Investor Presentation - IDB Invest's Financial Profile and Risk Management Framework slide image

Investor Presentation - IDB Invest's Financial Profile and Risk Management Framework

INVESTOR PRESENTATION OUR INSTITUTIONAL APPROACH TO SUSTAINABILITY Our Project Cycle 01 ORIGINATION 02 CLIENT ENGAGEMENT 03 APPROVAL 04 CLOSING & FIRST DISBURSEMENT 05 SUPERVISION & RECOVERY ESG AND DEVELOPMENT IMPACT DUE DILIGENCE EMBEDDED IN EVERY STEP OF THE PROJECT CYCLE Request to the client • Obtain information about the Strategic selection using the Selectivity Tool Screening against exclusion list to commit to comply with IDB Invest Environmental and Social policy and practices • • Client's assets and management of E&S risks and impact; Assign a project categorization based on E&S risk; Conduct a site visit to the project's area of influence; Assess the project against IDB Invest Sustainability Policy requirements; Prepare an Environmental and Social Review Summary (ESRS) and E&S Action Plan (ESAP); Define impact indicators with DELTA tool; Public Disclosure: the Investment Summary, ESRS and ESAP are disclosed on our website prior to IDB Invest Board approval. The legal agreement includes standard E&S conditions, specific ESAP requirements and impact indicators tied to milestones. Prior to each disbursement, IDB Invest verifies E&S conditions and ESAP requirements for compliance. . The IDB Invest portfolio management and E&S Teams supervise the Client's compliance with E&S requirements, ESAP conditions and track impact indicators on a regular basis. IDB Invest 27 27
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