STORY-TRÅD·politik

IDB unveils USD 5.8 billion for Global Alliance Against Hunger

The Inter-American Development Bank (IDB) announced in Rome it will allocate USD 5.8 billion to the Global Alliance Against Hunger and Poverty, supported by the Brazilian government. According to the bank, “the Global Alliance Against Hunger and Poverty aims to accelerate progress toward the eradication of hunger and poverty through coordinated support from its members for large-scale, evidence-based national policies and programs.” Notícias relacionadas:Black women are the most affected by hunger in Brazil.Government actions helped remove Brazil from Hunger Map, says minister.Brazil seeks international support for Global Alliance against Hunger.“The alliance,” the note goes on to say, “has more than 215 members, including more than 107 countries, 31 international organizations, 14 international financial institutions, and more than 63 philanthropic and nongovernmental organizations.” Announced on Friday (Jun. 19), the funds are in addition to the USD 4.1 billion allocated last year for social programs in various countries. The total amount allocated in 2024 and this year – approximately USD 10 billion – accounts for 40 percent of the USD 25 billion the IDB has proposed to finance by 2030. Amounts can be used for loans and technical cooperation involving grants. The breakdown of the totals for each funded project, by country, and the distribution across grants and loan amounts to be repaid are expected to be released next week. Interest Interest rates on IDB loans to the public sector in various countries are based on the Secured Overnight Financing Rate (SOFR), plus the bank’s funding margin and the loan spread – which is the profit margin earned between the funds raised by the institution and the credit extended. Since December 2022, the IDB has been led by Brazilian economist Ilan Goldfajn, who served as president of the Central Bank under former President Michel Temer’s administration (2016–2018). The bank has 48 member countries, of which 26 are borrowing members in Latin America and the Caribbean and are eligible to receive financing, such as Brazil. The other 22 members are non-borrowing members – they contribute to the bank’s capital but cannot receive financing – such as the US, Canada, and some countries in Europe and Asia. The Global Alliance Against Hunger and Poverty is co-chaired by Spain’s Secretary of State for International Cooperation Eva Granados and Brazil’s Minister of Development, Social Assistance, Family, and the Fight Against Hunger Wellington Dias.