US$892 million for Venezuela
Enrique García, CAF president & CEO, reviewed the activities of the multilateral organization in 2006 in a press conference.
In Venezuela the highest percentage of approvals went to economic infrastructure and social development.
On CAF support for Venezuela, García said that "this year the most important support was for economic infrastructure and social development, providing financing for execution of integrated programs of mass transport and housing development, respectively, for various sectors of the population." Additionally, for the private sector financial instruments were designed to contribute to execution of strategies for accessing capital markets, he added.
Support for social and transport programs
In relation to the Public Investment in Mass Transport program, a US$400-million loan was granted to meet the transport needs of heavily populated parts of the Caracas Metropolitan area, as well as other urban centers in the country, such as Valencia and Maracaibo. The provision of a rapid and efficient service, which decongests the communication routes in these localities, will improve the quality of life of citizens, as well as contributing to environmental conservation of the areas of influence. The operation involves public investment in five metro systems: Line III of Metro de Caracas, Section El Valle-La Rinconada; Line IV of Metro de Caracas, Section Capuchinos-Plaza Venezuela; Metro de Los Teques; Metro de Valencia; and Metro de Maracaibo.
First bond issue by a multilateral
The CAF president said that the multilateral institution "is committed to developing and deepening the capital markets of the region and, through this operation, is making a great contribution in this respect." This payment is part of approval of a two-year program, totaling 450 billion bolivars by CAF in the period.
Integrated response to Venezuelan development
On this basis, CAF approved a US$50-million Partial Credit Guarantee for issues of bolivar-denominated bonds by Electricidad de Caracas on the local capital market. "With this type of transaction, CAF plays a very important catalytic role by contributing to the development of capital markets, and at the same time strengthening the private sector through structured operations, which facilitates the obtaining of funds in local currency at longer terms than currently available and on better financial conditions," García said.
With respect to the environmental component supported by the Corporation in Venezuela, the Biodiversity Program (BioCAF) completed the CAF–GEF/UNDP project on Biotrade in the Andean region. In the participating countries (Colombia, Ecuador, Peru, and Venezuela) studies were finalized to identify barriers and inadequate incentives; barriers to entry to international markets; criteria for selecting and evaluating pilot biotrade initiatives; and strategies to improve quality and marketing, among others.
The most important action of the CAF Competitiveness Support Program (PAC) in Venezuela this year was the promotion, in alliance with Ideas Foundation, of the Support System for Creation of Enterprises, with the participation of several Venezuelan universities, the firm McKinsey & Company, the Institute of Advance Administrative Studies (IESA), and company incubators in the Sartenejas and Mérida technology parks.
In the area of Cultural and Community Development, the main activity was support for projects to build capacities and strengthen social responsibility and capital. The Music Program continued in its orchestral, choral, lute sections. In the area of productive community management, an important action was the training of young people in La Guaira through the workshop school promoted by the Spanish Agency for International Cooperation and Vargas municipality.
Lastly, in relation to the Governance Program, the operations financed included the Integrated Automation Project for Sotillo Municipality Land Registry System, continuation of the Governance and Political Management Program, in alliance with George Washington University and Andrés Bello Catholic University, as well as the Efficient and Transparent Municipalities Program in alliance with the OAS and the Canadian International Development Agency (CIDA).
CAF's more recent content
![CAF, JICA and Sicredi join forces to support women and rural producer CAF, JICA and Sicredi join forces to support women and rural producer](/media/4669796/foto_sicredi_divulgação_310724.jpg)
CAF, JICA and Sicredi join forces to support women and rural producer
The amount represents the largest international facility ever undertaken by Sicredi, with the involvement of four internationally renowned entities: Banco Finantia, BNP Paribas, Eco.business Fund, and Sumitomo Mitsui Banking Corporation (SMBC). The funds raised can also be used in regions with a Human Development Index below the national average.![CAF-FAO: Digitization project for agribusiness with repository launch CAF-FAO: Digitization project for agribusiness with repository launch](/media/4669830/caf-fao.png)
CAF-FAO: Digitization project for agribusiness with repository launch
The Food and Agriculture Organization of the United Nations (FAO), CAF -development bank of Latin America and the Caribbean-, the Ministry of Agriculture, Land and Fisheries and the Tobago House of Assembly celebrated the successful completion of the “Digitization and Innovation for the Competitiveness and Sustainability of the Agribusiness Sector in Trinidad and Tobago” project. The closing ceremony, that took place on the 29th of July, marked a significant milestone in the country's efforts to modernize and enhance the agricultural sector.![CAF recognizes Panama's water potential in the face of climate change CAF recognizes Panama's water potential in the face of climate change](/media/4669780/2_cuencas_hidro_caf_.jpg)