IIC Loan To Comercial Kywi S.A. Supports Demand For Local And Regional Products In Ecuador
11/24/2008With this operation, Comercial Kywi is expected to generate 220 jobs between 2009 and 2012
Washington, D.C. – The Inter-American Investment Corporation (IIC) approved a loan of up to US$6,000,000 to Comercial Kywi S.A., the leading company in Ecuador in the field of hardware and intermediate products for the construction industry. Comercial Kywi is part of the Corporación Favorita group in Ecuador.
More than 50% of the products the company sells are sourced in Ecuador and in Andean region countries. Comercial Kywi promotes production among SMEs and construction artisans through fairs and purchasing programs. A high percentage of its suppliers are SMEs and artisans; together, they account for 25% of Kywi's purchases.
The IIC loan will be used to finance permanent working capital requirements and open new stores in regions in Ecuador where Comercial Kywi does not yet have a local presence. This is the IIC's second loan to the Corporación Favorita group in Ecuador; the loan will help strengthen the company's financial position in the current climate of declining liquidity in international financial markets.
The Inter-American Investment Corporation 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 2007, the IIC reached US$1.2 billion in assets and approved 62 transactions channeling US$470 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: Javier Hernández (in Washington D.C.)
Telephone: (202) 623-3992