Latin America and the Caribbean
Over the past years, the region of Latin America and the Caribbean has, on the whole, made great progress ‒ the economy is growing, democracy has been strengthened and many people have been able to escape the clutches of poverty. And yet the picture across the territory is still very mixed. Emerging countries such as Brazil and Mexico are becoming important global players, ambitious states such as Peru and Columbia are benefiting from sound budgetary policies and rising revenue from raw materials. Developing countries such as Honduras, Guatemala and Nicaragua are still battling weak statehood and widespread poverty. One element common to all the countries is that income and wealth are distributed very unevenly. Furthermore, all the countries on the continent are home to ecosystems and rare fauna and flora, which are of global importance for the climate and biodiversity.
Development cooperation with Latin America reflects the continent's changing role in the world and its diversity. KfW Development Bank, on behalf of the Federal Government, is focusing on protecting the environment and climate, as Latin America is an important partner in international climate policy matters. Renewable energy is promoted, the unique tropical forest is protected, climate-friendly means of transport are financed in growing cities, and the scarce resource of water is used more efficiently. KfW's projects contribute to generating more income and jobs for the population, providing clean drinking water and strengthening democracy, especially by means of promoting cities and districts. In 2019, KfW Development Bank made new commitments in the Latin America/Caribbean region amounting to around EUR 8.6 million.