This initiative includes technical assistance and financing from the Inter-American Development Bank (IDB), including mixed financing, to support not only greater mineral extraction but also to promote refining and processing activities. The IDB's intention in promoting this “LAC Minerals” initiative is to help countries have better regulations and infrastructure, mobilize private investment, and strengthen institutions to build a solid portfolio of mining projects and advance in the value chain through refining and processing, thus boosting growth and job creation. At the IDB's annual meeting in 2026, held in Paraguay from March 11 to 14 last year, the LAC Minerals initiative was presented, which aims to highlight the importance of mining and the incredible potential that Latin America and the Caribbean have in this industry, which is essential for developing value chains that serve to drive more sustainable and equitable growth. The main objective is, on the one hand, to promote secure and value-added supply chains that have their origin in the region, where Latin America and the Caribbean would provide large-scale production of raw materials, under a growing commitment to add value to the chain; while developed countries, as large-scale consumers, as global partners, would provide stable long-term demand with attractive prices, as well as advanced technology and capital for investment. Due to the growing demand from the technological, automotive, and renewable energy sectors, and the desire of the United States, Europe, Japan, and South Korea to diversify their suppliers, it is expected that Latin America, which already provides 30% of the global supply of these minerals, will become an even more significant player thanks to its reserves of copper, lithium, molybdenum, and nickel. These studies underline the fundamental importance of going beyond pure extraction and also betting on establishing “in situ” refining and processing capabilities so that the sector provides more transversal and equitable growth. What this expanding coalition reflects is having a common goal as its guiding principle: to promote the responsible development of minerals, strengthen value chains, and build more diversified and resilient global supply chains. The price of copper continues to rise, surpassing historical prices, and it is expected that the price trend will continue to rise, at least until 2035, due to a much higher demand than supply. In this way, the region contributes resources and opportunities; the rest of the world contributes technology, capital, and long-term contracts with attractive prices. The IDB Group will serve as a bridge to achieve all of the above. Countries such as Japan, Canada, and Finland have already formally joined this initiative, and it is expected that the number of international partners will grow exponentially soon. The opening of the mine in Donoso is a first step for Panama to enter this IDB initiative with strength. Not doing so would leave us behind, we would lose jobs and real development opportunities. The author is a lawyer and former president of the Chamber of Commerce.
