The origination is the first stage of the process, in which a proposal is brought forward so that it can become a project supported by IDB Lab. This first stage has several phases:
or a draft concept
The entity seeking IDB Lab financing contacts an IDB Lab specialist at its IDB local office or at the headquarters in Washington, D.C., to propose an idea for a project or a draft concept of the business model it would like to develop. Please note that IDB Lab often approaches entities to promote and/or assess an initiative.
and environmental impact
The local specialist holds an introductory meeting with the proposing entity to provide further information on the selection criteria and types of available financing and, primarily, get input on the target populations that would benefit from such an idea (economic, social, and environmental impact).In addition, the specialist also discusses the proposing entity’s technical and management capacity (institutional capacity) to execute the proposal in financial and operational terms and their experience in similar projects.
In case the proposing entity’s initiative is compatible with the strategy and the verticals on the scope of IDB Lab, the specialist will share an initial template known as “Draft concept or pitch” for the proposing entity to fill in the sections with the definition of the existing problem, the innovative solution, the mechanics behind the model and the description of the population that would benefit from the implementation of such solution. See an example of a draft concept or pitch.
If there is neither a profile nor a defined project idea, the local specialist can use the time to exchange ideas with the proposing entity: he could introduce IDB Lab’s credentials and explain the project requirements, the type of proposing entities that IDB Lab can or cannot fund, and the types of projects and beneficiaries it expects to support, among other topics.
The IDB Lab specialist reviews the proposal in detail to determine whether it is compatible with IDB Lab’s strategy and verticals. Other aspects are also analyzed:
If the operation complies with the requirements, a new stage begins on the IDB Lab side: the follow-up and orientation stage where the concept note or pitch will be fully developed. Consequently, a project team is appointed with specialists from IDB Lab, the IDB, and/or IDB Invest to follow up the process.
The IDB Lab Team that supported the preparation of the draft proposal and the proposing entity submit the proposal to the Eligibility Committee at IDB Lab. If the draft proposal is accepted, it becomes “eligible”. This step is a green light for IDB Lab and the proposing entity to start the formal design of the proposal. In general terms, eligibility will require the implementation of certain recommendations during the formal design stage of the project. Should the proposal be ineligible, IDB Lab will inform the result to the proposing entity. Please note that, at times, entities are encouraged to re-submit their proposals after they have introduced the modifications and recommendations made by the Committee.