BUSINESSES in Barbados and five other Caribbean countries are being given an opportunity to borrow up to US$2 million from IDB Lab, the Inter-American Development Bank’s innovation and venture capital arm.
IDB has issued a call for proposals that ends on May 13, in which it is advising firms here and in the Bahamas, Guyana, Jamaica, Suriname, and Trinidad and Tobago to apply for a loan that unlocks financing for their business and will “drive innovation and impact in the Caribbean”.
Companies can borrow between US$500 000 and US$2 million, IDB Lab said.
“IDB Lab is launching this loan call to increase our presence in the Caribbean and expand our financial support for high-impact early growth stage businesses that are addressing key development challenges through innovation,” the institution explained.
“While venture capital plays a crucial role in fostering early-stage innovation, we recognize the need for more debt financing options to support high impact and innovative, but not necessarily techbased, firms that have proven business models and require funding to scale their operations.
“By increasing access to debt financing, we aim to empower entrepreneurs and businesses to drive social and economic transformation, enhance financial inclusion, and develop solutions that address the region’s most pressing challenges,” it noted.
Broader goal
IDB Lab said the loan initiative “aligns with our broader goal of ensuring that capital flows to high-impact ventures that generate measurable benefits for communities and economies across the Caribbean”.
“Applicants must demonstrate a strong business model and traction with potential for growth and financial sustainability, clear impact-driven approach that addresses key social and economic challenges, clear path to scalability in the region, and financial sustainability and ability to repay the loan,” it stated.
“Proposals should be submitted by for-profit companies that have traction, are operating an ongoing business, are generating revenues and are seeking debt funding to scale projects/initiatives with a demonstrable development impact.
If firms want to apply but are not from one of the six target countries, they can do so “only in partnership with an organisation operating and with an established entity registered and located in one of the six target countries where the project will be implemented”.
“Businesses that can provide audited financial statements for at least the last 3 full financial years and their most recent management accounts in 2025,” IDB Lab said.
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