- May 12, 2015
- Category: News
CDB & DFC Project to benefit MSMEs, Housing, Education Launched in Belize
The Caribbean Development Bank (CDB) is providing funding to the Development Finance Corporation of Belize (DFC) to: better support the productive sector, including small business; to assist students to access tertiary level and skills training programmes; and families to acquire or improve their own homes.
Officially initiated today at the CDB-DFC project launch workshop in Belize City, the programme, on completion in 2016 should benefit 50 MSMEs; 200 students and 150 lower middle income households. The project is being made possible via a loan of USD10.5mn and a grant of USD0.086mn to be used for: loans to the productive sector including micro-enterprises; mortgage financing; student loans; and renewable energy (RE) and energy efficiency (EE) pilot programme.
The financing also includes funding of a pilot programme among existing viable businesses to demonstrate the benefits of EE/RE. This EE/RE component of the loan will be accompanied with a grant of USD 86,000 from CDB’s Caribbean Technological Consultancy Services (CTCS) to finance the cost of energy audits of participating businesses.
Target outcomes over the next four years are expected to be: increased number of skilled graduates from poor households; improved standard of living for low and lower middle income household; increased economic production and employment through the private sector; and increased awareness and usage of energy efficiency and renewable energy.
“Consistent with our development mandate, CDB has supported the national development priorities of the Government and People of Belize with more than USD400mn in loan and grant funding over the past four decades. This new loan of $10.5mn is a continuation of CDB’s support and it is noteworthy that this loan is directly to DFC following an independent consultant’s assessment that this new DFC conforms to current best practices with respect to the implementation of good corporate governance measures,” said Deidre Clarendon CDB’s Social Sector Division Chief.
A team from CDB is in Belize for the next two days working with the Ministry of Finance; the Board of Directors, management, and staff of DFC; and other key stakeholders to apprise them of the implementation and reporting requirements and expected results of the project. The PLW is being used as a mechanism to help mitigate risks such as loss of institutional memory; and to ensure greater clarity regarding CDB’s procedures. Particular emphasis is being placed on the pilot EE/RE component of the project.
CDB’s strong governance standards, developed over 45 years of funding projects of various scales across the Caribbean are shared to ensure responsibility, accountability and efficient implementation. CDB presenters will discuss and answer questions on legal conditions; procurement; disbursements; project supervision; design and monitoring framework; managing for development results; stakeholder review; scheduling and monitoring for development results.
About the Caribbean Development Bank
The Caribbean Development Bank is a regional financial institution established 1970 for the purpose of contributing to the harmonious economic growth and development of member countries. The Bank’s founding president was noted economist and Nobel Laureate Sir Arthur Lewis. There are nineteen regional borrowing member countries – including Guyana and Suriname; three regional non-borrowing member countries and five non-regional non-borrowing countries – Mexico, Venezuela and Colombia. Members outside of the Region are Canada, China, Germany, Italy, Mexico, UK and Venezuela. As of December 31, 2014, CDB had total assets of USD2.61bn (This includes USD1.38Bn of ordinary Capital resources and USD1.23Bn of Special Funds Resources.) CDB has an “Aa1” with stable outlook rating with Moody’s Rating Agency and a stable “AA/A-1+” rating with Standard and Poor’s Rating Agency. In 2014 the Bank approved loans and grants of USD26.6B.
About the Development Finance Corporation of Belize
DFC was incorporated in British Honduras on September 27, 1963 under the DFC Ordinance No.2 of 1961 as amended by No. 15 of 1963. It was owned by the private sector. In 1973 DFC was restructured and became a financial institution owned by the Government of Belize. This entity fell under the responsibility of the Ministry of Finance and Defense. The DFC now operates under the New DFC Act No. 1 of 2009 of the Laws of Belize. The purpose of the Corporation is to expand and strengthen the economy of Belize by providing developmental financing on an economically sustainable and environmentally acceptable basis to those individuals or groups of individuals seeking financing for specifically approved purposes including those who would otherwise be unable to fund their requirements from other sources on reasonable terms and conditions.
For further information please contact:
Head of Communications
Caribbean Development Bank
Email: firstname.lastname@example.org and Mobile: (246) 826-9923
Caribbean Development Bank
Email: email@example.com and Mobile: Mobile: (246) 826-5614
Manager, Marketing & Communications
Development Finance Corporation
P.O. Box 40, Bliss Parade, City of Belmopan, Cayo, Belize
Tel: 501 822 2575 / 2576, Ext. 237 I Fax: 501 822 3096 I Mobile: 501 610-3360
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