The loan will address several economic and environmental challenges in The Bahamas, adopting a multi-pronged approach
In a big win for business and the environment, the Inter-American Development Bank (IDB) has approved a $200 million loan for The Bahamas, with the specific purposes of promoting competitiveness and environmental resiliency.
A Modernizing Framework for Environmental and Financial Inclusiveness
On the one hand, the loan is designed to help improve the business climate and to support the micro-, small-, and medium-sized enterprises in the country. On the other hand, the loan is also designed to help The Bahamas modernize the country’s institutional and legal framework for the purpose of protecting natural resources.
Another purpose of the loan is to promote economic diversification through scientific and institutional developments in the so-called Blue Economy – i.e. the marine-based economy.
Providing a flexible, dynamic, inclusive and sustainable economy
The loan is a good match for exactly the kind of assistance The Bahamas has been seeking. The country’s Bahamas Economic Recovery Committee has a goal to provide a resilient, dynamic, inclusive, and sustainable economy, one that has plenty of growth in the private sector but also a stronger set of environmental protections.
Streamlining Investments and Aligning Growth to Sustainability
Part of the idea is that with more transparent, better-governed capital markets and a more streamlined process for obtaining business licenses, The Bahamas will see more investment and economic growth.
The funds will also help The Bahamas with the country’s ambitious goal of protecting 20 percent of its marine and coastal environment.