A top banker made a case for mining to Pope Leo XIV, who has seen its impact up close

The President of the Inter-American Development Bank Ilan Goldfajn speaks to the Associated Press during an interview in Rome, Thursday, June 18, 2026. (AP Photo/Domenico Stinellis)2026-06-20T09:50:13Z ROME (AP) — The head of Latin America’s top development bank made a pitch to Pope Leo XIV this week in the face of the Vatican’s call to divest from the mining industry: that the mistakes of the past can be avoided in extracting rare earth minerals to supply a global tech boom. Ilan Goldfajn, head of the Inter-American Development Bank, met privately with the pope on Friday and asserted the potential of rare earth mining, saying it could be a boon to Latin America provided there are safeguards and value is added locally.It’s probably not an easy sell. The Vatican for years has taken a firm stand against multinational mining corporations, especially in Latin America and in favor of the Indigenous peoples, whose lands and livelihoods are often ravaged when mining projects come to town. Goldfajn’s visit, which followed one earlier this year by mining executives, suggests that he recognizes the weight of the pope’s words in the majority-Catholic region, and a desire to sensitize him to the possibility of a better way of doing business. Whether Leo can be swayed is another matter, given his own experience in the region and criticism of the often corrupt deals mining companies ink with governments in the developing world. Pope Leo XIV celebrates the funeral service for late Cardinal Camillo Ruini, in St.Peter’s Basilica at the Vatican, Thursday, June 18, 2026. (AP Photo/Andrew Medichini) Pope Leo XIV celebrates the funeral service for late Cardinal Camillo Ruini, in St.Peter’s Basilica at the Vatican, Thursday, June 18, 2026. (AP Photo/Andrew Medichini) --> Add AP News on Google Add AP News as your preferred source to see more of our stories on Google. --> Share Share Facebook Copy Link copied Print Email X LinkedIn Bluesky Flipboard Pinterest Reddit Read More Countries have identified dozens of minerals, including copper, cobalt, lithium and nickel, as critical because they are essential for new technologies. The 17 rare earth elements are a subset of them. They’re used in a wide range of products, including smartphones, semiconductors, electric vehicles and jet engines. “It’s a unique opportunity for the region, but you need to do it in the right way with the standards, the labor conditions, with the environmental conditions, the governance,” Goldfajn said in an interview in Rome on June 18, one day before his meeting. Read More “We have exactly the tools to do that,” he added, noting the IADB has a roughly $4 billion pipeline of critical mineral projects in the region, mostly in Chile, Argentina and Brazil, and three-quarters of that amount with private companies. He had just delivered a presentation on rare earth minerals at a finance conference, with an eye on potential European investors. A pope who knows PeruMining has a checkered, centuries-long history in Latin America, from forced labor and displacement of Indigenous peoples to deforestation, poisoning of waterways and deadly dam collapses. Foreign companies withdrew much of the wealth from the earth without enriching local populations. In colonial times, silver and gold made its way across the ocean to adorn Catholic churches.Leo, who spent two decades working as a missionary in Peru, would be intimately familiar with the plight of Indigenous peoples in mining areas and the environmental impact of extraction industries on the land. He ministered in Chulucanas, in the archdiocese of Piura, which has huge copper mining projects, and in Trujillo, known for its gold deposits. His final Peruvian posting, Chiclayo, is a big logistical hub for northern Peru’s extraction industries. Sign up for Morning Wire: Our flagship newsletter breaks down the biggest headlines of the day. Email address Sign up By checking this box, you agree to AP's Terms of Use and acknowledge that AP may collect and use your data pursuant to our Privacy Policy. “He must have seen both sides: the promise, the future, but also the challenges,” Goldfajn said of Leo’s time in Peru. He noted that Leo held a private audience with a group of top mining executives in January, which he heard from them had been “very constructive.” The President of the Inter-American Development Bank Ilan Goldfajn speaks to the Associated Press during an interview in Rome, Thursday, June 18, 2026. (AP Photo/Domenico Stinellis) The President of the Inter-American Development Bank Ilan Goldfajn speaks to the Associated Press during an interview in Rome, Thursday, June 18, 2026. (AP Photo/Domenico Stinellis) --> Add AP News on Google Add AP News as your preferred source to see more of our stories on Google. --> Share Share Facebook Copy Link copied Print Email X LinkedIn Bluesky Flipboard Pinterest Reddit Read More But two months later, the Vatican launched