The Inter-American Investment Corporation is a multilateral organization. It began operations in 1989, seeking to promote economic development in its member countries across the Latin American and Caribbean region by financing private enterprises.

In furtherance of its mission, the IIC provides project financing in the form of direct loans and equity investments and lines of credit to local financial intermediaries, and invests in local and regional investment funds. The Corporation’s activities are targeted specifically at small and medium-size enterprises that have difficulty obtaining financing from other sources on reasonable terms.

In a sense, IIC financing is seed money. It also serves as a catalyst for attracting other resources in the form of additional financing, technology, and know-how through cofinancing and syndication, by supporting security underwritings and identifying joint venture partners.

Lending and investing require an appraisal to assess a project’s soundness and prospects for success. As part of the appraisal process, the IIC advises its customers on project design and financial engineering, and helps them put together a financial plan.

In order to qualify for IIC financing, projects must offer profitable investment opportunities. They must also foster economic development in some way—whether by creating jobs, broadening capital ownership, generating net foreign exchange income, facilitating transfers of resources and technology, utilizing local resources, encouraging local savings, or promoting the economic integration of Latin America and the Caribbean. Environmentally sensitive projects must include provisions for specific preventive or restorative measures.