IIC Approves Loan Of Up To US$15,000,000 To Vale Do Paraná, S.A. In Brazil
08/04/2008The IIC loan will further exports and job creation in northwestern São Paulo state
Washington, D.C. - On August 5, 2008, the Inter-American Investment Corporation (IIC) approved a loan to Vale do Paraná, S.A. - Álcool e Açúcar (VdP), which grows sugar cane and processes and markets raw sugar and hydrated alcohol. VdP is located in Suzanápolis, a rural area of the state of São Paulo.
VdP will use the loan proceeds to build a state-of-the-art sugar mill for producing and marketing fuel ethanol and raw sugar. The project is in response to demand for alternative sources of energy, both in Brazil and around the world.
Building a sugar mill with state-of-the-art technology is expected to optimize the use of production resources.
"The IIC will be furthering the development of this industry, which is strategic for Brazil, by providing access to long-term funding during a worldwide liquidity crisis when access to credit—especially long-term credit—is limited," explained Javier Barsantini, IIC investment officer in charge of the operation.
This operation is also expected to spur both the creation and the diversification of jobs in this eminently agricultural region where opportunities for employment are few.
The Inter-American Investment Corporation 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 2007, the IIC reached US$1.2 billion in assets and approved 62 transactions channeling US$470 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.
Comunicado à imprensa
Contact: Javier Barsantini (in Chile)
Telephone: + (562) 431-3713