IIC Approves US$1.0 Million Loan To Enconfianza S.A. De C.V. Sofom E.N.R. In Mexico

10/12/2009

The loan comprises two tranches of US$500,000 each

Washington, D.C. - On October 13, 2009, the Inter-American Investment Corporation (IIC) approved a US$1 million loan to EnConfianza S.A. de C.V. SOFOM E.N.R., under the IFEM program. EnConfianza makes loans to Mexican microentrepreneurs. The IFEM program provides financing to specialized financial institutions in Mexico, including sofoles, sofomes, leasing companies, and credit unions.

The operation seeks to provide EnConfianza with funding that can be channeled to eligible projects in Mexico. The subloans granted by EnConfianza will be for up to US$50,000, depending on the type of client.

"Support and confidence from an organization such as the Inter-American Investment Corporation, which is a member of the Inter-American Development Bank Group, are a testament to EnConfianza’s shareholders and the decision they made, a little over two years ago, to risk their assets to start building an institution that is working to help make a better Mexico. The IIC loan is also an acknowledgement of the EnConfianza team and other Mexican financial organizations that believed in the company. Providing financing to support the productive activities of micro and small enterprises in Mexico in the midst of the worldwide financial crisis tells our country’s businesspeople and entrepreneurs that we can do it and that it is up to all of us to support our country’s development. EnConfianza is especially grateful to the IIC for its confidence in us," said Mauricio Hubard, EnConfianza’s president.

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

Email: rodrigon@iadb.org