CAF – Development Bank of Latin America and the Caribbean has approved USD 1.086 billion in funding for sustainable infrastructure projects in Brazil, Colombia, Uruguay, and Chile. The decision was made during the institution’s 186th Board of Directors meeting.
The funding will support several major initiatives across the region. In Brazil, CAF will provide USD 150 million for an urban development program in Cabo de Santo Agostinho. This project aims to improve urban mobility, basic sanitation, social infrastructure, and climate resilience for over 200,000 residents.
In Colombia, two significant projects received approval. The first is a USD 500 million allocation for a program focused on reviving the country’s railway system. The initiative seeks to promote sustainable mobility and logistics efficiency by electrifying public transportation and reducing logistics costs, which is expected to help lower carbon emissions. Additionally, CAF increased its support for the modernization of Colombia’s airport and air navigation systems by USD 86 million, bringing total funding for this sector to USD 326 million.
Uruguay will receive USD 200 million from CAF for the construction of a dam on the Casupá stream in the Santa Lucía River Basin. This infrastructure is designed to enhance water security for approximately 2 million people in the Montevideo Metropolitan Area through 2045 by increasing water storage capacity and ensuring supply during droughts.
In Chile, CAF approved an additional USD 150 million to expand a revolving credit line with Banco Estado de Chile. The total now stands at USD 350 million. These funds are intended to improve financing access for micro, small, and medium-sized enterprises (SMEs), particularly those led by women or involved in energy efficiency and green projects.
Sergio Díaz-Granados, Executive President of CAF, said: “The operations approved today —including resilient infrastructure projects and sustainable development programs— show that CAF is responding with agility and creativity to the most pressing challenges in our region: climate change, the modernization of critical infrastructure, and the improvement of millions of people’s quality of life. This Board meeting not only mobilizes significant resources but also marks a turning point in regional integration and in our shared approach to sustainable development.”
