The IDB and the European Union Renew Framework Agreement
OREANDA-NEWS. June 15, 2015. Inter-American Development Bank’s (IDB) President, Luis Alberto Moreno and Neven Mimica, the European Commission’s (EC) Commissioner for International Cooperation and Development, today reconfirmed their partnership working towards equitable and sustainable development in Latin America and the Caribbean (LAC).
Building on progress made in energy sector, public sector efficiency, fiscal management, citizen security, and water and sanitation during the past three years, the growing collaboration looks specifically to support regional integration, climate change and renewable energy, small and medium enterprise (SME) development, and citizen security.
“We just renewed the Framework Agreement with the European Union,” President Moreno said at meeting in Brussels, Belgium, to formalize the accord. “The IDB is the premier and only institution in the region to have such an agreement with the EU that will enable us to leverage resources from the European Commission and other European Financial Institutions. We are already working together to find opportunities for co-financing in the region, to help improve the living conditions of the citizens of Latin America and the Caribbean."
The existing partnership grew significantly under the original 2011 framework agreement. In 2014 alone, the EC committed €68.3 million in grants to supplement IDB financing for high impact projects. At the same time, the Latin America Investment Facility (LAIF) mobilized €84 million in grants for projects co-financed by the IDB, and leveraged a combined €2.2 billion from the IDB and European partners including as the Spanish Agency for International Development Cooperation (AECID), the French Development Agency (AFD), the European Investment Bank (EIB), and the German Development Bank (KfW).
In addition, since creating the EC Caribbean Investment Facility in 2012, the EC has channeled €44.34 million to address the Caribbean energy challenges, and has leveraged €85 million from the IDB and European financial institutions including AFD.
“I am very satisfied about the signature of this Framework Administrative Agreement by our two institutions,” said Commissioner Mimca. “It will help strengthen our cooperation and make us even more efficient in our joint commitment to sustainably reduce poverty in Latin America and the Caribbean.”
About the Inter-American Development Bank
The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source oflong-term financing for economic, social and institutional development in Latin America and the Caribbean.The IDB also conducts cutting-edge research and provides policy advice, technical assistance and training to public and private sector clients throughout the region.
About the European Commission
The work of the International Cooperation and Development Directorate-General (Europeaid) is carried out with the ultimate aim of: reducing poverty in the world; ensuring sustainable development and promoting democracy, peace and security. As well as designing policies to achieve these objectives, Europeaid is responsible for implementing the EU’s external aid instruments. Europeaid coordinates the actions of the EU institutions, the EU Member States and other EU actors around the Union's core values, objectives and common priorities.
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