IIC Charter

The IIC Charter is the Agreement Establishing the IIC, which entered into effect on March 23, 1986. The original text of the Agreement was amended by subsequent Resolutions dated October 3, 1995, July 4, 2001, and June 12, 2002.

The text of the Charter is available in the IIC’s four official languages.






Disclosure of Information Policy

The Board of Executive Directors of the Inter-American Investment Corporation approved the institution’s new Disclosure of Information Policy on October 11, 2005, thus replacing the former policy approved on January 15, 1999. The Board’s approval followed a 90-day public consultation process. The new policy significantly expands the scope of information to be disclosed to the public and, for the first time, explicitly provides for the public disclosure of any information relating to the IIC and its activities in the absence of a compelling reason for confidentiality. The IIC’s new policy reaffirms its commitment to transparency and accountability in all its activities. Documents drawn up between January 15, 1999 and December 1, 2005, are governed by the previous policy dated January 15, 1999. The new policy took effect on December 1, 2005.

Click here to view the Disclosure of Information Policy.*

*For inquiries related to projects, please send your questions or comments to divulgacionpublica@iadb.org

Other IIC Policies and Procedures

  PDFs available in:
  English Spanish
IIC Environmental and Social Sustainability Policy (June 25, 2013)
Integrity Framework

Operating Principles

The IIC invests in a broad spectrum of activities, including new business ventures, expansions or upgrades, restructurings, privatizations, refinancing, working capital operations, and other activities, fostering economic development consistent with its mandate.

IIC Management has established appropriate guidelines and procedures to facilitate the efficient processing of all transactions and the administration of institutional affairs.

The IIC is not the sole source of funding for any particular enterprise. In fact, it seeks to mobilize other sources of funding and attempts to effectively reconcile the interests of corresponding investors. The Corporation does not take part in any transactions for which, in its opinion, sufficient capital could be obtained on adequate terms without its participation.

The IIC does not ordinarily finance transfers of equity investments between private investors. The only allowable exceptions to this rule are cases in which the change in ownership could result in a substantial improvement in the enterprise, which must be reported to the IIC’s Board of Executive Directors.

Prospective operations must be consistent with the host country’s development plans, where applicable, and the IDB Group’s country strategy, and have good prospects for success. As appropriate, the IIC will make recommendations designed to strengthen a proposed operation by improving its structure and risk/reward ratio. It will verify that the operation’s concept, technology, sponsorship, and management are sound; that its environmental, social, and labor practices are acceptable and consistent with applicable host country legislation and its own internal environmental and labor-related guidelines; that there is a market for the customer’s products or services; and that the investment cost is reasonable and there is an appropriate financing plan in place.

Each operation is assessed on its merits in terms of its economic development impact and economic and financial return. The financial instruments and rates for each operation are established by the IIC based on this assessment.

IIC funding may be used to cover foreign exchange or local currency expenditures, acquire fixed assets, meet working capital needs, refinance short-term debt, finance intangible assets, and for other purposes that foster economic development.

The IIC will ensure that all procurement operations of goods and services with IIC funds originate in member countries and are made at reasonable prices. However, it may not require that IIC loan proceeds be used for the procurement of goods and services originating in any specific country.

In fulfilling its mission, the IIC endeavors to work through financial intermediaries with a presence in the region to extend its reach, make the best use of its limited resources, strengthen local financial markets, or whenever it may benefit from taking on a local partner.

The IIC assesses the risks associated with a given operation to determine whether they are acceptable and helps structure each operation to equitably distribute the risks involved among all corresponding participants, including entrepreneurs, technology sponsors, contractors, raw material suppliers, customers, and the various financing agencies.

The IIC rates risk by industry, company, and operation as well as by host country policies on investment, exchange rates, price controls, taxation, and other relevant issues that may affect the viability of the operation, and puts together an appropriate security package at a reasonable cost. As an added condition, the appraisal process must produce a satisfactory assessment of key factors such as sponsor and shareholder quality and integrity, management capability, cash flow capacity, market, security, and structure of the IIC investment.

Once the IIC has determined that the risk levels for a given operation are acceptable, the next step is to establish the appropriate return.

The IIC takes the risk profile of its current portfolio into account in considering each new operation.

The IIC follows the legislation of the host country, another country, or both in structuring its operations, designing the pertinent legal documentation in such a way as to adequately protect its interests.