Inter American Opportunity Facility

For inquiries and comments to IIC, contact:
IIC’s Communications Group
E-mail: divulgacionpublica@iadb.org

For project inquiries, including environmental and social questions related to an IIC investment, please contact the client or the IIC using the contact information provided above. In addition, project affected communities have access to the IIC Independent Consultation and Investigation Mechanism.
Tel:+1 (202) 623-3952
Fax: +1 (202) 312-4057
Address: 1300 New York Ave. NW Washington, DC. USA. 20577
E-mail: mecanismo@iadb.org or MICI@iadb.org

Project Number: 
RG3883A-01
Expected Consideration Date by the Board: 
02/24/2015
Date Posted: 
01/21/2015
Company: 
Investee: The Inter American Opportunity Facility (“IOF”) or (“The Facility")
Sponsoring Entity: 
Calvert Social Investment Foundation, Inc. (“Calvert Foundation” or “CF”)
Financing Requested: 
Investment Requested: Investment of US$1 million
Sector: 
Investment Funds
Location: 
Regional
Scope Objective: 

The Inter-American Investment Corporation (IIC) will make an equity investment of US$1,000,000 in the IOF, a Latin America and Caribbean-focused Social Impact Investment Fund in partnership with the Calvert Foundation, a US financial intermediary that enables individuals and institutions to invest for social good. Founded in 1988 with a mission to use investment capital to end poverty, CF offers a range of financial products and services that funds social impact projects while receiving a financial return.

The Facility has a target size of US$ 20,000,000 and will be managed by a wholly-owned subsidiary of the Calvert Foundation. The Facility is expected to provide debt financing to Latin America and Caribbean SMEs focusing on financial, social and environmental impact results. The IDB Group (IIC, MIF, OMJ) will source, structure, and provide a pipeline of projects to the IOF. Apart from their equity investment in the Facility, CF will provide a loan to the Facility, raised from the CF investor base.

Loan payments from social impact companies will be used to pay the Facility expenses, repay the Calvert Foundation loan to the Facility, and to make distributions to the equity holders.

Environmental Review: 

Environmental and Labor Issues:

This is a category FI-2 project according to the IIC’s Environmental and Social Sustainability Policy because the companies in the Facility’s current or future portfolio are those where the risk potential is considered medium. Companies in which the Facility invests shall be in compliance with the IIC’s list of excluded activities and with all applicable laws, regulations, and standards regarding the environment and occupational health and safety. In addition, IIF will be required to submit annual environmental reports to the IIC.