IIC Approved A Joint Debt Facility Of Up To US$60 Million With Compañía Española De Financiacion Del Desarrollo

03/04/2003

WASHINGTON, D.C. - On 3 March 2003, the Board of Directors of the Inter-American Investment Corporation (IIC) approved a joint Debt Facility of up to US$60 million with Compañía Española de Financiación del Desarrollo S.A. (COFIDES) to provide long-term loans to joint venture small and medium-size private companies located in member countries of the region. The joint ventures will be between shareholders from non-regional member countries of the IIC, and those from Latin America or the Caribbean. COFIDES is a Spanish development corporation that contributes to the economic development of emerging and developing countries.

The IIC funds will be used to modernize or expand operations, and to improve efficiency, productivity and competitiveness of these enterprises in the national and international markets. Joint ventures will be operating in the industrial, manufacturing, construction, chemical, tourism, agro-industrial and services sectors, or in an activity that contributes to the generation of foreign exchange. The IIC resources will reach at least six and up to thirty joint ventures of small and medium-size companies through this debt facility.

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: Jorge Zelada/Victor Hugo Moscoso

Telephone: (202) 623-3918

Email: jorgez@iadb.org