IIC Approves A US$40 Million Regional Program With The Central American Bank For Economic Integration

02/25/2004



WASHINGTON, D.C. - On February 18, the Board of Directors of the Inter-American Investment Corporation (IIC) approved a parallel SME financing program that will provide up to US$40 million with the Central American Bank for Economic Integration (CABEI), a leading regional multilateral bank providing support for economic, social, and institutional development programs in Central America. The IIC will participate with US$20 million. CABEI will participate with the remaining US$20 million.

With this transaction, the IIC seeks to establish a joint direct financing program to provide long-term financing for small-and medium-size private enterprises in Central America. The program will be preferably support export-oriented projects, reaching between 5 and 10 firms, promoting trade for Central American countries, creating between 200 and 300 jobs and generating between US$18 million and US$36 million in foreign exchange savings.
The Inter-American Investment Corporation is a multilateral financial institution that is part of the Inter-American Development Bank Group. It provides financing (in the form of equity investments, loans, securities and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. The IIC's mission is to promote the economic development of its regional borrowing member countries by stimulating 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, visit its Web site at www.iic.int.

Contact: Sotero Arizu

Telephone: (202) 623-3907

Email: soteroa@iadb.org