The Inter-American Development Bank and Corporación Andina de Fomento (CAF) both committed to spend millions of dollars in Peru, Paraguay, El Salvador, Brazil and on cross-border projects. The IDB announced that it would devote $450m to the establishment regional green bonds.

Gema Sacristan, IDB’s financial markets division chief, said the green bond project was a “private sector programme that stands out for its innovative financial approach”, mobilising funds from SMEs, pension funds and insurance companies.

In addition, a women’s empowerment initiative in El Salvador will use a $30m IDB loan to expand, while Peru’s rural population will gain sustainable road access with a $50m loan.

CAF will also be lending to southern Peru, with $80.8m going towards developing 38,500 hectares of land to grow crops for export, and will fund road rehabilitation projects in Paraguay and Brazil.

Enrique Garcia, executive president of CAP, said that by modernising a country’s roads you improve the quality of life of its inhabitants and help make the territory more competitive and more physically, economically and socially coordinated.

Paraguay will use $200m from the bank to upgrade and maintain a total of 809 kilometres of roads across the country. Brazilian municipality Porto Alegre will see $92m, some of which will be used to rehabilitate 100 km of roads and 21 km of bike lanes. The money will also be spent revitalising urban spaces in the city.

Manaus, the capital of Brazil’s Amazon state, will use $100m of CAF’s loan to recover degraded public spaces and generate new ones. The $80.8m worth of funds for southern Peru will incorporate 38,500 hectares of land in the development of crops for export.