CAF approves $500 million credit line for natural disaster emergency response in the region

"This facilitywas created due to the growing number of natural disasters in Latin America and the Caribbean, with social, environmental and economic consequences that have had a serious impact in several countries in the region," said Enrique García, President of CAF.

This is the second credit line to address emergencies, he said.

“CAF offers comprehensive support to its shareholder countries in emergency response and prevention through financing facilities and non-reimbursable grants, including approvals made in the last few years on behalf of Bolivia, Brazil, Chile, Colombia and Haiti,” he said. “The goal of this new credit line is to expedite the approval of loans for immediate response, and support the analysis and reconstruction of damaged infrastructure. "

Among the benefits of this facility are timely financing, flexibility and adjustments to the technical requirements of each individual operation, whether in the case of floods, landslides, fires, earthquakes or other events.

The funds may be used for the primary care of victims, restoration of critical services, pre-investment studies and final reconstruction of infrastructure.

Background: More than $1.4 billion in timely financing

Prior to the credit line approved today by CAF, the institution has granted contingent financing facilities for comprehensive emergency response to Bolivia ($75 million), Chile ($300 million), Ecuador ($200 million), Haiti ($200 million), and Peru ($300 million). In 2010, three shareholder countries (Argentina, Brazil and Panama) signed the Regional Financing Facility for the Immediate Attention of Emergencies Caused by Natural Events, with funding for up to $300 million.

Since 2006, CAF has approved $1.458 billion in operations to address the impact of natural disasters.