IIC And NAFIN Will Sign An Agreement For A Guarantee Program For Supply Chain Financing Of Up To US$20 Million
03/04/2003WASHINGTON, D.C. - On 3 March, 2003 the Board of Directors of the Inter-American Investment Corporation (IIC) approved a $20 million guarantee program for supply chain financing with Nacional Financiera S.N.C. (NAFIN), Mexico's largest development bank and leader in providing financing to small enterprises that supply goods and services to public sector agencies and first-tier companies. The Program will channel resources of up to US$200,000 to small suppliers of first-tier companies operating in a variety of productive sectors throughout the country, thereby benefiting enterprises that generate employment and produce goods that are essential for the economy in a number of regions of Mexico.
It is expected that the Guarantee Program will reach between 500 and 800 beneficiaries throughout its projected seven-year life. Accordingly, it is expected that the proposed project will contribute to the creation of some 2,500 to 4,000 jobs, in addition to generating annual export revenue valued at between US$15 million and US$25 million and contributing between US$100 million and US$150 million annually to the region's GDP.
The Inter-American Investment Corporation is a multilateral financial institution that is part of the Inter-American Development Bank Group. It provides financing (in the form of equity investments, loans, guarantees, and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. The IIC's mission is to promote the economic development of its regional borrowing member countries by stimulating the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size.
Contact: Sotero Arizu
Telephone: (202) 623-3907