(RTTNews) –  The governing board of the Inter-American Development Bank agreed on Monday to raise $70 billion in new capital, the largest expansion of resources in the Bank’s history, and provide a $479 million debt forgiveness to Haiti.

Of the $70 billion capital increase, $1.7 billion will be paid in by the bank’s member countries over a five-year period. The capital increase will enable the bank to double its pre-crisis annual lending to $12 billion per year.

IDB President Luis Alberto Moreno also pledged to provide more than $2 billion in grants to Haiti over the next decade, to assist the Carribbean country’s recuperation from the January 12 earthquake.

“This is a tremendous vote of confidence in the direction and vision of a reformed and renewed bank,” Moreno said. “We are honored with this opportunity to make a difference for Haiti at this critical time. This capital increase will allow us to redouble our efforts to help the neediest in our region.”

by RTT Staff Writer