The Inter-American Development Bank Group (IDB Group), in collaboration with SB COP and the Brazilian COP30 Presidency, has launched ReInvest+, a new initiative aimed at connecting global financial markets with critical climate adaptation and mitigation projects in developing countries. With developing nations outside China needing over $1.3 trillion annually to build resilience and reduce emissions, public funding alone is insufficient, making the mobilization of private capital essential. However, private investors often prefer rated, hard-currency securities, while the projects most in need are early-stage, unrated, and in local currency.
IDB Group President Ilan Goldfajn emphasized that ReInvest+ shifts the approach by taking projects to where the money is, transforming proven local loans into investable global assets. This model seeks to reopen financing opportunities, potentially scaling climate funding significantly. COP30 President Ambassador André Corrêa do Lago highlighted that ReInvest+ addresses critical gaps in climate finance, demonstrating the tangible impact finance can have on climate solutions. Luciana Ribeiro from SB COP added that the initiative actively drives private-sector leadership, mobilizing capital to make mitigation and adaptation projects viable at scale.
ReInvest+ operates through four core steps. First, it begins with seasoned loans—performing, approved, and constructed projects already on local banks’ balance sheets, estimated to total $500 billion in Latin America and the Caribbean. Second, these loans are converted into investment-grade, hard-currency securities through diversification and commercially priced portfolio insurance for political and foreign-exchange risks. Third, capital is recycled conditionally, requiring banks to reinvest proceeds into projects aligned with national development plans and climate goals, creating a self-reinforcing loop of funding. Finally, local banks are empowered to identify and finance new opportunities, aligning incentives across governments, banks, local firms, and global investors.
To achieve scale and speed, the IDB Group has called for global partnerships, inviting commercial and international banks to submit proposals by October 24. The IDB will act as a neutral convener, ensuring transparency, setting asset-purchasing criteria, and providing financial technologies, including FX portfolio insurance. Selected partners will be announced during COP30, along with plans to purchase assets over the next 12 months.
ReInvest+ aligns with the IDB Group’s commitment to the $1.3 trillion Baku to Belém Roadmap, aiming to redesign financing flows between the public and private sectors for development, climate, and nature. Through innovation and collaboration, the initiative seeks to enable countries in Latin America and the Caribbean to scale the impact of climate adaptation and mitigation projects.
