We just closed our global roadshow, during which we engaged with over 130 global market participants to present our new business model and recently approved capital increase. 

Partnering with Bolsa Institucional de Valores (BIVA), the London Stock Exchange Group, and Daiwa Capital Markets, this genuinely transformative journey for all of us at IDB Invest took us to Mexico, London, Tokyo, Seoul, and New York. 

Related Content

• IDB Invest Meets with Investors to Present its New Business Model and Capital Increase
• Governors Approve Three Historic, Transformative Changes for the IDB Group to Support the Region

The purpose was to introduce and discuss the new business model with investors, bankers, and debt capital market stakeholders.

The model aims to mobilize significant private sector capital for development projects across Latin America and the Caribbean. 

Attendees expressed keen interest in discussing the implications of the recent capital increase and the subsequent transformation of IDB Invest. 

Driven by these strategic changes, the funding program is poised to double in size over the next several years.

Challenges and opportunities

The region faces numerous global challenges, including climate disasters, deforestation, and food security issues.            

However, it also holds immense potential to lead the transition to renewable energy, enhance food security, and promote sustainable growth through the bioeconomy. 

IDB Invest’s new business model, originate-to-share, bridges global capital markets with these regional challenges and opportunities, fostering a sustainable economy.

We will significantly boost our investments with this new model and a capital increase of $3.5 billion.

Originate-to-Share

At the heart of IDB Invest’s new business model lies the “originate-to-share” strategy. This approach allows us to maximize impact by freeing up capital and increasing the number of projects we can support. 

• How it Works

  Originate	IDB Invest identifies and starts (originates) investment opportunities in Latin America and the Caribbean. Our deep knowledge of the region allows us to identify projects with significant impact.
  Share	We offer (share) parts of these investments to commercial investors instead of holding them until they mature.

• Why This Model?

  Free Up Capital	By sharing investments, IDB Invest can quickly reinvest in new projects and scale impact.
  Increase Deal Flow	With more capital available, IDB Invest can support more projects, increasing the number of development opportunities.
  Attract More Investors	Sharing investments brings in commercial investors who might need more expertise or risk appetite to invest in the region, mobilizing more money for development.

• Benefits

  Efficiency	This model makes IDB Invest more efficient by allowing it to recycle its capital and take on more projects.
  Risk Management	Sharing investments helps spread the risk among more investors, making it safer for everyone involved.
  Market Development	As IDB Invest moves on to new projects, it leaves behind more mature markets that can attract purely commercial investments, helping these markets grow independently.

WATCH: IDB Invest's CEO, James Scriven, presents the Originate-to-Share model at our Annual Meeting (2024)

Long-Term Vision

IDB Invest’s new business model is built on a foundation of collaboration and innovation. 

By engaging with investors and stakeholders globally, the organization aims to create a sustainable future for the region. 

This model mobilizes private investment at scale, transforming IDB Invest from a "buy and hold" deal originator to an "originate-to-share" conduit. 

This approach will channel capital from global and regional investors to impactful projects that address social challenges, climate change initiatives, and gender equality, diversity, and inclusion (GDI).

The new targets include 60% of projects supporting green finance and GDI, reflecting a strong commitment to sustainable development.

A Prosperous Future

IDB Invest’s new business model represents a bold step towards scaling impact in Latin America and the Caribbean. 

By connecting local markets with global capital, fostering innovation, and addressing critical regional challenges, IDB Invest is paving the way for a sustainable and prosperous future. 

JOIN A COMMUNITY OF 40,000 DEVELOPMENT LEADERS 

GET THE LATEST ON OUR PROJECTS AND KNOWLEDGE

As the organization continues operating in the global and local capital markets,  it remains dedicated to mobilizing resources and driving development that improves lives across the region.

To date, IDB Invest has issued $13 billion in bonds worldwide, with over $5 billion dedicated to sustainable initiatives.