1. The New Bank and Private Sector Activities
Lori Kerr
Advisor, Vice Presidency for Private Sector
and Non-Sovereign Guaranteed Operations
Washington, DC
October 15, 2008

2. Agenda Background on IDB New Business Model Private Sector Operations
IDB’s Competitive Advantages
Products for Private Sector Clients
Consulting Opportunities
Contact Information

3. Inter-American Development Bank
Oldest and largest multilateral lender to Latin America and the Caribbean dedicated to accelerate economic and social development
Regional institution with 47 member countries, including 26 borrowing member countries
Established in 1959
Provides US$10 billion annually in lending and technical assistance
Public sector operations
Private sector operations

4. IDB: New Business Model
New corporate structure
Strengthened private sector operations
Broader client base
Expanded sectors
More agile and responsive

5. IDB: New Business Model
Public
Private*
PPP
Mixed
Sovereign-
Guaranteed
Operations
State Owned
Enterprises
without
Sovereign
Guarantee
(Federal, State,
Municipal
Basic
Infrastructure:
Transport
Energy
Water & San
Telecom
Basic .
Industries:
Pulp
Paper
Chemical
Steel
Extractive Industries:
Gas
Oil
Mining
Manufacturing
Tourism
Agribusiness
Services
*Authorized up to 10% of IDB Outstanding Balance

6. Private Sector Operations: IDB Group
The IDB Group, comprising the Inter-American Development Bank, the Inter-American Investment Corporation and the Multilateral Investment Fund, provides a wide range of financial and non-financial products and services to non-sovereign clients
Large projects, enterprises and financial institutions
SMEs and financial institutions focused on SMEs
Micro, small and medium enterprises
Inter-American Development Bank
Structured and Corporate Finance Department
Opportunities for the Majority

7. IDB’s Competitive Advantages
Deep Knowledge and Excellent Relations with Latin America and the Caribbean
Oldest and largest multilateral lender to the Region
Cooperative, long-term relationship with member countries
Help mitigate political risks
Exemption from withholding taxes and de facto preferred creditor status
Solid Financial Position
AAA/Aaa Rating (S&P, Moody’s)
Authorized capital of US$101 billion
Ability to extend tenors at market pricing

8. IDB’s Competitive Advantages
IDB Value-Added
“Umbrella Effect” helps to attract other lenders
Catalytic role: IDB financing mobilizes private investment
Internationally recognized environmental, social, labor and health standards provide comfort to governments, communities, lenders and sponsors
Flexible risk sharing arrangements

9. Products for Private Sector Clients
A/B Loans
Political Risk Guarantees
Partial Credit Guarantees
Direct equity and quasi-equity investments
Investment funds
Technical assistance:
Renewable Energy (SECCI)
Infrastructure (InfraFund)
Water & Sanitation (Aquafund)
Other trust funds

10. Consulting Opportunities
Phases in transaction cycle:
Upstream feasibility
Detailed due diligence
Ongoing administration and monitoring
Process of engagement:
Request for proposals
Proposal evaluation
Consultant selection
Consultant Services Agreement
Areas of expertise:
Technical
Market
Financial
Economic
Environmental and Social
Insurance

11. Contact Information
Structured and Corporate Finance Department (SCF)
Large projects, enterprises and financial institutions
Phone: +1 (202)
Opportunities for the Majority (OMJ)
Market-based strategies to bring economic and social development to low-income populations
Phone: +1 (202)
Inter-American Investment Corporation (CII)
SMEs and financial institutions focused on SMEs
Phone: +1 (202)
Multilateral Investment Found (MIF)
Micro, small and medium enterprises
Phone: +1 (202)