Projects

The programme aims to improve public urban transport and non-motorised systems (walking and cycling) in Latin America´s main cities helping each country achieve its Nationally Determined Contributions (NDCs) to the Paris Agreement commitments, lowering Greenhouse Gas emissions and mitigating climate change impacts.

By providing a clear linkage between investment, project development and NDC targets, the programme creates a working pipeline of projects, which leads to more effective and sustainable efforts in the development of a portfolio of sustainable transport projects.

The programme, implemented by KfW and co-implemented by CAF, also fosters a regional dialogue forum to improve relevance and implementation of the international policy framework. This allows for knowledge exchange between the countries and increases visibility and adherence to the Paris Agreement commitments.

Sector: Transport    |   Projected total investment size: € 604 280 000    |   EU contribution: € 4 280 000
Dates: Dec/2022 - Dec/2027    |   Status: ONGOING    |   Countries: Argentina, Bolivia, Brazil, Colombia, Ecuador, Mexico, Panama

This project aims to set up a Regional Fund to provide Central American Integration System (SICA) countries with funds to run projects that both address and prevent natural disasters.

The EU is partnering with CABEO towards the setup of a Regional Fund to fight the region's vulnerability to climate change. These investments contribute to the mitigation of the impact by extreme events, while improving capacity to deal with climate change. For these reasons, the Fund serves as a catalyst to ensure focused action is maintained at national and international levels.

More specifically, the Fund aims to help build SICA countries’ capacities in the development of viable climate change projects by providing technical assistance for project preparation. It does so by facilitating:

  • Climate risk assessment and studies for the development of disaster warning, monitoring and alert systems.
  • Preparation of relevant studies for projects and identification of environm...
Sector: General Environment Protection    |   Projected total investment size: € 1 705 000 000    |   EU contribution: € 4 925 000
Dates: Dec/2021 - Dec/2026    |   Status: ONGOING    |   Countries: Belize, Dominican Republic, Colombia, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama

The TIF Program has a three-pillar framework (financial, social and environmental, known as Triple Bottom Line) and a twofold objective: downscaling financial services -being more inclusive and tackling the bottom of the pyramid- and promoting climate-smart finance. 

The TIF Program, led by COFIDES, aims at bringing together the tools, actors and financing necessary to improve access to finance for low-income populations whilst reducing climate risk and vulnerability, especially in the case of smallholder farmers. More specifically, this initiative seeks to reduce climate risk in lending portfolios of Financial Service Providers and scaling up climate-smart lending, especially to urban and rural micro, medium and small-sized enterprises with no or limited access to the formal financial sector, including also small to medium and smallholder farmers.

TIF provides support to Financial Service Providers serving MSMEs through the provision of long-term loans (Debt Facili...

Sector: Banking and financial services    |   Projected total investment size: € 68 000 000    |   EU contribution: € 6 050 000
Dates: Oct/2020 - Oct/2025    |   Status: ONGOING    |   Countries: Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Nicaragua, Panama, Peru

LACIF supports AECID and IDB in the achievement of the objective of this project, which is to achieve socio-economic development of the rural population of Panama by expanding access to sustainable energy and strengthening the planning and managerial capacities of the Office of Rural Electrification (OER), which structures, reviews, implements and supervises rural electrification projects in the country. 

The project invests in photovoltaic installations and mini-grids connection and benefits homes, schools, health centers, public spaces and microbusinesses in the indigenous region of Ngäbe Buglé, the one with the least energy coverage in the country (4%) and where 28,000 homes still do not have access to it. 

This initiative gives particular relevance to the empowerment of women and includes a school for women leaders and training activities in the productive use of energy and social entrepreneurship.  

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Sector: Sustainable energy    |   Projected total investment size: € 61 372 455    |   EU contribution: € 10 400 000
Dates: Dec/2019 - Aug/2026    |   Status: ONGOING    |   Countries: Panama

The Seed Capital Risk Financing component for the Dinamica initiative addresses the bottlenecks identified in the Central American region, specifically regarding the accessibility of new and innovative enterprises to finance solutions in order to start their operations, be consolidated and grow. 

The project, implemented by KfW and CABEI, provides vital start capital as contingent grants which is complemented by technical assistance for capacity building to Financial Intermediaries and MSMEs. 

By doing this, the component contributes to developing entrepreneurship and innovation and is therefore an ideal complement to the DINAMICA I initiative. The project promotes equitable socio-economic development and stimulates employment in the private sector. 

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Sector: Support to SMEs    |   Projected total investment size: € 75 290 000    |   EU contribution: € 12 350 000
Dates: Dec/2018 - Dec/2027    |   Status: ONGOING    |   Countries: Dominican Republic, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama

The Green MSMEs lnitiative aims at reducing carbon emissions in the Central American Region by ensuring the provision of financial and non-financial services to support renewable power generation and energy efficiency measures in Micro, Small and Medium Enterprises. In order to do so, the lnitiative contains three main components:

  • Technical Assistance for MSMEs as well as Participating Financial lntermediaries,
  • Partial Risk Guarantees for MSMEs,
  • Financing (loans) for Environmental lnvestments for MSMEs.

This lnitiative represents a continuation of the "Energy Efficiency and Renewable Energy programme for SME in Central America". The mentioned Program was successfully implemented and the achievements and lessons learnt constituted the basis for this Initiative implemented by KfW and CABEI.

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Sector: Support to SMEs    |   Projected total investment size: € 62 480 000    |   EU contribution: € 14 380 000
Dates: Dec/2018 - Dec/2034    |   Status: ONGOING    |   Countries: Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama

The eco.business Fund is a joint initiative of investors intent on supporting the promotion of business and consumption practices that contribute to biodiversity conservation, the sustainable use of natural resources, climate change mitigation and adaptation to its impact. In providing financing to the Fund’s target group for investing in activities that conserve nature and foster biodiversity, the eco.business Fund seeks investments that yield both financial and environmental returns. The financing can be provided directly or through local financial institutions. In addition, final beneficiaries and local lending institutions can count on high impact technical assistance provided by the eco.business Development Facility. The project is led by KfW and managed by Finance in Motion.

Sector: Support to SMEs    |   Projected total investment size: € 664 588 015    |   EU contribution: € 16 410 000
Dates: Dec/2016 - Feb/2033    |   Status: ONGOING    |   Countries: Brazil, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Peru

The LACIF contribution to this AECID-led initiative aims to improve water and sewerage infrastructures and contribute to reducing the risk of diseases caused by deficient water management in the Latin American region through the development of various projects. These are grouped into two components: Component I, projects for adaptation to climate change (ACC) and Component II, projects for the integrated management of water resources.

The projects include the reinforcement of capacities associated with the programs; studies developed in the pre-investment phase to identify new investments in new actions; review of regulations and the development of methodologies, tools and manuals which have an impact on future investments.

Sector: Water supply & sanitation    |   Projected total investment size: € 883 300 000    |   EU contribution: € 15 300 000
Dates: Dec/2013 - Dec/2024    |   Status: ONGOING    |   Countries: Argentina, Bolivia, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Uruguay, Venezuela

The vision of this program was the enhancement of public investment in energy-efficient and clean technology mass transportation systems in large Latin American cities, to meet the growing demand for public transportation  — especially of the most vulnerable population — while helping to mitigate its environmental impact. LACIF, together with KfW and CAF, provided funds to prepare pre-financing studies, to complement existing studies and to facilitate investment for the improvement of urban transportation systems.

Sector: Transport    |   Projected total investment size: € 45 144 500    |   EU contribution: € 3 150 000
Dates: Dec/2013 - Dec/2019    |   Status: COMPLETED    |   Countries: Panama, Peru

DINAMICA focused on promoting entrepreneurial and private sector development for employment and income generation in order to contribute to economic development and poverty reduction in Central America. More specifically, the project, which was led by KfW and implemented by CABEI, aimed at:

  • Promoting the entrepreneurial environment in order to facilitate the creation of new and innovative enterprises;
  • Supporting financial sector development in order to provide adequate access to finance for MSMEs.
Sector: Support to SMEs    |   Projected total investment size: € 53 106 496    |   EU contribution: € 3 952 000
Dates: Dec/2013 - Sep/2022    |   Status: COMPLETED    |   Countries: Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama