IIC Approves Loan of US$6 Million to Develop Telecommunications Sector in Ecuador
Washington, D.C., May 14, 2015 — The Inter-American Investment Corporation (IIC) has approved a loan of up to US$6 million to Telconet S.A. for investment in fixed assets to help increase broadband capacity in its domestic market and its international connections, to expand its line of value-added products, and to develop special projects for public- and private-sector companies.
“With this loan, the IIC is supporting the expansion of telecommunications not only within Ecuador but between Ecuador and other countries through a new international connection using the latest fiber-optic technology. This will help expand the productive sectors, commerce, education, technology, and innovation,” said Javier Hernández, the IIC lead investment officer in charge of the operation. “The project will also help increase internet use in homes, universities, and small, medium-sized, and large enterprises; it will expand the capacity to send information; and it will enable access to more applications, information, and uses of information technology.”
As part of this commercial relationship, Telconet has benefited from the programs the IIC offers to strengthen the corporate governance of family businesses. Telconet is a telecommunications service provider in Ecuador; its services include fiber optic broadband, dedicated internet access, dedicated point-to-point data transmission, and value-added services such as data storage and processing (cloud computing). Telconet is headquartered in Guayaquil and was established in 1995 as a company providing internet and data transmission services.
About the IIC
The IIC, a member of the Inter-American Development Bank (IDB) Group, promotes private-sector development in Latin America and the Caribbean with a focus on small and medium-sized enterprises (SMEs). The Corporation provides companies with financing in the form of equity investments, loans, and guarantees, as well as with technical assistance, advisory services, and knowledge products. In 2014, the IIC approved 64 operations totaling $426.3 million. Since its inception, the IIC has approved more than 920 equity and loan investments in small and medium-sized enterprises (SMEs) and financial intermediaries totaling US$5.63 billion. An additional $3.7 billion has been mobilized through cofinancing and syndication agreements. For additional information on the IIC, visit www.iic.org.
Contact: Javier Hernández
Telephone: +1 (202) 623-3992