The partnership builds on more than four decades of collaboration between the two institutions, during which they have co-financed 14 public-sector operations totaling over $430 million, covering energy, transport, banking and agriculture. While the latest contribution may seem modest in absolute terms, it signals growing alignment among development institutions to scale climate and energy finance in a region where Small Island Developing States (SIDS) face urgent vulnerabilities.

The announcement also comes as the region gears up for Caribbean Energy Week (CEW) 2026 in Paramaribo, where governments, investors and energy-sector leaders will convene to discuss renewable energy, energy efficiency and sustainable financing solutions. Beyond this immediate contribution, the Caribbean has seen a surge in climate-finance initiatives over the past two years, reflecting a broader strategic push to link resilience, clean energy and economic growth.

Regional Platforms Leading Energy and Climate Initiatives

The Caribbean Development Bank (CDB) has been at the forefront of structuring regional platforms for climate and energy finance. Its Regional Platform for Catalyzing Climate Action is designed to mobilize finance for sustainable energy transition, resilient infrastructure and innovative instruments such as debt swaps and blended funds that avoid adding to national debt burdens. The platform is currently engaging 14 CARICOM member states in preparatory consultations, with a submission to the Green Climate Fund (GCF) expected by late 2025.

In addition, the CDB recently secured $26.7 million from the GCF for its “Scaling up the Deployment of Integrated Utility Services” program, benefiting Barbados, Belize and Jamaica. The initiative aims to accelerate the adoption of distributed renewable energy, energy efficiency, and clean technologies for nearly 41,000 beneficiaries. By combining energy and climate finance, these programs demonstrate how funding can simultaneously address resilience and expand clean energy capacity in the region.

Innovative Financing Models in the Caribbean

Innovative debt-for-climate models have also gained traction. At the close of 2024, Barbados completed the world’s first debt-for-climate-resilience swap, channeling $125 million of savings into water and sewage infrastructure projects. Supported by guarantees from the Inter-American Development Bank and the European Investment Bank, this approach reduces fiscal strain while channeling funds into essential climate and energy projects – a model closely watched by other SIDS in the region. Meanwhile, the Development Bank of Latin America and the Caribbean has committed $2.5 billion through 2030 for sustainable ocean and marine economic activities, reinforcing the link between climate resilience, energy sustainability and broader economic growth.

The upcoming Caribbean Energy Week (CEW) offers a platform to showcase and scale these initiatives. Policymakers, investors and energy leaders will discuss innovative financing, renewable energy deployment and the region’s evolving climate resilience strategies. Partnerships like OPEC Fund and CABEI, combined with CDB’s regional platforms and Barbados’ debt-for-resilience program, illustrate the growing sophistication of energy and climate finance in the Caribbean. These projects are not only about adaptation, but about enabling private-sector participation, creating jobs and building sustainable energy infrastructure – themes central to CEW’s agenda.

Join us in shaping the future of Caribbean energy. To participate in this landmark event, please contact sales@energycapitalpower.com.