What we do

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A loan modality under which CAF, as a creditor, provides funds to a client/debtor, who is obligated to use and repay them, along with interest and fees, under the agreed terms and conditions.

Depending on their purpose, loans can be used to finance:

• A specific investment ("Project").

• A set of interrelated projects through a single loan ("Program").

• The debtor's general corporate purposes and/or working capital.

• A loan portfolio for small and medium-sized enterprises, through financial partners.

• A Sector Wide Approach (SWAP) operation.

• A Public Policy Matrix-based Loan (PBL) operation.

The mitigation and/or prevention of emergencies caused by exceptional situations or natural phenomena.

  The efforts of the public sector in the strategic management of its finances.

Based on their ranking, loans may be:

• Senior Loans: Any debt of equal or higher rank in priority and payment priority to other existing or future debts.

• Subordinated Loans: Any debt of lower rank in priority and payment priority to other existing or future debts.

A loan for a specific operation may finance an investment project, an investment-related program, or another activity or economic need whose technical, market, economic, financial, environmental, institutional, and other characteristics relevant to the nature of the operation have been previously formulated by the client so that CAF can demonstrate its viability and analyze the risk of its participation in the financing of the operation. Loans may be short-term (up to one year), medium-term (between one and five years), or long-term (more than five years).

During the evaluation, the items eligible for financing from CAF and those that guarantee the achievement of the operation's objectives will be determined.

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CAF provides financial advisory services to clients in the private, public, or mixed sectors. The scope of each advisory service depends on the specific needs of each client and may or may not be linked to obtaining funds or a specific financial product.

CAF can provide advisory services in the definition and structuring of financing plans for projects or companies; assistance to the public sector in the design and execution of public bidding processes, to delegate the construction, operation, and management of infrastructure works or public services to the private sector (Public-Private Partnerships, Concessions); assistance to the private sector in preparing bids to participate in such public bidding processes; assistance in mergers and acquisitions; and business valuation, among others.

The financial advisory services offered by CAF allow clients in the public and private sectors to complement and add value to the use of traditional products.

These services are aimed at national and subnational governments, public sector companies, private sector companies, or mixed companies in the shareholder countries seeking to carry out innovative operations or require specialized financial knowledge.

Applications can be received at Headquarters through the Financial Advisory Department (asesoriafinanciera@caf.com).

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Partial credit guarantee (GPC) is a type of guarantee and collateral by which CAF guarantees a third party part of the credit risk of an obligation held by a client. 

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The following Treasury services are offered by CAF in Latin America:

Term Deposits
Fund Management
Commercial Paper under the USCP and ECP programs.

The close relationship maintained with clients allows services to be tailored to their needs, offering solutions to their investment needs with flexible products and competitive rates.

Clients served with these products are known by CAF through the various business areas and/or through telephone contact, where their needs are analyzed and they are provided with timely responses.

If you wish to contact the Treasury, you can do so at the following telephone numbers:

In Caracas:

Phones +58 2122092446; +58 2122092037

In Lima:

Phones +511 7108559; +511 7108550

You can also email tesoreria@caf.com

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Due to their implementation mechanism, lines of credit are loans granted for working capital and/or for specific or general corporate purposes of the debtor, or to support the public sector's efforts in the strategic management of its finances (Contingent Liquidity Line of Credit).

They are disbursed in one or more modalities, previously approved by the debtor. They can be committed or uncommitted and/or revolving or non-revolving.

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By primary source of repayment, Structured Financing or Special Purpose Vehicle Loans for Project Development are loans granted to a legal entity or similar entity with independent assets and capacity to contract, established exclusively to develop a Project, whose assets are composed solely of those of the Project and having its future cash flow as its primary source of repayment.

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Operating modality under which CAF ensures compliance with the client's obligations to third parties.

This modality includes, among others:

• Letters of Credit: These are documentary credits linked to trade transactions (local or foreign, import or export) regulated by the Uniform Rules and Practices for Documentary Credits, 2007 Revision, Publication No. 600, of the International Chamber of Commerce (as amended from time to time).
• Stand-By Letters of Credit: These are documentary credits regulated by the International Practices Relating to Contingent Credits of 1998, ISP98, Publication No. 590, of the International Chamber of Commerce (as amended from time to time). They are primarily used in connection with obligations arising from loans or monetary obligations.
• First Demand Guarantees: These are guarantees regulated by the Uniform Rules for First Demand Guarantees, Publication No. 758, of the International Chamber of Commerce (as amended from time to time). They are primarily used to secure monetary and non-monetary obligations, such as bid, quality, or offer guarantees.
• Partial Credit Guarantee: These are guarantees to ensure third parties receive payment for a percentage of the amount of obligations contracted by a client and/or client portfolio with such third parties.
• Letters of Guarantee, Endorsements, and Other Guarantees: These are guarantees, endorsements, and other guarantees to ensure compliance with third-party obligations, regulated by applicable local legislation.

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Equity investments are transactions whose resources are used to acquire Pure Venture Capital, Quasi-Equity, and other risk instruments, such as call or put options, stock placement warrants, Subordinated Debt, and others of a similar nature.

Equity investments can be made in public, mixed, or private companies, private financial vehicles or institutions, whether new or existing, that are or have the potential to be profitable and internationally competitive, that entail reasonable risk, or that promote humane, equitable, and supportive development in the Shareholder Countries.

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CAF finances specialized operations that complement the technical capacity of shareholder countries, in order to promote innovative programs that contribute to sustainable development and regional integration.

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CAF mobilizes resources from international financing sources for the benefit of shareholder countries, enabling them to access additional financing resources, undertake large-scale projects, and obtain external assistance.