Rubio Joins Menendez in Reintroducing Legislation in Support of Capital Increase for IDB

Press Release

U.S. Senator Marco Rubio (R-FL) joined Bob Menendez (D-NJ), Chairman of the Senate Committee on Foreign Relations, Tim Kaine (D-VA), Bill Cassidy (R-LA), and Ben Cardin (D-MD) in re introducing the Inter-American Development Bank General Capital Increase Act. This bipartisan legislation authorizes the tenth general capital increase for the Inter-American Development Bank (IDB), the hemisphere's leading international financial institution. At a moment when countries in the region have suffered from the widespread economic impact of the COVID-19 pandemic and devastating hurricanes in the region, the historic bill highlights efforts by the U.S. Congress to prioritize and secure an IDB capital increase.

The legislation would increase the IDB's annual lending by $20 billion and strengthen its ability to lead financial efforts across Latin America and the Caribbean. As part of the capital increase, the bill encourages support for the creation of the IDB's first environmental fund and lending facility--a groundbreaking initiative that would position the Bank to expand efforts to improve environmental sustainability and disaster preparedness in the hemisphere.

Rubio is the Ranking Member of the Senate Foreign Relations Subcommittee on Western Hemisphere, Transnational Crime, Civilian Security, Democracy, Human Rights, and Global Women's Issues.

"I'm proud to join Senator Menendez and my colleagues in reintroducing this important bill at a time when American leadership in our hemisphere is needed more than ever" Rubio said. "By supporting the Inter-American Development Bank's capital increase, we are reaffirming our support of the organization and its financial initiatives. As we continue to confront this global pandemic, we must continue doing all we can to counter China's predatory behavior in our hemisphere."

"As we continue looking for ways to step up our efforts to address global challenges posed by the COVID-19 pandemic, this important legislation renews the United States' commitment to the region's leading multilateral development bank and to deepening economic relations with our hemispheric partners," Menendez said. "I'm glad to be joined by so many of my colleagues to ensure the IDB has the resources it needs to support our partners in Latin America and the Caribbean, particularly after the hemisphere's economic outlook was severely battered by COVID-19 and a devastating hurricane season. This bill would also ensure that the IDB is better prepared to address the growing challenges of climate change in the Americas by calling for the establishment of its first-ever environmental fund."

The Inter-American Development Bank General Capital Increase Act includes the following provisions:

Authorizes the U.S. Governor for the IDB to vote in favor of an $20 billion increase in the capital stock of the Bank and requires U.S. diplomatic engagement in support of a tenth IDB capital increase;

Encourages U.S. support for the creation of an IDB environmental fund and lending facility to strengthen environmental policies and safeguards, sustainability initiatives, and disaster preparedness in Latin America and the Caribbean, and;

Recognizes the significant economic impact of the COVID-19 pandemic in the Western Hemisphere, as well as the impact of the Venezuelan refugee and migration crisis.