Corporación Andina de
Fomento
L. Enrique García
President and CEO
Corporación Andina de Fomento
October 2008
Corporación Andina de Fomento

CAF is a Latin American multilateral financial
institution which provides multiple financial services
to public and private sector clients in the shareholder
countries.

CAF is a competitive and versatile institution, both
regionally and globally.

In operation since 1970, its headquarters are located in
Caracas, Venezuela, with regional offices in Bogotá,
Quito, Lima, La Paz, Madrid, Brasilia and Buenos
Aires.
CAF’s Shareholders
2008
• Bolivia
• Colombia
• Ecuador
• Peru
• Venezuela
• Argentina
• Panama
• Brazil
• Paraguay
• Costa Rica
• Dominican Rep.
• Chile
• Trinidad & Tobago
• Jamaica
• Uruguay
• Mexico
• Spain
• Letter of Intent
(Guatemala & Italy)
Pillars of CAF’s mission
Sustainable Development
Regional Integration
Clients, products and services
 Clients: Governments, financial institutions and public or private
corporations and joint ventures
 Loans

Short, medium and long term

Project finance

Structured finance

Co-financing and A/B loans
 Equity investments, especially in Capital Funds
 Investment bank and financial advisory services
 Guarantees
 Treasury products
 Technical Cooperation
 Strategic programs
CAF in figures
(US$ million)
2007
2006
Var (%)
Approvals
Disbursment
Total portfolio
6,607
5,844
9,615
5,521
2,923
8,191
20%
100%
17%
Total assets
Loan portfolio
Liabilities
Bonds
Net worth
Net income
12,597
9,622
8,470
4,637
4,127
401
10,439
8,191
6,747
4,362
3,693
321
21%
17%
26%
6%
12%
25%
ROE
ROA
Liq. / Finan. Liabilities
Non accruals / loan portfolio
Provisions / assets
10.5%
3.6%
29.7%
0.0%
1.8%
9.4%
CAPITAL
3.3%
31/12/2007
(US$ millons)
29.4%
0.0% Authorized
5,000
2.3%
Subscribed
3,157
12/31/2007
Paid
2,015
Guaranteed
1,112
37 year summary
Total Approvals
(US$ Million)
Total Portfolio
(US$ Million)
Total Disbursements
(US$ Million)
23.681
9.615
14.289
6.180
9.197
13.664
8.203
11.729
3.288
4.896
6.534
845
1970-92
1993-97
1998-02
2003-07
1970-92
1993-97
1998-02
2003-07
1992
1997
2002
2007
Last five years of operations
Total Approvals
(US$ Million)
Total Portfolio
(US$ Million)
Total Disbursements
(US$ Million)
5.844
6.607
9.615
5.521
8.191
4.746
7.216
7.462
6.712
3.303
3.503
2.923
1.860
1.775 1.888
2003
2004
2005
2006
2007
2003
2004
2005
2006
2007
2003 2004 2005 2006 2007
Loan portfolio distribution
2007: Loan portfolio by country
Venezuela
15%
Others
3%
Peru
19%
Ecuador
23%
Argentina
4%
Bolivia
11%
Brazil
8%
Colombia
17%
Loan portfolio distribution
2007: Loan portfolio by sector
Corporate sector 5%
Financial
intermediation*
18%
Infrastructure
39%
Social
development
25%
Economic
infrastructure
27%
Integration
infrastructure
12%
Structural
reforms 13%
* Intermediation toward SMEs through the financial system.
Main source of multilateral financing
for the Andean region...
2007 Approvals
(USD million)
2007 Approvals:
USD 7,294 million
Approvals 2003-2007:
USD 32,638 million
WB
14%
WB
4%
IADB
33%
CAF
63%
IADB
30%
CAF
56%
… and principal source of financing
infrastructure in Latin America…
Approvals infrastructure in Latin America
(USD million)
IADB
WB
5.929
5.451
9.894
CAF
5.600
5.854
4.278
1997-2001
2002-2006
… especially in physical infrastructure of
regional integration
During the last decade, CAF has
approved 56 operations of USD
4.553 million for the execution of
47 South American physical
integration projects with a total
investment exceeding USD
12.950 million.
Satisfactory financial indicators
Profitability
(ROE)
Asset Quality
Efficiency
Allowance / Loan portfolio
Non perfoming loans* / loan portfolio
10,5
9,6
11,0%
3,6
9,4
3,0
8,2
3,2 3,2 3,2
3,1
2,6
2,6
6,2
2,2
2,2 2,3
1,8
1,0%
0,9%
2,9%
0,8%
0,6%
0,0%
1997-01
1992-96
1982-91
1973-81
2003 2004 2005 2006 2007
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
0,0%
0,5%
0,64%
0,58%
2007
0,7%
2006
0,3%
2002-06
1,0%
0,5%
Consistent and positive evolution
of CAF’s credit ratings
Aa3/AAA1/A+
Moody's
A2/A
Argentina
A3/A-
Subprime
Ecuador
Fitch
Baa1/BBB+
Asia
2007
2006
2005
2004
2002
2001
2000
1999
1998
1997
1996
1995
1994
2003
Economic crisis
México
1993
Baa3/BBB-
JCR
Brazil
Russia
Baa2/BBB
S&P
CAF’s investment grade ratings
Investment grade
Scale
1
2
3
4
Non-investment grade
5
6
7
8
9
10
AAA
AA+
AA
AAA+
A
ABBB+
BBB
BBBBB+
BB
BBB+
B
BCCC+
CCC
CCCn.a.
CC
n.a..
n.a.
C
n.a.
S.D
Chile
CAF
Trinidad & Tobago
Mexico
Colombia/Peru
Brazil/Panama
Costa R./Guatemala/Uruguay
Venezuela
Rep.Dom.
Jamaica/Paraguay/Argentina
Bolivia / Ecuador
Aaa
Aa1
Aa2
Aa3
A1
A2
A3
Baa1
Baa2
Baa3
Chile
Mexico / Trinidad & Tobago
AAA
AA+
AA
AAA+
A
ABBB+
BBB
BBB-
Chile
Peru
Brazil/ Pan/Colombia
Ba1 Colombia/C.R/Pan/Brazil/Peru BB+
Costa Rica
Guatemala
BB
Ba2
Venezuela / Uruguay
BBBa3
Jamaica
Jamaica/Uruguay
B+
B1
Rep. Dom./Argentina
Venezuela/Rep.
D/Paraguay
B
B2
Bolivia
/Argentina/
Ecuador
Bolivia
BB3
CCC+ Ecuador
Caa1
CCC
Caa2
CCCCaa3
n.a.
n.a.
CC
Ca
n.a..
n.a..
n.a.
n.a.
C
C
n.a.
n.a.
DDD
CAF’s special programs
Infrastructure Agenda




IIRSA
Puebla-Panamá Plan (PPP)
First- Class Ports Program
Cross-border Integration and
development Program
Social Development Agenda






Potable water and sanitation
Education
Rural development
Habitat
Social responsibility
Governance
Competitiveness, international
insertion and public policies Agenda
 Competitiveness Program (PAC)
 Corporate Governance Program
 Economic and Public Policy Research
Program
 MSMEs
 International Insertion Program
Environmental Agenda
 Latin America Carbon and Clean Energy
Program (PLAC)
 Cleaner Production Program (CPP)
 Biodiversity Program (BioCAF)
 Natural disaster risk management and
prevention Program
 Program for Sustainable Development in
Financial Institutions
http://www.caf.com