Commitments by development and export banks for financing renewable energy projects in Latin America is growing and Mexico’s National Bank of Foreign Commerce (Bancomext) is next in line. A memorandum of understanding (MOU) for the promotion of renewable energy has been signed between the German Development Bank (KfW) and the Germany International Cooperation Agency (GIZ); the agreement focuses on solar energy.
Dual credit agreements for US$190 million were also signed last April by Bancomext and KfW, paving the way for the first long-term auction to be held this past March, whereby Mexico awarded contracts representing 1.7 GW of solar projects. GIZ currently runs a program for promoting solar energy in Mexico, the “large scale solar energy” (DKTI) program. Bancomext plans to work in the framework of this program by helping financial institutions fund PV projects.
