IIC Provides Trade And Working Capital Finance To Ecuadorian SMEs Via A Loan To Banco De Guayaquil S.A.
10/02/2006Washington, D.C. On October 3, 2006, the Inter-American Investment Corporation (IIC) approved a long-term loan for up to US$6 million to Banco de Guayaquil S.A. for on-lending to companies in the export, trade, manufacturing, and service sectors in need of financing for trade operations, working capital, and the acquisition of fixed assets.
Banco de Guayaquil S.A. is Ecuador's second-largest private commercial bank; it has offices in the nation's thirty-four largest cities and more than 1,608 ATMs. The loan will make medium and short-term financing available to SMEs in Ecuador. Access to appropriate sources of funding will benefit between twenty and twenty-five SMEs that will be able to acquire capital goods and thus become more competitive and efficient.
According to Euvenia Touriz, Banco Guayaquil's International Division, "Long-term credit lines like this benefit Ecuador. Banco de Guayaquil S.A., Ecuador´s second largest bank, will benefit especially as it will be able to strengthen Ecuador's SME sector and step up microlending." As of December 31, 2005, the IIC had approved US$81.28 million and disbursed US$48.50 million in Ecuador. At the end of September 2006, the IIC's active portfolio in Ecuador comprised ten transactions totaling US$47.950 million.
The Inter-American Investment Corporation is a multilateral financial institution that is a member of the Inter-American Development Bank Group (IDB). 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. The IIC's mission is to promote the economic development of its regional 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, please visit www.iic.int.
Contact: Rita Bettiol (in Washington D.C.)
Telephone: (202) 623-3913