Transport and mobility have a huge impact on productivity and competitiveness.
Vehicle traffic, the pollution of cities, and the congestion and saturation of passenger and cargo transport infrastructure have a negative impact on quality of life in Latin American and Caribbean countries. The private sector plays a leading role when it comes to improving transport systems in the region.
Challenges and Opportunities
In urban areas the quality of public transport systems is poor, and they cannot adequately meet demand. Old buses pollute cities with serious consequences for the health of their inhabitants and the environment. Rural areas are not well connected and, as a result, their inhabitants lose out on job opportunities and cannot access basic services such as education and health. Roads with design and maintenance issues cause accidents. The poor quality and limited capacity of transport infrastructure have a negative impact on the prices of products and services. In an increasingly globalized world, all these problems affect the region's competitiveness and, therefore, its ability to grow and foster well-being.
Latin America and the Caribbean needs to modernize its transportation systems to increase growth. According to IDB calculations, the region needs to double its infrastructure investments over the next 30 years to increase average growth from 2.4% to 5.0%. Transport infrastructure depends on public administration; but fiscal constraints, economies of scale, and the need to innovate compel governments to seek partnerships with the private sector to undertake such a major investment.
Our Commitment
The projects we finance are usually implemented through public-private partnerships (PPPs) with private companies bearing the initial costs and sharing the risks, management responsibility, and potential future profits. The IDB Group works to make PPPs efficient with a solid regulatory framework, a transparent tendering process, and a stable financial structure.
We not only ensure the financial viability of each project but also the long-term social and economic impact. We consider environmental and social aspects, gender equality, climate change, and corporate governance.
Latest projects
Jamaica
Uruguay
Colombia
Peru
Bahamas
Costa Rica
Paraguay
Guyana
Regional
Colombia
Publications
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September 2021Climate Risk and Ports: A Practical Guide on Strengthening Resilience
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October 2019DEBrief: Los impactos en el desarrollo de las inversiones en transporte urbano
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November 2018DEBrief: Investment in Transportation and Logistics Infrastructure in Panama and its Catalytic Effect on Attracting Private Capital
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Felipe Ezquerra is the Head of Transport at the Infrastructure and Energy Division of IDB Invest. Felipe, a Spanish national, has extensive knowledge and international experience in structuring, financing, and managing transport projects in Latin America and Spain. Prior to joining IDB Invest, he was the CFO of Arteris, S.A. and CFO of OHL Concesiones, S.A.
An expert in financial markets, Felipe has managed IP's in Brazil and Mexico and has structured complex long-term market debt bonds and infrastructure loans in Brazil, Chile, Mexico, Peru, Argentina, and Spain. Throughout his career he has managed several growth and restructuring processes linked to the integration of acquired and merged companies. Felipe holds a Master Degree in Naval Engineering from Universidad Politécnica de Madrid, Spain.
• Contact: infrastructureidbinv@iadb.org