IFC, a member of the World Bank Group, and IDB Invest, a member of the Inter-American Development Bank (IDB) Group, have partnered to provide Cisneros Real Estate with US$119.5 million in financing for Tropicalia, a sustainable resort in the Dominican Republic expected to start operations in 2021. The project is expected to create 1,800 jobs during construction, 500 jobs during operations and an inclusive supply chain that will link dozens of local entrepreneurs and farmers to hotel and tourist demand. Eventually, the hotel will source up to 70 percent of its food from the Dominican Republic—with more than a third coming from producers in Miches and nearby communities.
To finance the US$258 million project, IFC and IDB Invest are providing loans for US$79.5 million and US$40 million, respectively. As part of the financing package, IFC is mobilizing US$34 million from institutional investors through its Managed Co-Lending Portfolio Program.
The IFC loan is being entirely financed through Green Bonds, given Tropicalia’s projections for energy efficiency and other environmental considerations. IFC’s Green Bonds program supports climate-smart investments as part of a broader shift toward a resilient, low-carbon global economy.
Tourism is one of the pillars of the Dominican economy. Last year, the industry generated a record 6.2 million visitors and estimated revenues of $7.2 billion. Growing the tourism industry is a priority for the Dominican government, which had set a target of 10 million visitors per year by 2022.