DEVELOPMENT BANK OF LATIN AMERICA AND THE CARIBBEAN ACT, 2025
OBJECTS AND REASONS
This Bill would repeal and replace the Latin American Development Bank Act, 2015 (Act 2015-24) to provide for
(a)
Barbados to become a member country of the Development Bank of Latin America and the Caribbean; and
(b)
recognition of the Agreement on Immunities, Exemptions and Privileges.
DEVELOPMENT BANK OF LATIN AMERICA AND THE CARIBBEAN
ACT, 2025
Arrangement of Sections
- Short title
- Interpretation
- Financial provisions for giving effect to Agreements
- Minister empowered to raise loans for purposes of Agreements
- Agreements for subscription of additional shares
- Certain provisions of the Immunities Agreement given force of law
- Power of Minister to make Orders
- Repeal of Act 2015-24 FIRST SCHEDULE
AGREEMENT BETWEEN CORPORACION ANDINA DE FOMENTO AND THE GOVERNMENT OF BARBADOS FOR THE PURCHASE OF
COMMON CAPITAL STOCK AND ACCESSION OF THE
GOVERNMENT OF BARBADOS AS A MEMBER COUNTRY
SECOND SCHEDULE
AGREEMENT BY AND BETWEEN CORPORACION ANDINA DE
FOMENTO AND THE GOVERNMENT OF BARBADOS FOR THE
SUBSCRIPTION OF CALLABLE CAPITAL STOCK
THIRD SCHEDULE
AGREEMENT OF IMMUNITIES, EXEMPTIONS AND PRIVILEGES
BETWEEN THE GOVERNMENT OF BARBADOS AND THE
CORPORACION ANDINA DE FOMENTO
BARBADOS
A Bill entitled
An Act to provide for Barbados to become a member country of the Development Bank of Latin America and the Caribbean and for recognition of the Agreement on Immunities, Exemptions and Privileges.
ENACTED by the Parliament of Barbados as follows:
Short title
- This Act may be cited as the Development Bank of Latin America and the Caribbean Act, 2025.
Interpretation
- In this Act, “Agreements” means
(a)
the Agreement for the Purchase of Common Capital Stock and Accession of the Government of Barbados as a Member Country signed by the Government and the Bank on the 27th day of October, 2025, the text of which is set out in the First Schedule; and
(b)
the Agreement for the Subscription of Callable Capital Stock signed by the Government and the Bank on the 27th day of October, 2025, the text of which is set out in the Second Schedule;
“Bank” means the Bank (Corporación Andina de Fomento) established by an Agreement signed in February 1968 by the Governments of Bolivia, Chile, Columbia, Ecuador, Peru and Venezuela;
“Government” means the Government of Barbados;
“Immunities Agreement” means the Agreement on Immunities, Exemptions and Privileges signed between the Government and the Bank on the 17th day of November, 2014, the text of which is set out in the Third Schedule.
Financial provisions for giving effect to Agreements
3.(1) All sums required to be paid by the Government for the purpose of meeting the obligations of Barbados under the Agreements are hereby charged on and shall be paid out of the Consolidated Fund.
(2) The Minister may issue or cause to be issued to the Bank non-negotiable, non-interest bearing notes or similar securities and other obligations in accordance with the Agreements and Chapter II of the Agreement Establishing the Bank in lieu of any portion of the subscription to the Bank’s authorised capital and any sums payable in respect of such notes or securities so issued shall be charged on and paid out of the Consolidated Fund.
(3) Any sums received by the Government from the Bank pursuant to the Agreements shall be paid into the Consolidated Fund.
Minister empowered to raise loans for purposes of Agreements
4.(1) The Minister may borrow from any person any sum or sums required for payments under section 3 or for replacing any sum or sums paid out of the Consolidated Fund pursuant to that section, and for the purpose of such borrowing, may create and issue any securities bearing such rate of interest and subject to such conditions as to repayment, redemption or otherwise, as he thinks fit.
(2)
The principal and interest of any securities issued under subsection (1) and any expenses incurred in connection with their issue shall be charged on and paid out of the Consolidated Fund.
(3)
Any moneys raised by securities issued under subsection (1) shall be paid into the Consolidated Fund.
Agreements for subscription of additional shares
5.(1) The Government may, subject to the approval of Parliament by Resolution and in accordance with such terms as may be agreed upon between the Government and the Bank, further subscribe to shares of the Bank in addition to those specified in the Agreements.
(2) Sections 3 and 4 apply, with such modifications as may be necessary, to an agreement between the Government and the Bank for the subscription of shares under this section as those sections apply in relation to the Agreements.
Certain provisions of the Immunities Agreement given force of law
- The provisions of paragraphs 3, 4, 5, 7, 9,11,12,13,14, 15 and 18 relating to the Immunities Agreement shall have the force of law in Barbados.
Power of Minister to make Orders
- The Minister may by Order make such provision as may be necessary for carrying into effect any of the provisions of the Agreements, the Immunities Agreement or an agreement for the subscription of additional shares referred to in section 5.
Repeal of Act 2015-24
- The Latin American Development Bank Act, 2015 (Act 2015-24) is repealed.
9 FIRST SCHEDULE (Section 2) AGREEMENT BETWEEN CORPORACIÓN ANDINA DE FOMENTO AND THE GOVERNMENT OF BARBADOS FOR THE PURCHASE OF COMMON CAPITAL STOCK AND ACCESSION OF THE GOVERNMENT OF BARBADOS AS A MEMBER COUNTRY THIS AGREEMENT for the Purchase of Common Capital Stock and Accession of the Government of Barbados as a Member Country (hereinafter, the “Agreement”) is entered by and between the Corporación Andina de Fomento (hereinafter, “CAF”), acting through its Executive President, Mr. Sergio Díaz-Granados Guida, of Colombian citizenship, identified with Diplomatic Passport number DP054186, duly empowered pursuant to the provisions of Article 31 of the Constitutive Agreement of CAF, and the Government of Barbados, represented herein by the Honourable Ryan Straughn M.P., Minister in the Ministry of Finance (hereinafter, the “Subscriber”), collectively referred to as the “Parties”. DECLARATIONS I. CAF declares: a) That by the Agreement Establishing CAF dated 7th February, 1968, executed by the Governments of the Republics of Ecuador, Bolivia, Colombia, Chile, Peru and Venezuela, CAF was established as a legal person of public international law; the Establishing Agreement remains open to accession by any Latin American and Caribbean country that meets the accession conditions set by the Shareholders’ Meeting. b) That CAF’s purpose is to promote sustainable development and regional integration by providing financial services to multiple clients in the public and private sectors of its Shareholder Countries. c) That by Resolution No. 2594/2025 dated 29th June, 2025, CAF’s Board of Directors: (i) Approved the disposition of Thirty-Four Thousand, Eight Hundred and Thirty- Four (34,834) Series “C” shares corresponding to the common capital stock of CAF; and Seven Thousand, Two hundred (7,200) Series “C” shares corresponding to the callable capital stock of CAF, to be acquired by Barbados for its conversion to a Member Country of CAF. (ii) Approved the special conditions for Barbados’ accession to the Agreement Establishing CAF as a Member Country, subject to the approval by CAF’s Extraordinary Shareholders’ Meeting. (iii) The signing of this Agreement and the Shares Purchase Agreement for Callable Capital Stock between CAF and Barbados.
II. III. 10 The Subscriber declares: (i) That the Government of Barbados acceded to CAF as a Shareholder Country of the Series “C” by signing an Agreement for the Subscription of Common Capital Stock of CAF on 3rd September, 2014. (ii) That on 30th May, 2025, the Minister in the Ministry of Finance the Honourable Ryan Straughn, M.P., through official communication No. 5375/8 sent to the Regional Manager for the Caribbean, Dr. Stacy Richards- Kennedy, expressed the Government of Barbados’ intention to begin the procedures for the country to become a Member Country of CAF. As indicated in the communication, the additional contribution that the country would make would be paid over a period of fifteen (15) years with an ascending payment scheme. The Parties waive the requirement to evidence the authority of their representatives, as such authority is public and well-known, and they express their willingness to execute this Agreement, subject to the following: SECTION 1 The Subscriber shall acquire Thirty-Four Thousand, Eight Hundred and Thirty-Four (34,834) registered Series “C” shares corresponding to the common capital stock of CAF, for a value each of Fourteen Thousand, Two Hundred dollars of the United States of America (USD 14,200), for a global amount of Four Hundred And Ninety-Four Million, Six Hundred And Forty-Two Thousand, Eight Hundred dollars of the United States of America (USD 494,642,800) (hereinafter, the “Total Price”). SECTION 2 The Subscriber will pay CAF the Total Price in dollars of the United States of America (USD) or in Euros or Special Drawing Rights (SDRs) if agreed by the Parties. If the payment is agreed by the Parties in Euros, or SDRs, the Subscriber shall pay the amount required for CAF to obtain, in accordance with standard bank procedures, the USD necessary to cover the payment of the respective installment as provided in this Section. The Subscriber will pay the Total Price with immediately available funds, by wire transfer to the bank account that CAF communicates in writing to the Subscriber, in fifteen (15) installments to be paid in a period of fifteen (15) years, as set forth herein: 1. The amount of Eighteen Million, Sixty-Two Thousand, Four Hundred dollars of the United States of America (USD 18,062,400) comprising One Thousand, Two Hundred and Seventy-Two (1,272) Series “C” shares, payable on or before November 30, 2025. 2. The amount of Twenty Million, One Hundred and Ninety-Two Thousand, Four Hundred dollars of the United States of America (USD 20,192,400) comprising One
11 Thousand, Four Hundred and Twenty-Two (1,422) Series “C” shares, payable on or before September 30, 2026. 3. The amount of Twenty-Two Million, Three Hundred and Twenty-Two Thousand, Four Hundred dollars of the United States of America (USD 22,322,400) comprising One Thousand, Five Hundred and Seventy-Two (1,572) Series “C” shares, payable on or before September 30, 2027. 4. The amount of Twenty-Four Million, Four Hundred and Fifty-Two Thousand, Four Hundred dollars of the United States of America (USD 24,452,400) comprising One Thousand, Seven Hundred and Twenty-Two (1,722) Series “C” shares, payable on or before September 30, 2028. 5. The amount of Twenty-Six Million, Five Hundred and Eighty-Two Thousand, Four Hundred dollars of the United States of America (USD 26,582,400) comprising One Thousand, Eight Hundred and Seventy-Two (1,872) Series “C” shares, payable on or before September 30, 2029. 6. The amount of Twenty-Eight Million, Seven Hundred and Twelve Thousand, Four Hundred dollars of the United States of America (USD 28,712,400) comprising Two Thousand, and Twenty-Two (2,022) Series “C” shares, payable on or before September 30, 2030. 7. The amount of Thirty Million, Eight Hundred and Forty-Two Thousand, Four Hundred dollars of the United States of America (USD 30,842,400) comprising Two Thousand, One Hundred and Seventy-Two (2,172) Series “C” shares, payable on or before September 30, 2031. 8. The amount of Thirty-Two Million, Nine Hundred and Seventy-Two Thousand, Four Hundred dollars of the United States of America (USD 32,972,400) comprising Two thousand, Three Hundred and Twenty-Two (2,322) Series “C” shares, payable on or before September 30, 2032. 9. The amount of Thirty-Five Million, One Hundred and Two Thousand, Four Hundred dollars of the United States of America (USD 35,102,400) comprising Two Thousand, Four Hundred and Seventy-Two (2,472) Series “C” shares, payable on or before September 30, 2033. 10. The amount of Thirty-Seven Million, Two Hundred and Thirty-Two Thousand, Four Hundred dollars of the United States of America (USD 37,232,400) comprising Two Thousand, Six Hundred and Twenty-Two (2,622) Series “C” shares, payable on or before September 30, 2034. 11. The amount of Thirty-Nine Million, Three Hundred and Sixty-Two Thousand, Four Hundred dollars of the United States of America (USD 39,362,400) comprising Two Thousand, Seven Hundred and Seventy-Two (2,772) Series “C” shares, payable on or before September 30, 2035. 12. The amount of Forty-One Million, Four Hundred and Ninety-Two Thousand Four Hundred dollars of the United States of America (USD 41,492,400) comprising Two
12 Thousand, Nine Hundred and Twenty-Two (2,922) Series “C” shares, payable on or before September 30, 2036. 13. The amount of Forty-Three Million, Six Hundred and Twenty-Two Thousand, Four Hundred dollars of the United States of America (USD 43,622,400) comprising Three Thousand, and Seventy-Two (3,072) Series “C” shares, payable on or before September 30, 2037. 14. The amount of Forty-Five Million, Seven Hundred and Fifty-Two Thousand, Four Hundred dollars of the United States of America (USD 45,752,400) comprising Three Thousand, Two Hundred and Twenty-Two (3,222) Series “C” shares, payable on or before September 30, 2038. 15. The amount of Forty-Seven Million, Nine Hundred and Thirty-Nine Thousand, Two Hundred dollars of the United States of America (USD 47,939,200) comprising Three Thousand, Three Hundred and Seventy-Six (3,376) Series “C” shares, payable on or before September 30, 2039. SECTION 3 The Subscriber confirms its intention to accede as a Member Country in accordance with Article 59 of the Agreement Establishing CAF and the special conditions set forth in the Sole Annex hereto. SECTION 4 CAF shall deliver to the Subscriber the share certificates corresponding to the subscribed and paid-in shares, at their registered value in accordance with Article 5 of the Agreement Establishing CAF, following payment of the applicable installment referred to in Section 2 of this Agreement. In the event of arrears by the Subscriber in the payment of any of the installments referred to in Section 2 of this Agreement, Article 18 of the Agreement Establishing CAF shall apply in full force. SECTION 5 All notices and other documents related to this Agreement shall be made in writing and be delivered or sent in person or by courier or email to the following respective addresses of both Parties. For the purposes of this Agreement, the Parties establish the following as addresses:
13 Corporación Andina de Fomento Attention: Dirección de Secretaría General Address: Luis Roche Avenue, CAF Tower, Altamira Caracas, República Bolivariana de Venezuela Email address: secretaria@caf.com Telephone: +58 (212) 209 2111 The Government of Barbados Attention: Permanent Secretary, Finance Address: Ministry of Finance, Government Headquarters Bay Street, St. Michael, Barbados Email address: barbadosloans@barbados.gov.bb Telephone: +1 (246) 535-5337 SECTION 6 This Agreement shall be binding upon the Parties on the date on which the Subscriber gives notice to CAF that it has complied with all constitutional, legal, and statutory requirements to ensure its validity and enforceability. SECTION 7 The terms of this Agreement may be modified, by means of a written agreement duly signed between the Parties, in full compliance with the requirements for its validity. These modifications will enter into force on the date on which the Subscriber notifies CAF that the constitutional, legal, and regulatory requirements necessary for their entry into force have been met. SECTION 8 Any controversy or dispute that may arise between the Parties in respect of this Agreement shall be resolved, in the first instance, by mutual agreement, and, if a mutual agreement is not reached within a reasonable period of time, the matter shall be resolved in accordance with the mechanism set forth in Article 45 of the Agreement Establishing CAF. Each Party may execute this Agreement by autograph signature or by electronic means deemed valid under the law applicable to the corresponding Party. Likewise, the Parties may exchange this Agreement with their corresponding signature, through one or several data transmissions or electronic messages. The Parties expressly agree that the Agreement executed by electronic means and/or transmitted as herein described shall have the same validity and binding force as the printed original document, with autograph signatures, physically delivered to each Party. Notwithstanding the foregoing, CAF reserves the right to request at any time as condition precedent to any disbursement, the delivery of the original Agreement, printed with autograph signatures.
14 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be duly executed on their respective behalf, by their duly authorized representatives, in two (2) original copies of equal tenor on the 27th of October, 2025. By Corporación Andina de Fomento By the Government of Barbados Signed by: Firmado por: Sonormal E6B3585DB73F403… Sergio Díaz-Granados Guida Executive President 56117D071D92/AE… The Honourable Ryan Straughn M.P., Minister in the Ministry of Finance
15 Sole Annex Special Conditions for Barbados’ Accession as a Member Country of CAF 1. Terms for accession. CAF’s Administration shall recommend to the Board of Directors and, through it, to the Shareholders’ Meeting that the Subscriber be accepted as a Member Country under the following special conditions (the “Special Conditions”): (a) The Subscriber has paid for the first installment referenced in Section 2 (1) of this Agreement. (b) The Subscriber has subscribed Series “C” callable capital stock of CAF in the amount of Thirty-Six Million dollars of the United States of America (USD 36,000,000). (c) The Subscriber has deposited with the Ministry of People’s Power for Foreign Affairs of the Bolivarian Republic of Venezuela its instrument of accession to the Agreement Establishing CAF. 2. Once the Subscriber has satisfied items (a), (b) and (c) above and any additional condition approved by the Shareholders’ Meeting, CAF’s Administration shall recommend that the Board of Directors determine that the terms for Barbados’ incorporation as a Member Country have been met. 3. Thirty (30) days after such determination, the following steps shall occur: (a) The Subscriber shall acquire and pay one Series “A” share in the amount of One Million, Two Hundred Thousand dollars of the United States of America (USD 1,200,000). (b) CAF shall exchange the Series “C” shares corresponding to common capital stock that have been paid or are to be paid by the Subscriber for Series “B” shares. (c) CAF shall exchange the Series “C” shares corresponding to callable capital stock subscribed by the Subscriber for Series “B” shares corresponding to callable capital stock. Upon completion of these steps, the Subscriber shall be entitled to appoint one (1) Director and an Alternate Director for Series “A”.
16 SECOND SCHEDULE (Section 2) AGREEMENT BY AND BETWEEN CORPORACIÓN ANDINA DE FOMENTO AND THE GOVERNMENT OF BARBADOS FOR THE SUBSCRIPTION OF CALLABLE CAPITAL STOCK THIS AGREEMENT for the Subscription of Callable Capital Stock (hereinafter, the “Agreement”) is entered between the Corporación Andina de Fomento (hereinafter, “CAF”), acting through its Executive President, Mr. Sergio Díaz-Granados Guida, of Colombian citizenship, identified with Diplomatic Passport number DP054186, duly empowered pursuant to the provisions of Article 31 of the Constitutive Agreement of CAF, and the Government of Barbados, represented herein by the Honourable Ryan Straughn M.P., Minister in the Ministry of Finance (hereinafter, the “Subscriber”), collectively referred to as the “Parties”. CONSIDERING THAT: a) On 27th day of October of the year 2025 the parties signed the Agreement for the Purchase of Common Capital Stock and Accession of the Government of Barbados as a Member Country (the “Incorporation Agreement”). b) Pursuant to Section 1 of the Incorporation Agreement the Subscriber shall acquire Thirty-Four Thousand Eight Hundred and Thirty-Four (34,834) registered Series “C” shares corresponding to the common capital stock of CAF, for a value each of Fourteen Thousand, Two Hundred dollars of the United States of America (USD 14,200). c) Pursuant to Clause 1 sub-section (b) of the Sole Annex of the Incorporation Agreement entitled “Special Conditions for Barbados’ Accession as a Member Country of CAF” for the accession of the Subscriber as a Member Country, the Subscriber shall subscribe Series “C” callable capital stock of CAF in the amount of Thirty-Six Million dollars of the United States of America (USD 36,000,000). d) Pursuant to Article 5, paragraph 2, subparagraph C, of the Agreement Establishing CAF, payment of the callable capital shares shall be made only upon request, following approval by the Board of Directors, when it is necessary to meet the financial obligations of the Corporation in the event that the institution is unable to fulfill such obligations with its own resources. The Parties waive the requirement to provide evidence of the authority of their representatives, as such authority is public and well known, and they express their willingness to execute this Agreement, subject to the following: SECTION 1 The Subscriber agrees to subscribe Seven Thousand Two Hundred (7,200) Series “C” shares corresponding to the callable capital stock of CAF (hereinafter, the “Shares”), for a value each of Five Thousand dollars of the United States of America (USD 5,000), for a global amount of Thirty-Six Million dollars of the United States of America (USD 36,000,000).
17 SECTION 2 The characteristics of the Series “C” shares of callable capital stock, as well as the conditions for payment of same, are provided in Article 5, paragraph 2, of the Agreement Establishing CAF. SECTION 3 All notices and other documents related to this Agreement shall be in writing and shall be delivered personally or sent by courier to the respective addresses set out below, which the Parties hereby designate for the purposes of this Agreement: Corporación Andina de Fomento Attention: Dirección de Secretaría General Address: Luis Roche Avenue, CAF Tower, Altamira Caracas, República Bolivariana de Venezuela Email address: secretaria@caf.com Telephone: +58 (212) 209 2111 The Government of Barbados Attention: Permanent Secretary, Finance Address: Ministry of Finance Goverment Headquarters Bay Street, St. Michael, Barbados Email address: barbadosloans@barbados.gov.bb Telephone: +1 (246) 535-5337 SECTION 4 This Agreement shall be binding upon the Parties on the date on which the Subscriber gives notice to CAF that it has complied with all constitutional, legal, and statutory requirements to ensure its validity and enforceability. SECTION 5 Any controversy or dispute that may arise between the Parties in respect of this Agreement shall be resolved, in the first instance, by mutual agreement, and, if not reached within a reasonable period of time, the matter shall be resolved in accordance with the mechanism set forth in Article 45 of the Agreement Establishing CAF. Each Party may execute this Agreement by autograph signature or by electronic means deemed valid under the law applicable to the corresponding Party. Likewise, the Parties may exchange this Agreement with their corresponding signature, through one or several data transmissions or electronic messages. The Parties expressly agree that the Agreement executed by electronic means and/or transmitted as herein described shall have the same
18 validity and binding force as the printed original document, with autograph signatures, physically delivered to each Party. Notwithstanding the foregoing, CAF reserves the right to request at any time as condition precedent to any disbursement, the delivery of the original Agreement, printed with autograph signatures. IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be duly executed on their respective behalf, by their duly authorized representatives, in two (2) original copies of equal tenor on the 27th of October, 2025. By Corporación Andina de Fomento -Firmado por: бластная E6B3585DB73F403… Sergio Díaz-Granados Guida Executive President By the Government of Barbados Signed by: 50417D074D924AE.. The Honourable Ryan Straughn M.P., Minister in the Ministry of Finance
Read three times and passed the House of Assembly this day of , 2025.
Speaker
Read three times and passed the Senate this day of , 2025.
President
Printed and Published by
the Barbados Government Printing Department
