The Inter-American Development Bank Group (IDB Group) says it has mobilised a record $12.2 billion in private capital last year, demonstrating its growing ability to attract private investment and amplify the impact of its development financing in Latin America and the Caribbean.
The Washington-based financial institution said that these results reflect the combined efforts of the IDB and IDB Invest, the public- and private-sector arms of the IDB Group, respectively, to attract investment and mobilize more private resources towards development priorities.
‘Mobilising more private capital is essential to achieving the scale and impact required to accelerate growth, create jobs and the prosperity the region needs,’ said IDB Group President Ilan Goldfajn.
The record US$12.2 billion mobilised last year is more than triple the 2021 figure of US$3.9 billion, representing a remarkable increase of approximately 21 per cent in just four years. This landmark achievement reflects the IDB Group’s broader transformation under IDIImpact+, which places private sector mobilization and catalytic impact at the center of the institution’s work.
As part of this transformation, the IDB Group has expanded the use of guarantees to support financing for policy-based, thematic, and investment projects, while strengthening its public-private partnership advisory capabilities.
In parallel, IDB Invest has advanced its originate-to-share business model, expanding the use of innovative financial products and solutions to broaden the investor base and mobilize more private capital to the region. Together, these efforts are strengthening the IDB Group’s capacity to unlock additional private investment and advance development priorities across Latin America and the Caribbean.
The IDB Group said it will adopt the updated MDB Joint Methodologies in its future annual reporting.
It said that the revised framework expands traditional mobilisation measures to include private finance generation, improves transparency, and better captures the role and impact of innovative financial instruments.
Meanwhile, IDB Lab, the innovation and venture arm of the IDB Group, says it has approved a US$10 million investment in Cometa IV, a venture capital fund that will invest in early-stage technology companies with high growth potential across Latin America and the Caribbean.
Cometa IV expects to invest in approximately 23 technology-based startups, with a focus on financial services infrastructure (fintech), software-as-a-service (SaaS) solutions, and other business-to-business (B2B) business models that use technology to address structural inefficiencies and create new opportunities in sectors such as education, health care, and business services.
IDB Lab’s investment will support Cometa IV’s regional expansion by connecting the fund with investment opportunities in emerging ecosystems and strengthening its capacity to measure the results generated by its portfolio companies.
IDB Lab will also support the fund manager in attracting new institutional and development investors and will facilitate connections with networks and co-investment opportunities within the IDB Group ecosystem.
The investment continues the relationship between IDB Lab and Cometa, which began in 2021 with a four million dollar investment in Cometa III. Through its previous funds, Cometa has backed companies that have expanded access to financial services, supported small and medium-sized enterprises, created jobs, and developed digital education solutions across markets in the region.