On September 5, 2024, the CAF – Development Bank of Latin America and the Caribbean hosted the 27th Annual CAF Conference at the Organization of American States, Washington, DC. The conference, open to the public, gathered regional leaders, policymakers, and experts to discuss key challenges and opportunities for Latin America’s development. The Role of Multilateral Development Banks: Security and Development in the Americas panel discussed the impact of these organizations on the region, their role in driving economic development, and the importance of continued investment in citizen security, given its clear link to economic prosperity.
Isabel de Saint Malo, senior policy adviser to the administrator at the United Nations Development Programme, opened the discussion by emphasizing that citizen power and access to public goods are fundamental to providing the minimum conditions for a dignified life. She noted that Latin America and the Caribbean (LAC) account for a third of the world’s homicides, a stark reality that cannot be addressed without robust partnerships. She stressed that multilateral institutions have an essential role to play in creating these conditions.
Christian Asinelli, corporate vice president of strategic programming at CAF, described the region’s deep social and economic gaps. One in five people lives in poverty. The richest half of the population controls 90 percent of the resources. Nearly a quarter lack internet access. Closing these divides will require increasing infrastructure investment by 70 percent. He called for a strategic and holistic vision linking security and development. This vision should address environmental challenges, reduce exclusion, and strengthen public goods. Citizen security, he argued, demands a shift toward multisectoral coordination and tailored local interventions to create lasting change.
Emilio Pineda, manager of the Institutions for Development Sector at the Inter-American Development Bank (IDB), stressed that despite representing just 10 percent of the global population, LAC accounts for one in three homicides worldwide. High crime rates have serious social consequences, including lower educational and social outcomes for youth. The economic impact is also significant, with 23 percent of companies in the region reporting losses from crime, well above the global average. In some cases, criminal groups provide social services and seek to replace the state. Pineda argued that addressing this challenge requires solutions that transcend national borders and integrate security, justice, and development. He cited examples of IDB-supported successes, including a Honduran police initiative that halved violence rates and Chilean programs offering reeducation for women leaving prison.
Bill Maloney, chief economist for Latin America and the Caribbean at the World Bank Group, observed that violence now rivals poverty and inequality as a top public concern. It erodes democratic trust as citizens question how much freedom they are willing to trade for safety. He challenged the assumption that poverty or inequality alone explains the region’s high crime rates, noting that violence levels are far above what those factors would predict. Violence also undermines economic growth and entrepreneurship. In Colombia, optimism during peace talks boosted business creation, but activity fell again after the referendum’s rejection. Maloney argued that today’s criminal landscape—dominated by transnational cartels—requires regional coordination platforms. These platforms have weakened since the era of the Medellín cartel. Strengthening state capacity, judicial systems, and security institutions must be central to the multilateral agenda.
The panel agreed that multilateral development banks must integrate security into the development agenda. They should leverage data-driven strategies, regional cooperation, and targeted investments in both institutions and communities. Addressing crime and violence in LAC is inseparable from addressing inequality. Success will require aligning security, justice, and development in a comprehensive, long-term strategy.
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