Recently, the CAF (Latin American Development Bank) and the Abu Dhabi Development Fund (ADFD) formalized a strategic alliance that aims to enhance collaboration to promote sustainable economic growth in Latin America. This collaboration has grown across the region's development bank sales and represents a compromise for the development and evaluation of projects that have high financing potential, thus promoting synergies in the identification and preparation of recovery opportunities.
Importance of information exchange
After informing the CAF, the exchange of information on projects and initiatives is fundamental in this new association. This dynamic allows our organizations to benefit from the knowledge and experience accumulated over time. Furthermore, it has opened the door to explore forms of cooperation that adapt to future needs and opportunities, providing flexibility to both parties.
Collaboration opportunities
One of the most important aspects of this alliance is the wide range of collaborative businesses that can be nurtured in Cabo. This includes co-financing and parallel financing of projects, as well as joint inversions. Two entities will also participate in the development and evaluation of projects to determine their financial sustainability, which will facilitate the identification of foreign exchange opportunities.
Mohamed Saif Al Suwaidi, Director General of the ADFD, endorsed the embassies' compromise with the Sustainable Development Goals (SDGs), underlining the importance of climate action, infrastructure development and social well-being. “All together, we believe that collaboration can lead to sustainable outcomes that will truly transform lives,” he said.
Fortress of strategic relationships
Sergio Díaz-Granados, president of CAF, also underlined the importance of this alliance in the context of the economic recovery of Latin America and the Caribbean. “As our region's economy recovered, new opportunities arose to strengthen strategic relationships. This MoU will serve as a platform to share best practices and identify co-financing opportunities in key sectors,” indicated.
Our organizations are committed to promoting economic development and improving living standards in developing countries. The CAF brings its expertise to Latin America, while the ADFD follows its knowledge in providing recurring financial resources to developing nations around the world.
Impact and future
With this collaboration, we hope to improve the capacity of our institutions to implement critical projects on infrastructure, social development and economic growth in CAF member countries. The ADFD, created in 1971, has supported the Abu Dhabi government's economic development and financed sustainable projects in 106 developing countries, accumulating AED 216,000 million in recovery and development projects.
The alliance between CAF and ADFD represents a significant step towards the potential of international cooperation and the drive for sustainable economic growth in Latin America, offering a model of collaboration that could serve as an example for future initiatives.
