Trinidad and Tobago has been approved a US$120 million loan from the Development Bank of Latin America (Banco de Desenvolvimento da América Latina, CAF) for its digital transformation.

The proceeds of the loan will be used to accelerate the digitalization of the state and productive sectors to help mitigate the impacts of the COVID-19 pandemic and close the digital gap in the country. The funds are slated to support initiatives related to regulatory and institutional changes, management, and planning.

Specifically, the project will focus on (1) the creation of an institutional and public policy framework for the digitisation of the State; (2) supporting the strategic objective of increasing the contribution of the ICT sector to GDP; and (3) initiatives to increase access to ICT, by fostering the digital inclusion of the population with less access.

In a news release last week, CAF said the funds will be managed by the Ministry of Finance, with the technical support of the Ministry of Digital Transformation.

In the last six years (2016-2021), CAF approved loans and grants for Trinidad and Tobago totalling US$1.3 billion, and during the same period, it has disbursed US$1.2 billion in priority sectors for the country.

CAF’s T&T portfolio went from US$300 million in 2017 to US$1.16 billion in 2021.

Executive president of the CAF Sergio Díaz-Granados, said: “This loan adds to the efforts of the Government of Trinidad and Tobago to close the digital divide, promote the information society and the expansion of the digital ecosystem in the country.