IIC Approved A $10 Million Equity Investment In Banco Del Desarollo To Further The Growth And Development Of The Chilean Economy

03/13/2001

WASHINGTON, D.C. - On March 12, 2001, the Board of Directors of the Inter-American Investment Corporation (IIC)1 approved an equity investment of US$10 million in Banco del Desarrollo in Chile, a leading Chilean commercial bank with a long history of successfully financing small and medium-scale enterprises. The purpose of this equity investment is to expand Banco del Desarrollo's reach, gaining a significant market share in regions other than the Santiago metropolitan area, and to improve the use of its installed capacity by investing in reengineering.

This investment will enable Banco del Desarrollo to fund its growth and bring a significant number of companies into the banking system. Small and medium-size companies will thus have available the financing that will enable them to increase their productive efficiency. Around 470,000 workers will maintain stable sources of employment thanks to the new funding that Banco del Desarrollo will channel to small and medium-size companies.

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1 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. The IIC has thirty-seven member countries: twenty-six in Latin America and the Caribbean and eight in Europe, plus the United States, Japan, and Israel. For further information on IIC's activities please contact Mr. Jorge Roldán at 202-623-3948.

Contact: Jorge Roldán

Telephone: (202) 623-3948

Email: jorgero@iadb.org