IIC Approves Loan To Scotia Leasing Companies In Central America
05/25/2009Increasing Scotia Leasing companies’ liquidity and access to medium-term funding is expected to improve Central American SME access to appropriate sources of financing
Washington, D.C. - On May 26, 2009, the Inter-American Investment Corporation (IIC) approved a loan of up to US$10,000,000 to Scotia Leasing Costa Rica S.A., Scotia Leasing Guatemala S.A., Scotia Leasing Honduras S.A., and Scotia Leasing Panamá S.A.
Scotia Leasing Costa Rica S.A, formerly Arrendadora Interfin S.A., is Costa Rica’s oldest leasing company and the one with the largest market share. It is a subsidiary of The Bank of Nova Scotia, one of North America’s premier financial institutions and Canada’s most international bank. The expertise Scotia Leasing gained in Costa Rica enabled it to operate successfully throughout Central America.
This new loan seeks to provide these leasing companies in Central America with a source of medium-term funding on appropriate terms that they will channel to SMEs in Costa Rica, Guatemala, Honduras, and Panama.
The proceeds will be used to fund projects at up to US$500,000 each. The projects will be structured as financial or operating leasing agreements. It is estimated that some sixty SMEs will benefit from this operation.
The operation is particularly significant because it will provide SMEs with more financing on better terms, in the face of current tight market liquidity.
The IIC is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) 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. In 2008, the IIC reached US$1.5 billion in assets and approved sixty-four operations channeling US$300.5 million to SMEs in the region. The IIC’s mission is to promote the economic development of its regional member countries by encouraging the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size. For more information on the IIC’s activities, please visit www.iic.int.
Contact: Rodrigo Navas
Telephone: (202) 623-3926