Eco-Business Fund for Latin America and the Caribbean (IADB-RG-L1121)

Financial Institutions
  • Inter-American Development Bank (IADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Aug 1, 2017
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 20.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 20.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IADB website

Updated in EWS Sep 15, 2017

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.
IDB: FINANCIAL MARKETS-FINANCING FOR ENVIRONMENTAL SUSTAINABILITY "The objective of the Fund is to promote business practices that contribute to biodiversity conservation and the sustainable use of natural resources through the provision of dedicated financing and technical assistance. Eco-Business is a regional fund and targets only investments in the Latin American and Caribbean ("LAC") region, its investment activities focus on sustainable agriculture and agri-processing, forestry, fishery and aquaculture, and tourism. The Fund channels financing to local producers, primarily via financial institutions ("FIs") that operate according to the principles of responsible finance. In limited cases (max. 15% of the total portfolio), the Fund also provides direct financing for high-impact businesses and projects. To enhance the impact of its investments, the Fund has created a development facility to complement its investments with technical assistance both to the FI level and to the final beneficiaries for capacity building, market studies and impact assessment activities. "The main development impact of the project will be to expand access to finance for sustainable businesses. The success of the project is expected to demonstrate to the financial markets that sustainable businesses can represent an attractive sector with measured risk, attractive returns and substantial growth potential, thus encouraging FIs in the region to direct more resources to this sector. The project will promote the connection of FIs interested in strategically and systematically financing sustainable businesses with institutional investors and technical assistance resources."
Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Sector Loan. The Fund size is targeted at US$300 million. IIC's Financing would consist of an unsecured subordinated financing of up to the lesser of (i) US$60 million or (ii) 25% of the Fund size, with a tenor of up to 6 years and an up to 3 year commitment period. It is expected that the financing will include (a) an IIC-IDB subordinated loan of up to US$40 million, and (b) a potential subordinated co-financing of up to US$20 million from the China Fund. The additional funding of Eco-Business will be comprised of equity and senior loans expected to come from domestic and international private institutional investors as well as development financial institutions.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.
ACCOUNTABILITY MECHANISM OF IADB The Independent Consultation and Investigation Mechanism (MICI) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an Inter-American Development Bank (IDB) or Inter-American Investment Corporation (IIC)-funded project. If you submit a complaint to MICI, they may assist you in addressing the problems you raised through a dispute-resolution process with those implementing the project and/or through an investigation to assess whether the IDB or IIC is following its own policies for preventing or mitigating harm to people or the environment. You can submit a complaint by sending an email to You can learn more about the MICI and how to file a complaint at,1752.html (in English) or,1752.html (Spanish).

How it works

How it works