Find out how the IDB works and how the new president of the institution will be elected

Next Sunday (20), the 48 member countries of the IDB (Inter-American Development Bank) will elect the new president of the institution.

Among the candidates is Ilan Goldfajn, former president of the Central Bank during the Michel Temer administration (2016-2018), nominated by the Jair Bolsonaro (PL) government and opposed by some members of the PT.

No Brazilian has commanded the institution since its creation.

The IDB was founded in 1959 at the initiative of some Latin American countries led by Brazil, during the Juscelino Kubitschek government (1956-1961).

It was an attempt to create a multilateral organization in which the region could have more voice than institutions such as the World Bank and the IMF (International Monetary Fund), in which the US and Europeans tend to have greater influence.

Currently, the IDB has among its members 28 countries in the Americas, 16 in Europe, such as Germany, the United Kingdom and France, and 4 in Asia (China, Japan, Israel and South Korea).

The US is the country with the most voting power, 30%, followed by Brazil and Argentina, both with 11.4%.

According to the institution, the president of the IDB is responsible for the day-to-day running of the business and manages its operations and administration. He is elected by the Board of Governors, presides over Executive Board sessions, but does not vote except in the event of a tie. Each member country appoints a governor, usually the Minister of Finance or Economy.

To be elected, the candidate for president needs the support of countries that represent more than 50% of the voting rights and also the majority among the members of America.

Currently, Brazil is represented on the bank’s executive board in a vacancy it shares with Suriname, occupied by Martha Seillier, who until May of this year commanded the Special Secretariat of the Investment Partnerships Program.

The institution is considered the largest and oldest regional multilateral development bank in the world. It finances projects related to economic, social and institutional development in Latin America and the Caribbean.

Its resources come from its 48 member countries and funding from the financial markets, among other sources. Brazil is one of the countries with the highest participation among the financed projects, which serve the federal government, states and municipalities.

As of November 2022, nearly US$30 billion was forecast for projects under preparation or implementation in Brazil. Among them, programs to boost bioeconomy business in the Amazon, expansion of education in Florianópolis (SC), road investments in the State of São Paulo, sustainable livestock farming in Mato Grosso, in addition to a series of federal actions.

The institution is headquartered in Washington (USA), with representations in the 26 member countries of Latin America and the Caribbean, as well as offices in Madrid (Spain) and Tokyo (Japan).

IDB (Inter-American Development Bank)

• Founded in 1959
• Its resources come from its 48 member countries and funding from the financial markets, among other sources.
• Voting power is proportional to the country’s subscribed capital
• The USA is the country with the highest voting power in the institution, 30%,
• Brazil and Argentina have 11.4% both
• Each member country appoints a governor, usually the Minister of Finance or Economy.

member countries

Germany, Argentina, Austria, Bahamas, Barbados, Belgium, Belize, Bolivia, Brazil, Canada, Chile, China, Colombia, Costa Rica, Croatia, Denmark, El Salvador, Ecuador, Slovenia, Spain, United States, Finland, France, Guatemala , Guyana, Haiti, Honduras, Israel, Italy, Jamaica, Japan, Mexico, Nicaragua, Norway, Netherlands, Panama, Paraguay, Peru, Portugal, United Kingdom, Republic of Korea, Dominican Republic, Sweden, Switzerland, Suriname, Trinidad and Tobago, Uruguay and Venezuela

IDB President

• Elected by the Board of Governors
• Responsible for day-to-day driving
• In Executive Board sessions, do not vote, except in the event of a tie

Source: IDB (Inter-American Development Bank)