Washington D.C., October 10, 2014—IFC,
a member of the World Bank Group, is boosting its support of Colombia’s
infrastructure sector by helping launch a specialized finance institution
that will play a critical role in securing the financial resources needed
for the country’s upcoming large-scale infrastructure projects.
IFC is investing $70 million in Financiera
de Desarrollo Nacional, which will operate as a specialized financial institution
that will mobilize funding for Colombia’s infrastructure projects, including
a new toll-road program that will represent a crucial upgrade to solve
some of the country’s infrastructure bottlenecks. IFC will have a 20%
equity stake in FDN.
Colombia needs about $40 billion in
infrastructure investments and FDN will help ensure the participation of
the private sector in financing these projects, which will bolster the
country’s sustainable economic growth and improve its competitiveness.
FDN will serve as key supporter for
these plans and help Colombia’s financial industry meet this financing
need by offering long-term loans and tailor-made financial tools that will
attract institutional investors to these projects. FDN will initially focus
on supporting the financing of the toll road programs, but will eventually
help address the financing needs of all segments of the Colombian infrastructure
“This investment will be instrumental
in providing infrastructure finance and developing capital markets in Colombia,”
said Jin-Yong Cai, IFC Executive Vice President and CEO. “It will support
inclusive economic growth, and improve the overall competitiveness of the
Colombian economy,” he said.
Mauricio Cárdenas, Colombia’s Finance
Minister said that “with this funding, FDN will have a greater capacity
to finance the different infrastructure projects that are a priority for
Clemente del Valle, FDN’s president,
said that “with this new step, FDN strengthens its autonomy and financial
capacity and consolidates itself as the leader of infrastructure finance
In addition to its financing role in
the infrastructure sector, FDN will bolster the local know-how through
a special public-private partnership unit that will focus on structuring
infrastructure projects. In October last year, IFC and FDN each provided
$2 million to support the creation of this unit.
This unit will support the development
of well-structured public private partnerships -- agreements between governments
and firms to provide infrastructure and public services—at the national
and regional level.
In Colombia, IFC is engaged in supporting
sectors essential to social and economic development, such as infrastructure,
health, education, agribusiness, and public-private partnerships to build
ports, roads, and airports. IFC also promotes access to finance for micro,
small, and medium enterprises, and works on improving the investment climate
by simplifying regulations and royalty management. IFC’s current investment
portfolio in projects in Colombia is $1,5 billion, of which $500 million
was mobilized or syndicated from other banks.
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. Working with private enterprises in about 100 countries,
we use our capital, expertise, and influence to help eliminate extreme
poverty and boost shared prosperity. In FY14, we provided more than $22
billion in financing to improve lives in developing countries and tackle
the most urgent challenges of development. For more information, visit