Prime Minister Stephen Harper is pushing for greater regional co-operation and better hemispheric trade relations at the Summit of the Americas, pledging $4 billion in loan guarantees for Latin American countries.
Following a similar injection into the International Monetary Fund earlier this year, Harper said on Saturday that loans to the Inter-American Development Bank will help nations in the region get access to credit and build their economies.
"Canada is taking the lead when it comes to ensuring that countries continue to trade during a time of economic contraction," said Harper in a statement. "This has not been done before and is a very significant contribution."
The announcement comes as Harper and 33 other leaders gather in Port of Spain, Trinidad and Tobago, to discuss the economy, the environment and a new approach towards Cuba.
The communist island nation isn't allowed to take part in the Summit, but U.S. President Barack Obama has signaled that he is prepared to change Washington's relationship with its old foe.
Obama has made improving relations with Cuba a top priority of his administration, announcing plans this week to ease restrictions on Cuban Americans, who can now travel and send money to the island nation.
While Obama appears set to push for better ties between the group of nations and Cuba, Harper has said the issue should not dominate the Summit's agenda.
Saturday's schedule of meetings at the Summit will focus on trade, public security and the environment.
Harper also managed to grab some face time with Obama during a short, 10-minute meeting in a back hallway as the two leaders moved between meetings, according to a Harper spokesperson.
The two leaders talked about stimulus packages in their home countries and efforts to create jobs amid ongoing economic problems, Dimitri Soudas said.
After the short meeting, Obama was asked if he was going to take any tips from Canada on improving relations with Cuba, to which he responded: "I take tips from Canada on a lot of things."
Meanwhile, Harper is expected to discuss bilateral free trade agreements with a number of countries at the 34-nation gathering, including Colombia.
Harper has said he considers it "pretty important" to have strong trade relations with the South American country.
The prime minister met separately with Colombian President Alvaro Uribe on Friday, as well as with Mexican President Felipe Calderon.
The gathering is the fifth such Summit of the Americas and could be the last. Many Latin American countries are unenthusiastic about the meetings, some concerned that Cuba is excluded because it is not a democratic nation.
Obama is also using the Summit to improve relations with other Latin American nations, including Venezuela.
On Friday, Obama reached out to Venezuelan President Hugo Chavez, who had a frosty relationship with former president George W. Bush.
The two men smiled and shook hands, but Chavez took an opportunity on Saturday to give Obama a copy of "The Open Veins of Latin America: Five Centuries of the Pillage of a Continent," by Eduardo Galeano.
The book chronicles U.S. and European economic and political influence in Latin America.
When a reporter asked Obama what he thought of the gift, he replied: "I thought it was one of Chavez's books. I was going to give him one of mine."
For his part, Chavez offered praise for the new U.S. president.
"I think President Obama is an intelligent man, compared to the previous U.S. president."
With files from The Canadian Press and The Associated Press
