IAF-2018 In Review

I N T E R -A M E R I C A N F O U N DAT I O N

2018 IN REVIEW B U I L D I N G PA RT N E R S H I P S FOR SUSTAINABLE IMPACT

REFLECTIONS ON 2018 development in Central America, the IAF supported the expansion of the successful RedEAmérica alliance of corporate foundations into Guatemala. And a new partnership with Fairtrade International is poised to link IAF-supported smallholder farmers and agricultural enterprises to competitive markets, new buyers, and training resources.

Congress created the Inter-American Foundation (IAF) nearly five decades ago to complement other emerging models of U.S. development assistance.

The IAF has since partnered with more than 5,000 under-served communities across Latin America and the Caribbean to catalyze their own visions for prosperity and peace. As the challenges to development in the region have evolved, so too has the IAF. We’re delighted to share with you some of the transformative steps we took in 2018.

Eddy Arriola

Paloma Adams-Allen

As in recent years, the IAF awarded $17.4 million to 120 grassroots organizations in 18 countries, but with one important difference: this year, we deliberately reoriented a greater share of our funding to countries where we expected our bottom-up development model to make the most difference. As a result, more than 70 percent of the IAF’s resources went to community organizations in eight priority countries: Colombia, El Salvador, Guatemala, Haiti, Honduras, Nicaragua, Mexico, and Peru.

We also focused our support on particularly pressing issues. In the Northern Triangle countries of Central America, for instance, the IAF increased its investments in addressing persistent drivers of poverty and irregular migration. Further south, the

IAF ramped-up its support for civil society to engage in the implementation of the historic peace accords in Colombia and mainstreamed peace-building throughout the portfolio. In the Eastern Caribbean, the IAF laid the groundwork to restart its support for community-led disaster resilience programming after a decade long hiatus.

While rethinking our approaches to grantmaking, we also strengthened our internal capacities to deliver on our mandate. Among other efforts in 2018, we launched the new Office of Learning and Impact charged with generating learning across projects, facilitating data-driven programming, and better measuring our impact.

Scaling impact through partnerships remains at the heart of the IAF’s work. This year, the IAF collaborated with C.S. Mott Foundation and four new partners –Silicon Valley Community Foundation, El Paso Community Foundation, International Community Foundation and the Mexican NGO, Ambulante – to channel resources directly to Mexican community foundations dedicated to rebuilding and improving the resilience of communities in earthquake affected states. To unlock greater private sector support for community

Throughout this year of transformation, the IAF strengthened its relationship with two key stakeholders: its grantee partners and Congress.

According to the Center for Effective Philanthropy, grantees rank the IAF in the top three percent among similar foundations on several fronts: our impact on their organizations and the helpfulness of our approaches to selection and reporting. Meanwhile, we led congressional staff delegations to Guatemala, Honduras, and Colombia, facilitating congressional oversight and understanding of the IAF’s vital role within broader U.S. foreign policy objectives.

This coming year will mark the 50th anniversary of the IAF. We approach this milestone with joy and pride, knowing that we have supported communities as they strive to expand economic opportunities, enhance peace and security, and strengthen governance, improving thousands of lives in the process. At the same time, we are humbled by the strong demand for our grassroots development expertise as under-served communities across the region wrestle with modern development challenges. We look forward to this new chapter in the IAF’s history with hope and determination.

Eddy Arriola Chair, Board of Directors

Paloma Adams-Allen President and CEO

AT A GLANCE The IAF, an independent U.S. government agency, was created by Congress in 1969 to channel development assistance directly to the organized poor in Latin America and the Caribbean. The IAF has carried out its mandate by funding communities’ most creative grassroots development ideas. It also encourages partnerships among community organizations, businesses, and governments aimed at improving the quality of life in underserved communities.

OUR VISION

ADVANCING STRATEGIC GOALS

A just, peaceful, and prosperous Latin America and Caribbean region in which all people have meaningful opportunities to thrive

MISSION To identify, support, and partner with underserved groups, their enterprises, and grassroots organizations to create and build thriving communities

66%

49%

34%

EXPANDING ECONOMIC OPPORTUNITY

ENHANCING PEACE AND SECURITY

STRENGTHENING DEMOCRATIC GOVERNANCE

UNLOCKING PRIVATE, PUBLIC, AND COMMUNITY RESOURCES * Percentages add up to more than 100 due to the cross-cutting nature of IAF grants

CATALYZING COMMUNITY-LED SOLUTIONS IN Expanding economic opportunity

Strengthening democratic governance

The IAF supports the visions and efforts of communities to promote sustainable agriculture, micro and small businesses, and local markets.

The IAF helps grassroots organizations defend their rights, promote inclusion, and advocate for government transparency and accountability.

In Haiti, for instance, the IAF has been supporting Platfòm Inite Òganizasyon Dezam (PLAIOD), a member organization serving rural women and farmers in Désarmes, to improve their productivity while conserving the Morne August watershed on which they depend. Since 2014, our partnership has been paying off: PLAOID has benefitted nearly 2,000 people— nearly a third more than they had anticipated—and their promotion of savings and loan associations has mobilized the equivalent of US$15,000 in community savings, allowing members to access small loans through which to invest in their farms or businesses.

In Colombia, for example, we partner with Corporación de Profesionales Construyendo Ciudadanía (CPCC), a youth-led organization dedicated to helping youth engage with their elected leaders. In coordination with the municipal government of Montería, CPCC has helped 32 youth organizations become legally registered, learn more about the policy making process, and improve their approaches to advocacy. As a result, youth have participated in updating public policy, effectively advocated for a transportation subsidy for students, and developed online access to training, resources, and networks. Youth also advocated for and gained access to airtime on the community’s radio platform, Alouatta, which they use to connect with the community’s youth.

Enhancing peace and security Projects supported by the IAF strengthen the social and economic fabric of communities by boosting alternatives to crime, violence, unemployment, and irregular migration.

Consider the seed funding we granted to the Asociación de Retornados Guatemaltecos (ARG) in 2015 to help ease the often difficult transition of migrants returned to Guatemala. ARG, in collaboration with private sector partners, provides training, community services, and emotional support as returning migrants reenvision and rebuild their lives back in their home country. As a sign of its effectiveness, ARG has become the only grassroots organization working alongside the Guatemalan government in the repatriation center through which deported migrants enter the country.

LATIN AMERICA AND THE CARIBBEAN

Unlocking private, public, and community resources In addition to grantees, the IAF partners with philanthropies, corporations, and diaspora organizations to multiply the impact of our funding and ensure the sustainability of community efforts.

As an example, the IAF and C.S. Mott Foundation launched the Partnership to Support Post-Earthquake Recovery in Mexico. Through additional donor support, the partnership now leverages $4.45 in philanthropic donations for every dollar the IAF invests. These funds supported a first round of grants to Fundaciรณn Comunitaria Malinalco, Fundaciรณn Comunidad, and

Fundaciรณn Comunitaria Oaxaca. These foundations are pioneers in helping communities recover from disasters and become more resilient to natural shocks. Efforts include mapping community needs, creating protection plans, strengthening local networks, and promoting food security and small business development. The IAF expects to issue a second round of grants to community foundations providing technical assistance for disaster preparedness in fiscal year 2019.

HIGHLIGHTS OF IAF INVESTMENTS IN GRASSROOTS DEVELOPMENT FISCAL YEAR 2018 RESULTS*

PARTNERS Every

364,049

$1

2,107,078

individuals BENEFITED DIRECTLY from IAF investments

the IAF invested with:

individuals BENEFITED INDIRECTLY from IAF investments

GRANTEE PARTNERS leveraged

74,056

individuals acquired NEW KNOWLEDGE AND SKILLS in agriculture, manufacturing, civic engagement, marketing, and conservation

43%

51%

of program participants were WOMEN

of program participants were YOUTH (under 18 years)

8,284

JOBS created or preserved

2,629

PARTNERSHIPS developed by grantees to mobilize resources and share experiences

*These totals represent cumulative year-end results for all active grants.

56%

of IAF grantees involved in economic development activities saw their beneficiaries’ INCOMES increase

+$1.31 CORPORATE PARTNERS leveraged

+$3

+$4.45

EFFICIENCY ADMINISTRATIVE COSTS

71

small businesses and social ENTERPRISES created

FOUNDATION PARTNERS leveraged

DIRECT PROGRAM INVESTMENTS

11.5%

88.5%

ACTIVE PORTFOLIO: $183.9 MILLION $81.7M IAF INVESTMENT $102.2M COUNTERPART INVESTMENT

309 GRANTS FUNDING AREAS Agriculture, Food Security, and Natural Resource Management $22.6M

Productive Alternatives to Irregular Migration and Violence $26.5M

IAF INVESTMENT (MILLIONS) ARGENTINA

$3.2

BELIZE

$0.3

BOLIVIA

$4.3

BRAZIL

$5.7

CHILE

$0.2

COLOMBIA

$4.1

COSTA RICA

$1.4

DOMINICAN REPUBLIC

$3.7

ECUADOR

$1.4

EL SALVADOR

$5.7

GUATEMALA

$9.7

HAITI

$3.8

HONDURAS

$11.1

JAMAICA

$0.3

MEXICO

$5.7

NICARAGUA

$5.0

PANAMA

$0.5

PARAGUAY

$5.6

PERU

$5.2

URUGUAY

$0.2

Civic Engagement, Leadership, and Training $16.7M

CARIBBEAN 25 GRANTS DOMINICAN REPUBLIC HAITI JAMAICA

$7.8 M

MEXICO 26 GRANTS

$5.7 M

CENTRAL AMERICA 128 GRANTS BELIZE COSTA RICA EL SALVADOR GUATEMALA HONDURAS NICARAGUA PANAMA

$33.5 M

ANDEAN COUNTRIES 65 GRANTS BOLIVIA COLOMBIA ECUADOR PERU

$15.4 M

BRAZIL 23 GRANTS

$5.7 M

SOUTHERN CONE 27 GRANTS ARGENTINA CHILE PARAGUAY URUGUAY

$8.9 M

MULTI-COUNTRY 15 GRANTS

$4.5 M

CARIBBEAN 25 GRANTS DOMINICAN REPUBLIC HAITI JAMAICA

$7.8 M

MEXICO 26 GRANTS

$5.7 M

CENTRAL AMERICA 128 GRANTS BELIZE COSTA RICA EL SALVADOR GUATEMALA HONDURAS NICARAGUA PANAMA

$33.5 M

ANDEAN COUNTRIES 65 GRANTS BOLIVIA COLOMBIA ECUADOR PERU

$15.4 M

BRAZIL 23 GRANTS

$5.7 M

SOUTHERN CONE 27 GRANTS ARGENTINA CHILE PARAGUAY URUGUAY

$8.9 M

MULTI-COUNTRY 15 GRANTS

$4.5 M

10 14 1

2 6 25 36 37 19 3

12 27 5 21

10 1 14 2

10 14 1

2 6 25 36 37 19 3

12 27 5 21

10 1 14 2

Job Skills and Enterprise Development $11.2M

Human Rights $4.6M

Board of Directors The Inter-American Foundation is governed by a board of directors appointed by the U.S. president and confirmed by the U.S. Senate.

Our board members are drawn from the private sector and the federal government.

Eddy Arriola, Board Chair Chairman and CEO, Apollo Bank Juan Carlos Iturregui, Board Vice Chair Senior Advisor, Dentons, LLP Jack C. Vaughn, Jr. Former Managing Director, Vaughn Petroleum, LLC

J. Kelly Ryan Coordinator of the Intergovernmental Consultations on Migration, Asylum and Refugees, International Organization for Migration Luis A. Viada Independent Consultant

Advisory Council Amb. Alexander F. Watson, Advisory Chair Managing Director, Hills & Company Kay K. Arnold, Advisory Vice Chair Former Chair, Foundation for the MidSouth Rafael Fernández-MacGregor Vice President for Latin America, GoDaddy

INTER-AMERICAN FOUNDATION 1331 Pennsylvania Ave., N.W. Suite 1200 North Washington, D.C. 20004 www.iaf.gov @IAFgrassroots Photos: Front cover Megan Fletcher; pages 1,3 by Waldo López; pages 2,4 by Keziah Jean; back cover by Neto Segovia and courtesy of SERES.

Winsome Leslie President and CEO DevSolutions Consulting Nicolás Mariscal Torroella Chairman of the Board of Directors, Grupo Marhnos Amb. Hector Morales Senior Advisor for Latin America, Macquarie Capital

Anita Perez Ferguson Executive Director, THRIVE Juan Edgar Picado Senior Partner, Picado and Picado James T. Polsfut Chairman and CEO, North American Speciality Hospital Amb. Alfonso Quiñonez Manager for Public Affairs, Grupo Progreso British A. Robinson President and CEO, Barbara Bush Foundation Christopher Sabatini Adjunct Professor, School of International and Public Affairs at Columbia University

John P. Salazar Attorney, Rodey, Dickason, Sloan, Akin & Robb, PA Celina de Sola Co-Founder and Vice President of Programs, Glasswing International Matthew A. Swift Co-Founder, Chairman and CEO, Concordia Roger W. Wallace Vice President for Federal Policy, Pioneer Natural Resources Company