presented by Alejandro Rodríguez Zamora, LLM Executive Vicepresident , CABEI at Global WaterPartnership Consulting Partners Meeting 2010

1. Central American Bank forEconomicIntegration (CABEI) Global WaterPartnership ConsultingPartners Meeting 2010 Alejandro Rodríguez Zamora, LLM ExecutiveVicepresident September, 2010

3. Headquartered in Tegucigalpa, Honduras.

4. Five Founding Members:

5. Costa Rica

6. El Salvador

7. Guatemala

8. Honduras

9. Nicaragua

10. Seven Non-Regional Members:

11. Argentina *

12. Colombia *

13. Panama *

14. Dominican Republic *

15. Spain

16. Mexico

17. Republic of China (Taiwan)

18. One Beneficiary Country:

19. Belize(*) These members have also acquired Beneficiary Status 2

20. CABEI’s Mission CABEI´smissionistopromotetheeconomicintegration and thebalancedeconomicdevelopment, of the Central American Countries. Toachieveitsmission, CABEI focusesoninfrastructureprojects, long-terminvestments in industries of a Regional nature and of interesttothe Central American Market; investments in theagricultural sector thatimproveexploitation, industrial modernization and expansion; servicesfortheRegion´s social development, theconservation of natural resources and theenvironment. 3

21. CABEI’s Vision CABEI is determined to act as a regional leader in the financing of social development, integration, and competitive insertion of our member countries, into the global economy. To this end, CABEI will continue strengthening its financial soundness, acting with the highest standards of service quality, promoting an institutional culture of effectiveness, transparency, integrity and ethics, efficiently using the public resources that have been entrusted to the Institution. 4

22. CABEI`sEnvironmentalPolicy The purpose of the Regulation under the Environmental and Social Policy of CABEI, is to promote environmental and long term social sustainability in, Central America. To that end CABEI has implemented: 5

23. GLOBAL Responsibility Ej. CarbonMarkets, biodiversity GLOBAL Responsibility Ej. ClimateChange , etc. Environmental and Social Management System STRATEGY CABEI`sIdentification, Evaluation and MitigationSystemforenvironmental and social risks Central America and it`sSustainableDevelopment Central American Bank forEconomicIntegration InstitutionalResponsibility Plan 6

25. CABEI`sEnvironmentalStrategy A rational management of water is an indicator of prosperity and social development. The inter-relationship between the rational and sustainable management of water resources and poverty reduction is critical and for that reason, the International Community must consider a number of specific actions, for their proper management and conservation. For that reason, CABEI as the sub-regional development bank for the Central American region has included water,as one of the Fields of Action in its Environmental Strategy. Water problems require an inter-sector approach that recognizes the relationship between land and water, agriculture and water technology and health and water - that affects water management. 8

26. CABEI`S ROLE In relation to the management of water resources, CABEI has an active participation in regional and national initiatives for the conservation, watershed management and sustainable management of water, both freshwater and marine resources and in the financing of projects aimed at extending service coverage of water supply and sanitation. Additionally, CABEI will ensure that projects and programs financed by it, consider the rational use of water and the proper disposal of waste that may affect this resource, promoting harmonization of water, land and forest policies, that will improve water conservation and soil, as well as halting land degradation. 9

27. CABEI`sFinancing in SustainableDevelopment Throughoutthe Central American Region, CABEI has financed: RenewableEnergyProjects: US$ 1372 Million. Central American Border Zone Development Program (ZONAF): US$ 38.5 Million. Central American MarketsforBiodiversity (CAMBio): US$ 196 thousand. Additionally, throughseveral regional integrationbodies; CABEI has promotedmeetingswithDevelopment Banks, forthepurpose of exchangingexperiences and best practices on the development of financial instruments and nonfinancial programs related to: energy efficiency (EE), renewable energy (RE), conservation and reforestation, among others. 10

28. Water and Sanitation In November 2009, ZONAF co-financed the “First Mesoamerican Conference for Peace and Sustainable Development in Shared River Basins” implemented by El Zamorano University, in Honduras. The objective was for participants to exchange experiences and information across Mesoamerica in order to create a think tank for new ideas that can change current policies related to water management. A complete publication was released in the first quarter of the year 2010 that collected several experiences that were presented during the conference. 11

30. Through ZONAF, the EU has invested US$6.8 million.12

32. Water and Sanitation (Regional Interventions in Benefit of SharedRiverBasins) In June 2010, ZONAF financed the “Regional Training on Economic and Financial Instruments for an Integral Management of Shared River Basins” that was structured and implemented by Global Water Partnership and El Zamorano University, in Honduras. 36 members of regional institutions participated in this training in which they received practical mechanisms for a proactive management of shared river basins that will improve their capacity as planning agencies in this subject. 14

33. Central American Bank forEconomicIntegration (CABEI) Global WaterPartnership ConsultingPartners Meeting 2010 Alejandro Rodríguez Zamora, LLM ExecutiveVicepresident September, 2010 15