Multilateral Cooperation Center for Development Finance (MCDF) CEO Zhongjing Wang discussed keys to promoting high-quality connectivity for sustainable development in Latin America during a Development Bank of Latin America and the Caribbean (CAF)-London School of Economics conference in London on 5 November. CEO Wang also had meetings with CAF Executive President Sergio Díaz-Granados and other stakeholders alongside the conference.

CEO Wang joined the conference session on Latin America’s sustainable finance priorities. He described the critical role partnerships and International Financial Institution (IFI) standards play in building connectivity infrastructure that can strengthen trade and broader economic opportunities in the region while ensuring environmental and social (E&S) safeguards.

He noted the importance of leveraging public-private partnerships and cooperation between multilateral development banks, domestic development banks, and other “New Partners” (developing country financiers) to realize high-quality connectivity projects that undergird sustainable development.

As an example, CEO Wang pointed to MCDF’s USD1.05 million grant support for project preparation work to improve the E&S framework, management system, and practices of BDMG – a Brazilian development bank – and other financiers in Brazil and beyond. The project is being taken forward by MCDF Implementing Partner (IP), the Asian Infrastructure Investment Bank.

CEO Wang also highlighted MCDF’s grant support for project preparation, capacity building, and information sharing to advance 11 other connectivity projects in Latin America and the Caribbean which amount to USD10.92 million in total and are addressing sustainable energy, transboundary water resource management, transport, and digital development. The projects are being implemented by CAF.

“There is high demand for connectivity infrastructure in Latin America and the Caribbean vital to the future of trade and sustainable development,” said CEO Wang. “MCDF is supporting projects in the region that aim to connect people and businesses in ways that mitigate climate shocks, protect biodiversity, and lift social wellbeing.”

On the margins of the conference, CAF Executive President Díaz-Granados and CEO Wang discussed the rapid increase in CAF connectivity projects funded by the MCDF Finance Facility since CAF became an MCDF IP in 2023. This growth has made Latin America and the Caribbean the second-largest recipient region of grant support within MCDF’s portfolio after Africa.

Executive President Díaz-Granados explained that promoting regional integration has been a focus for CAF since its establishment. He went on to outline Latin America and the Caribbean’s connectivity priorities, which he said include improving logistics in the Caribbean to reduce the cost of living, helping countries in the region export renewable energy, and protecting cross-border natural ecosystems.

CEO Wang congratulated Executive President Díaz-Granados on CAF’s diverse, innovative, and sustainable development-centered projects receiving MCDF grant support and expressed MCDF’s commitment to building on this momentum. He also thanked CAF for agreeing to chair the MCDF Coordination Committee (CC) in 2025.

Together, Executive President Díaz-Granados and CEO Wang discussed topics and activities CAF and MCDF may seek to take forward over the next year, in alignment with MCDF’s core principles of connectivity, quality, and partnership.

“The Development Bank of Latin America and the Caribbean has quickly emerged as an active and visionary partner of MCDF which is taking connectivity infrastructure projects in the region to the next level,” said CEO Wang.

“MCDF looks forward to CAF’s leadership in 2025 on facilitating greater collaboration between MCDF partner governments, International Financial Institutions, and other stakeholders to address shared connectivity growth imperatives,” he added.

In London, CEO Wang also met senior representatives of other MCDF partners. They included Mr. Mark Bowman, Vice President of Policy and Partnerships, European Bank for Reconstruction and Development; Mr. Nick Dyer, Second Permanent Under-Secretary and Ms. Jenny Bates, Director General, Economics, Climate, and Global Issues at the United Kingdom Foreign Commonwealth and Development Office; and Mr. Hans Peter Lankes, Managing Director of the Overseas Development Institute.

CEO Wang and these senior officials exchanged views on boosting high-quality connectivity infrastructure financing and development and potential areas of cooperation in 2025.