In addition to the public sector lending described earlier, the IDB also lends money to various private sector projects. U.S. firms in many cases may be eligible to receive funding for their investments in Latin America. Three units in the IDB Group primarily operate the private sector programs:

Multilateral Investment Fund (MIF)
The MIF supports pilot projects for institutional, legal and regulatory reform; labor training; and small business and micro enterprise development. The MIF also funds projects managed by Latin American or Caribbean governments or non-governmental organizations that promote a healthy, functioning private sector.

Inter-American Investment Corporation (IIC)
The IIC invests debt and equity in small-to medium-sized Latin American and Caribbean firms, both directly and indirectly, through funds or bank and government-managed credit lines. The IIC finances up to 25 percent of a total project’s cost.

IDB Private Sector Department (PRI)
PRI finances private sector infrastructure projects without government guarantees. The projects are in such sectors as energy, transportation, sanitation, communications and the development of local capital markets. It can finance up to 25 percent of the total project cost. Although the projects themselves must be in a Latin American or Caribbean country, there is no restriction on the national origin of the project sponsors.