IDB Invest administers third-party funds that channel growth capital and financing to micro, small and medium-sized enterprises and mid-market companies and projects in Latin America and the Caribbean.
This type of arrangement enables public and private investors to fulfill their development mandates while benefiting from IDB Invest’s experience and expertise—our private sector focus, market knowledge, qualified staff and local presence throughout the region.
Two of our most prominent third-party funds were established through the Inter-American Investment Corporation (IIC), as IDB Invest used to be called, to promote the growth of small and medium-sized enterprises (SMEs).
The China-IIC SME Equity Investment Trust Fund was founded with the support of the People’s Republic of China to provide investment capital to small and medium-sized businesses in Latin America and the Caribbean through equity and quasi-equity instruments. The government of China contributed $75 million to set up the trust fund when the country formally joined the IDB Group in 2009. IDB Invest administers the trust according to the operating principles approved by its Board of Executive Directors.
The Spain-IIC Haiti SME Development Fund, established with the support of the Spanish government, co-finances loans for micro, small and medium-sized enterprises in Haiti. Such companies play a crucial role in the Haitian economy but lack access to sufficient, affordable financing. The fund partners with local financial institutions to provide loans, sharing the investment risks and learning how to better serve the needs of SMEs. The idea is to expand the pool of financing available to smaller companies and thus contribute to the country’s recovery and long-term development. This fund, which is tailored to Haiti’s unique circumstances and the Spanish government’s goals, combines prudent management with innovative legal and financial structures.
We facilitate innovative trade finance solutions through short- and medium-term loans and guarantees to cover the needs of the value chain of anchor clients.
By providing bridge loans, partial credit guarantees and other products, we strengthen companies’ ability to issue debt securities.