What is the full form of CDB?

Introduction

Caribbean Development Bank (CDB) was established for the development of Caribbean nations and to help Borrowing Member Countries.

Some of its important initiatives discussed in this article are ‘Basic Needs Trust Fund’, ‘Caribbean Action for Resilience Enhancement Program’ and ‘Caribbean Technological Consultancy Services’. Apart from this the article will briefly discuss the bank.

About CDB

CDB or Caribbean Development Bank was established in 1970. The operation at the Bank is looked after by its Board of Governors. The President of the Bank is the Chairman of the Board of Governors. It strives to function according to the standards or corporate governance. At Wildey, St. Michael, Barbados, right next to the Samuel Jackman Prescod Polytechnic campus, the headquarter of the bank is situated.

The Bank opened its first location outside of Barbados on September 21, 2018, when it opened a Country Office there. All of the regional borrowing members are provided service by the Barbados headquarters through the personnel hired from those members' nations in the headquarters .

History of CDB

The agreement through which the Caribbean Development Bank was established was signed on October 18, 1969, in Kingston, Jamaica, and came into effect on January 26, 1970. It is a regional financial institution. The Bank was established with the purpose of creating economic integration and cooperation among its member nations in the Caribbean, while giving special attention to the needs of the less developed nations in the region.

Purpose of the CDB

For the smooth performance and functioning of the bank, Article 2 of its Agreement mentions the following purposes of the bank.

• To help regional members coordinate their development programmes in order to effectively utilise their resources, strengthen their economies, and encourage periodical growth of their international trade, particularly intra-regional trade.

• To create new financial resources both inside and outside the region for the region's development.

• Tto provide funding for initiatives and programmes promoting the growth of the region or any member of the region;

• To offer its regional members proper technical help, especially by conducting or providing commission for surveys and providing assistance in selection and creation of proposals regarding projects.

• To encourage both public and private involvement in development initiatives, including helping local financial institutions and encouraging the formation of consortiums

• To collaborate and support other regional initiatives aimed at promoting locally and regionally operated financial institutions as well as a regional lending and savings market;

• To promote and support the growth of capital markets in the area; and

• To carry out or encourage other activities that can help it achieve its goals.

• Where necessary, the Bank will work with local, national, regional, or international organisations as well as other organisations involved in the development of the area.

Important Programmes of CDB

With the help of a variety of programmes intended to enhance economic and social development across the region, CDB responds to the requirements of its Borrowing Member Countries. The programmes offer grant financing and technical help and they also receive sponsorships from other development partners.

Basic Needs Trust Fund

By supporting community-led development since 1979, the Basic Needs Trust Fund has improved the lives of nearly 3 million people living in underdeveloped areas throughout the region. CDB handles BNTF with assistance from the Special Development Fund (Unified) and funds from beneficiary governments. Funds are distributed to nations that meet the criteria for the BNTF, which includes Belize, Dominica, Grenada, Guyana, Jamaica, Montserrat, St. Lucia, St. Vincent and the Grenadines, and Suriname.

The sectors that receive funding are water and sanitation; basic community access and drainage; education and human resource development, including improving livelihoods. The provision of technical assistance, institutional development, monitoring, and evaluation are some other areas that are supported.

Caribbean Action for Resilience Enhancement Program

Started in February 2022, the CARE programme will invest 14 million euros over five years to help the borrowing member nations of the CDB so as to strengthen resilience to disasters and the effects of climate change. Via the 11th European Development Fund (EDF) Intra- African Caribbean Pacific - European Union - (ACP-EU) Natural Disaster

Risk Reduction Programme, the European Union provides grant funding for the programme, which is administered by CDB. Improved DRM and governance of climate change in CDB's BMCs as well as strengthening evidence-based planning, decision-making, and financial response are the main objectives of the CARE Programme. Additionally, it aims to increase community infrastructure and livelihood resistance to the effects of climate change and natural disasters.

Caribbean Technological Consultancy Services

The Caribbean Development Bank's (CDB) CTCS Network, which was established in 1982, serves as its main mechanism for bringing together knowledge and expertise from a variety of stakeholders, including national and regional organisations that support the growth of small, medium-sized, and microenterprises in its borrowing member nations by financing them or providing technical assistance.

By providing direct technical assistance, workshops, and training attachments, the CTCS Network increases the capacity of business support organisations and public entities to provide professional services to MSMEs and promotes the enhancement of MSME competitiveness.

Conclusion

Hence we can conclude that the Caribbean Development Bank works towards reducing inequality through various programmes and initiatives undertaken from time to time. It also promotes sustainability and good governance.

FAQs

Q1. What is the Community Disaster Risk Reduction Fund?

Ans: The Community Disaster Risk Reduction Fund (CDRRF) provides funding for initiatives that help communities throughout the Caribbean to adapt to climate change and lessen the effects of natural disasters. It is a trust fund with many donors that is run by the Caribbean Development Bank (CDB) and includes funding from the governments of Canada, the EU, and the CDB.

Q2. What is the Cultural and Creative Industries Innovation Fund?

Ans: In 2017 the Caribbean Development Bank provided USD 2.6 million for establishing the Cultural and Creative Industries Innovation Fund (CIIF). It is a multi-donor fund that would ensure the growth of the market of creative industries.

Q3. What is the Special Development Fund?

Ans: The Bank's Special Development Fund is used to deal with issues of poverty and ensure human development throughout the area. All members of the CDB members and non- members have contributed from time to time in the Fund.