In 2005, Latin America once again exhibited a positive macroeconomic performance, partially as a result of favorable international conditions and the resumption of foreign capital flows. These conditions provided an opportunity for the region to consolidate microeconomic structural reforms, in order to ensure sustainable economic growth, greater social inclusion and poverty reduction in the longer term. In this context, CAF supported its member countries in activities aimed at improving competitiveness and consolidating integration, especially in South America. It also expanded activities in the area of sustainable human development, with a view to improving social equity and inclusion, as well as democratic governance in the region. CAF’s efforts are evidenced by its record amount of loan approvals, and by the progress of its strategic programs in implementing a renewed agenda for regional development. CAF also celebrated its thirty-fifth Anniversary this year with operational and financial results that were highly commended by the shareholders, and boosted the confidence of its clients and international financial partners. In 2005, CAF approved US$ 4,746 million, including nearly one billion dollars for integration-related infrastructure projects –particularly in South America– and over 1,900 million dollars to support private investment in shareholder countries, while reinforcing its catalytic role through innovative products and services.