Pablo Quirno, Secretary of Finance, met with the General Manager of IDB Invest who reaffirmed the IDB’s commitment to finance projects in Argentina.
The Secretary of Finance, Pablo Quirno, held a meeting at the Treasury Palace with the General Manager of IDB Invest, James Scriven, who announced a financing commitment of more than US$1,000 million that will be used to boost the private sector development in the country. This was announced by the Ministry of Economy, at a time when it needs increase the reserves of the Central Bank and one of the channels is the arrival of financing through international organizations as well as investments.
During the meeting, the Secretary and Scriven discussed the organization’s new institutional strategy that aims to attract investments and on the Government’s measures to regulate the economy. In addition, work was done on the new business and capitalization model approved by the IDB Governors in Punta Cana in March 2024, which will allow the organization to better focus its activities in the region and in countries such as Argentina.
In this way, through the increase in capital, The IDB aims to increase the scale and impact of its projects in the region through a increased risk appetite; the development of advisory services to support capacity and industry development; Financial Innovation, to develop financial and non-financial solutions to increase the impact of projects; and greater synergies with the other actors in the group, IDB and IDB Lab.
The meeting also agreed that the Argentine private sector has the potential to lead, at the regional and global level, solutions to several of the main current challenges. In this line, the fundamental role played by sectors such as agroindustry, energy and mining was highlighted. In addition, the organization confirmed that it is working to finance projects in different sectors in the country and that more than 20 projects worth more than a billion dollars have already been identified for the next two years.
Other key projects in which the IDB will collaborate
At the meeting, the role of the IDB in the modernization of the infrastructure services to improve citizens’ living conditions; promoting the growth of financing portfolios for small and medium-sized enterprises; and supporting the capacity of banks to finance foreign trade activities.
Also participating were the IDB representative in Argentina, Viviana Alva Hart; and the Director and Head of the Corporate Division of IDB Invest, Guillermo Foscarini.
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How many dollars did the IDB disburse for Argentina?
In the last 3 years, IDB Invest disbursed around US$150 million per year in Argentina. In this sense, with the risk reduction due to the new macroeconomic context, Together with the capitalization of the US$3 billion approved at the IDB Governors’ Meeting in Punta Cana, the institution aims to reach disbursements of US$1 billion in the coming years.
Some of the latest projects approved by IDB Invest in Argentina were the YPF Luz Green Bond for 35 million dollars; the lithium project Sal de Vida by the company Galaxy Lithium SA, for 50 million dollars; and the agreement with Molinos Agro SA for 50 million dollars.
Source: Ambito
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