (BPTT, BPP & BM), it also has all the expertise and resources in engineering, design, manufacturing, product development, quality assurance and utilities. This enables continuous improvement of BAITALI Group's products and services.