In an international context that started to turn slowly in favor of Latin America’s economies, the year yielded some signs of recovery and a renewal of foreign capital inflows, despite the persistence of structural conditions and market distortions in some countries that precluded the region from achieving higher rates of growth and employment. In the course of this year CAF helped to mitigate risks and offset weaknesses in the region, focusing its efforts on promoting a growth pattern that is sustainable and of high quality, as well as inclusive and participatory. At the same time, it provided timely and efficient support to the member countries in accordance with their growing needs of external financing, particularly long-term. The sustainable development agenda that is evolving in Latin America received strong support from CAF. Outstanding in this regard were the activities designed to enhance competitiveness and to support regional integration, particularly through the formation of physical and productive capital. At the same time, CAF expanded its activities aimed at human, natural and social capital formation. In 2003, CAF reinforced its counter-cyclical and catalytic performance as the reliable supplier of resources to the region, with record lending in excess of $3.3 billion.