Financial Services

CDB provides technical support to governments to strengthen financial sector policies, planning, and institutional capacity. In 2024, the Bank conducted an assessment of BMCs’ Gross Financing Needs (GFN) for 2024–2033, estimating a baseline requirement of USD 65.2 billion. This figure underscores the scale of resources needed for governments to meet their policy objectives, which could rise even further in the face of external economic shocks. By providing policy advice and advocating for fairer access to global financial mechanisms, CDB ensures that regional governments are better positioned to mobilise affordable, sustainable financing.

Micro, small, and medium-sized enterprises (MSMEs) are the lifeblood of regional economies and, as such, CDB invests in initiatives that expand microcredit and strengthen informal and semi-formal financial systems.

These interventions improve access to finance for underserved populations, while also supporting sectors such as education, housing, and social development. By improving the reach and capacity of smaller-scale financial intermediaries, the Bank helps broaden financial inclusion and reduce inequality.

To help governments meet rising development costs and adapt to climate risks, CDB provides direct budgetary support in partnership with international development partners. These resources complement national budgets, ensuring that BMCs can maintain critical spending even in times of fiscal stress. By combining budget support with access to concessional resources, the Bank helps countries manage their debt sustainability while continuing to invest in resilience and long-term growth.

Examples: In 2024, the Bank signed a landmark agreement with the European Investment Bank (EIB) for a loan of up to EUR 100 million under its Ordinary Capital Resources, earmarked for projects enhancing water security, sanitation, and flood prevention. The Bank also secured an increase in its Green Climate Fund (GCF) accreditation limit from USD 50 million to USD 250 million, significantly expanding its ability to deliver climate resilience projects. In addition, a new CAD 58.5 million line of credit from the Government of Canada under the SuRGE programme will finance sustainable energy initiatives, further diversifying financing channels for BMCs.