IIC continues to support the SME sector in Chile

05/22/2011

Washington, D.C. - On May 20, 2011, the Inter-American Investment Corporation (IIC) approved a loan of up to US$7 million to Factotal S.A. in Chile. This medium-term financing aims to support Factotal's lending to SMEs through factoring and leasing services. This is the IIC’s second operation with Factotal; the previous one benefitted approximately 400 SMEs.

According to Piedad Acuña, IIC Investment Officer in charge of the operation, "This operation seeks to strengthen the existing relationship between the IIC and Factotal, as SMEs comprise the target market of both institutions. The fast and straightforward nature of factoring transactions makes them effective vehicles for providing financing to SMEs, enabling them to carry out their growth strategies, and leasing services help them finance their productive assets."

About Factotal S.A.

Established in 1993, Factotal S.A. is a leading factoring institution in Chile. Since its creation, it has focused on generating working capital for SMEs in a variety of productive sectors through its network of 17 branches covering most of Chile. It also provides financing through leasing operations, facilitating SME access to productive goods such as machinery and freight vehicles. For more information about Factotal S.A., visit www.factotal.cl.

About the IIC

The IIC is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) Group. 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. It does so by providing 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 2010, the IIC reached US$1.4 billion in assets and approved forty-nine operations channeling US$374.8 million to SMEs in the region. For more information on the IIC’s activities, please visit www.iic.int.

Contact: Piedad Acuña (in Colombia)

Telephone: + (571) 325-7055

Email: piedada@iadb.org