US Commits US$30 Million in Technical Assistance For Sustainable Investment in the Caribbean
WASHINGTON, DC – The United States has announced a commitment of up to US$30 million towards a new initiative that will accelerate international development projects in countries throughout Latin America and the Caribbean and sustain the positive effects they deliver.
The US Department of State said the new technical assistance facility is “the result of innovative cooperation between DFC and IDB Invest and will be available to any project developed under the shared Americas Partnership Platform.
“It will expand the pipeline for new projects and support those under consideration to meet rigorous criteria for DFC-IDB Invest financing,” it said. “The new investment is a strategic response to the need for more support in project development in the region and is a tangible demonstration of the United States’ commitment to and the growing importance of the Americas Partnership.
“The facility aligns with our shared commitment under the Americas Partnership to accelerate impactful projects that are sustainable and strategically important for regional development,” the State Department added.
In order to bolster semiconductor production capabilities across the Western Hemisphere, the State Department, in collaboration with the Inter-American Development Bank (IDB), on Wednesday also unveiled the CHIPS ITSI Western Hemisphere Semiconductor Initiative.
The State Department said this groundbreaking initiative, supported through the CHIPS Act International Technology Security and Innovation (ITSI) Fund, enhances semiconductor assembly, testing, and packaging (ATP) capabilities in key partner Latin American and Caribbean countries, beginning with Mexico, Panama and Costa Rica.
Under the initiative, the State Department said the IDB will support public-private partnerships and implementation of the Organization for Economic Cooperation and Development (OECD) recommendations tailored to enhance the semiconductor ecosystems in targeted countries.
“This collaborative effort underscores a commitment to international policy alignment and sustainable economic development,” the State Department said. “This Initiative will also build on the IDB’s ongoing work through the Americas Partnership for Economic Prosperity to strengthen the competitiveness of regional semiconductor supply chains.”
The State Department said the CHIPS ITSI Western Hemisphere Semiconductor Initiative will commence in 2024 and continue through 2026.
“This initiative will strengthen regional capabilities and set a precedent for inclusive economic growth and global technological advancement,” it said. “To that end, the ITSI Fund has also supported a semiconductor-focused multilateral platform that advances Americas Partnership for Economic Prosperity objectives.”
In a joint statement on Wednesday, marking the Americas Partnership for Economic Prosperity July Ministerial, the Governments of the United States of America and Barbados, Canada, Chile, Costa Rica, Colombia, the Dominican Republic, Ecuador, Mexico, Panama, Peru, and Uruguay “committed to fulfilling our hemisphere’s potential to foster inclusive, sustainable, shared prosperity for all.”
The foreign ministers of the 12 Americas Partnership for Economic Prosperity (Americas Partnership) said that their commitment to promoting equitable economic growth and opportunity is rooted in “a belief that democratic governance requires delivering tangible results for our people.
“Shared values anchor our commitment, including respect for democracy and the rule of law, diversity and inclusion, environmental and social protection, labor rights, and human rights,” they said.
At the inaugural Americas Partnership Summit on November 3, 2023, the foreign ministers noted that their leaders stated their intention to significantly strengthen their economic partnership through “an enduring, high-level forum for deepening economic collaboration and integration that can take on the major global challenges of our time, from combatting the climate crisis to promoting greater social and economic opportunity.”
At that summit, the leaders offered a roadmap to strengthen cooperation, integration and innovation, asking foreign, trade and finance ministers to focus on the following cross-cutting priorities: Strengthening regional competitiveness and integration; fostering shared prosperity and good governance; building sustainable infrastructure; protecting the climate and environment; and promoting healthy communities and high-impact cooperation on priority issues.
“Today, we report important progress in advancing our objectives by promoting inclusive entrepreneurship, clean hydrogen, respect for the rule of law and transparency, sustainable food production, digital workforce development, and civilian space cooperation,” the statement said.
To strengthen the rule of law, transparency, and anti-corruption efforts, the foreign minister said they are exchanging best practices and sharing information, most recently in a workshop hosted by the Dominican Republic, which showcased different models for fostering a culture of transparency and ethics in critical government functions.”
Between now and the Americas Partnership Summit of 2025, they said all partners plan, with technical assistance from sources such as the UNODC anti-corruption hubs, to convene stakeholders, including the private sector and civil society, “to adopt and maintain measures for improved procurement practices and greater transparency in the same, consistent with their obligations under the UN Convention against Corruption and domestic law.”
