IIC Approves Loan of US$6 million to Support Agriculture Sector in Paraguay
Operation with the agriculture sector will benefit close to 80 small and medium-sized farms and cooperatives throughout the country
Washington, D.C., December 15, 2015 — The Inter-American Investment Corporation (IIC) approved a loan of up to US$6 million to Agrofértil S.A. to strengthen its operations and increase the productivity of the small and medium-sized farms in its value chain that are located throughout the country.
This is the IIC's fourth operation with Agrofértil. Previous operations supported the company with working capital, investments in fixed assets, and investments to improve protection of the environment and the product quality of the farms and cooperatives that support it.
“With this loan, the IIC supports the growth of an agricultural company in a high-value sector while at the same time supporting farms by helping them improve productivity and competitiveness. It is estimated that with the IIC financing, Agrofértil will sell inputs to small and medium-sized farms and cooperatives in its value chain, which is made up of 1,863 SMEs in Paraguay,” said Santiago Cat, the IIC senior investment officer in charge of the operation.
Agrofértil leads the agricultural inputs distribution market in Paraguay. It focuses on purchasing grain locally for export and providing local farms with agronomy services. It complements this commercial activity by growing grain on its own land in Paraguay.
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 innovative knowledge products. In 2014, the IIC approved 64 operations totaling $426.3 million. Since its inception, the IIC has approved more than 920 loan and equity investments for SMEs and financial intermediaries, for a total of US$5.63 billion. An additional $3.7 billion has been mobilized through cofinancing and syndication agreements. For additional information on the IIC's activities, visit www.iic.org.
Contact: Santiago Cat
Email: +598-2915-4110 in Uruguay