Slower economic growth and widening inequalities in Latin America have resulted in insufficient job opportunities to keep up with a growing labor force, and according to the International Labor Organization (ILO), in 2015 unemployment in the region increased for the first time in five years, causing at least 1.7 million people to become unemployed. By investing in fast-growing companies that increase their labor force DLAPDF III will help address this job challenge, which is a key priority for SIFEM. Private companies continue to face considerable access to finance barriers, especially for long-term debt finance, which impede their ability to grow. DLAPDF III aims to address this problem by providing companies with long-term senior loans.
DLAPDF III is managed by Darby Overseas Investments, a global emerging markets investment firm headquartered in Washington DC. Darby’s team will be involved in establishing best practice corporate governance standards in the companies to which the fund lends, helping businesses mitigate operational risks and attract further investment to fuel their growth.