National and World

The IDB also underlines the need of the private sector to meet the demands of Latin America

March 28, 2014 10:26 am

Costa do Sauipe (Brazil), Mar 27 (Entravision) .- The private sector can be an important partner for governments to cover unmet demands by the public sector in Latin America, as highlighted today in the first day of the 55 Annual Meeting of the Inter-American Development Bank (IDB) .

The important role of the private sector was cited both in a forum that brought together young innovators responsible for projects that benefit the population in the region, as well as in an interview with EFE by the IDB president Luis Alberto Moreno, in Costa do Sauípe, the spa in the Brazilian that the meeting is being held until the next Sunday.

“Latin America will have to make at least in the Following 20-25 years many investments in infrastructure, not just the public savings but that public space-private”, to cover the deficit that hampers your productivity, said Moreno.

The maximum of the IDB steering referred in particular to the deficit in energy infrastructure, on which he said that in the next twelve years Latin America has to invest a 40 per cent more, if it is going to “maintain these rates of growth that we have” .

assured that one of the objectives of the bank is to seek greater synergies with the private sector and define the type of support that you can offer to companies.

He added that the need of the private sector to cover the deficits of the region, the IDB is better integrating their Windows to the companies and has defined a few priority areas, among which are the small and medium-sized enterprises.

“there is no doubt that the region today requires increasingly for small and medium-sized enterprises increased funding” to improve their low productivity, because these are those that generate “a very important part of the employment,” said.

In the same interview, Moreno expressed the importance of Latin America improve its productivity, also with the help of the private sector, to cope with a situation of lower growth.

explained that three years ago the growth of the region “was approaching near the 5 per cent”, thanks to the high prices of the products Basic, the high growth of the Chinese economy and its strong demand and “the low cost of money, product of the very aggressive monetary expansion” of the industrialized countries.

however, he added, the Latin American countries are faced with “an environment of lower growth”, with interest rates that are going to go gradually rising, “what will have an effect on the coins, on the exchange rates of our countries and our ability to trade” .

In the encounter with nine young innovators of Latin America and the Caribbean, the forum that opened the Annual Assembly, the president of the IDB stressed the sustainability of the projects driven by the young people by providing benefits to the most needy people, a task of the sector Public.

on the draft Ilumexico, devised by the Mexican Manuel Wiechers and that takes energy to remote regions and poor of Mexico, Moreno stressed the option for a renewable source such as solar and benefit to regions in which the distribution of electricity would have high costs.

when commenting on the project Transforms, of the Brazilian Paula Dib, which converts the craft production in art respondent by global markets, he emphasized his ability to create added value for small producers and to encourage their creative ability.

“We believe that the participation of young innovators in the region is key to solving traditional development problems with new solutions. Latin America and the Caribbean need of the energy, vision and creativity of its young citizens to transform their environment,” said the coordinator of the Youth Program of the IDB, Fabian Koss, in statements to the Efe.

The events scheduled by the IDB for tomorrow is also focused on the involvement with the private sector in the region to the waiting for the Saturday and Sunday meet the governors of the bank to assess the regional situation and point out the following steps to give.