How does the Inter-American Development Bank evaluate loan and grant applications?

The Inter-American Development Bank (IDB) evaluates loan and grant applications through a rigorous and transparent process. The bank assesses projects based on their alignment with the IDB's development goals and the borrower's country strategies. The evaluation includes a thorough analysis of the project's technical, environmental, social, and financial aspects to ensure sustainability and positive impact. The IDB also considers the borrower's capacity to implement the project effectively and manage possible risks. In addition, the bank evaluates the project's potential for regional integration and cooperation, as well as its contribution to gender equality, climate change mitigation, and poverty reduction. The evaluation process involves consultations with stakeholders and experts, ensuring multiple perspectives and expertise are considered. Ultimately, projects are approved based on their potential to contribute to the sustainable development of the Latin American and Caribbean region.