The IDB faces the challenge of Latin America: more social demands

Meeting the growing social demands of Latin America with few resources is a major challenge for the region, Inter-American Development Bank (IDB) President Ilan Goldfajn said at a press conference ahead of the organization’s annual assembly.

“The region has to think about how to solve the challenge of many social demands with few resources and the need for growth, so we will address these problems,” the Brazilian said.

This weekend the 63rd edition of the IDB’s Annual Board of Directors meeting will be held in Panama City, the first for Goldfine – who took office in January – as chairman. The 37th edition of the Board of Directors of IDB Invest, the organization’s financial arm, will also be held.

In parallel with that, a series of preliminary seminars will begin tomorrow “in which they will deal with some of the main challenges of the region”, among which are the Amazon regional projects and the Biodiversity Initiative, Goldfajn reminded at the event where he accompanied him. Panamanian Minister of Economy and Finance, Héctor Alexander.

Panama, explained the minister – IDB governor for Panama – is a country that had a “very close” relationship with the development bank, as a founding partner in 1959.

“We are very pleased that after three years of no direct assemblies being held in our country and that 100 percent of the member states will participate,” he said.

The Board of Directors of IDB and IDB Invest are the highest decision-making bodies of the IDB Group and are made up of ministers of finance and economy and other high-ranking officials from 48 member countries.

The governors will discuss ways in which the IDB can strengthen its role in Latin America as a major provider of financing and research for development in the region and will address issues ranging from the impact of the climate crisis to ensuring equitable and sustainable growth.

It will also present the annual macroeconomic report of the region, and will also discuss the current economic situation after the pandemic, marked by the consequences of the Ukrainian war, and the latest financial events caused by the collapse of the American Silicon Bank. .

“I can’t tell you what the governors are going to talk about, but I’m sure they’re going to talk about the situation, including the latter,” Goldfine said.

In the assembly, he added, “we have a session where macroeconomic issues are discussed and they concern everything, growth, social issues, but also inflation, the price of money and what will happen, the risks that exist,” he said.

The goal of this meeting is first of all “to work as a group, to think about regional projects and issues in which the IDB has a fundamental role” and to think about “common challenges” in the region, “so that we have a scale that can make a difference”.

Founded in 1959, the IDB is one of the main sources of long-term financing for economic, social and institutional development in Latin America and the Caribbean.

It also conducts cutting-edge research projects and provides policy advice, technical assistance and training to public and private clients throughout the region.

Meanwhile, IDB Invest is a multilateral development bank that finances companies and sustainable projects to achieve financial results and maximize economic, social and environmental development in the region.

Today, it has a portfolio of $15.3 billion in assets under management and 375 clients in 25 countries.