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January 29, 2024

CARICOM Development Fund and the United States Partner to Launch US$100 million Fund for Regional Development

The CARICOM Development Fund (CDF), in partnership with the United States officially launched the CARICOM Resilience Fund in Barbados.  The new US$100 million fund, with technical assistance provided by the U.S. Agency for International Development/Eastern and Southern Caribbean, is dedicated to supporting initiatives that will enhance growth and resilience across the region in the face of climate change. It also aims to reduce a financing gap by expanding investment on adaptation and climate change in the eastern and southern Caribbean. The Fund will make investments in resilience-focused small and medium enterprises (SMEs) and critical infrastructure projects through flexible debt and equity investments targeting six key sectors: renewable energy, clean transport, blue economy, sustainable agriculture, information and communication technology, and financial services.

Speaking at the opening ceremony of the launch event at the Hilton in Barbados, Prime Minister Mia Amor Mottley commended the CDF for taking this bold step to launch the new resilience fund and looked forward to the support of the region and interested parties to invest in the fund.  In his remarks, U.S. Ambassador Roger Nyhus said: “The Resilience Fund symbolizes not just an allocation of resources, but a promise—a promise to invest in innovative solutions, technologies, and strategies that will fortify our societies against the changing climate patterns. It will contribute to preparing Caribbean countries to mitigate and adapt to adverse economic shocks, in particular those related to climate.”

Rodinald Soomer, Chief Executive Officer of the CDF, highlighted that “the CARICOM Resilience Fund is an integrated and transformative vehicle that will offer investors attractive social and economic returns on investments geared toward building economic and climate resilience in the Caribbean.”

At the event, CDF announced Sygnus Capital, a leading Caribbean investment firm, as the fund manager for the Resilience Fund.  The CARICOM Resilience Fund has been under design and development since January 2023, with support from United States Agency for International Development/Eastern and Southern Caribbean. This partnership underscores the commitment of both the CDF and the United States in creating a more prosperous, resilient, and sustainable future for the Eastern and Southern Caribbean. By leveraging resources, expertise, and collaborative efforts, the fund aims to make a lasting impact on the region’s development landscape.