IIC signs the first loan agreement under its streamlined approval financial mechanism in Guatemala

03/06/2011

The Small Business Revolving Line specializes in small, standardized loans

Washington, D.C. - On March 4, 2011, the Inter-American Investment Corporation (IIC) signed its first loan agreement under the Small Business Revolving Line (SBRL) in Guatemala, with Tecnología en Empaque, S.A. (Tecnopak). Tecnopak produces fully recyclable plastic containers and packaging.

This operation seeks to provide Tecnopak with financing to purchase machinery, increase its production capacity, and enter new markets such as southern Mexico and the United States.

"The IIC loan will enable us to expand our supply of products at competitive prices, which will open up new opportunities for us to grow in the domestic market and enable us to boost exports," said Zelik Tenenbaum, Tecnopak’s General Manager.

According to Luisa Mayorga, IIC Technical Associate in charge of the operation, "This operation is expected to have a positive impact on the development of the private sector and benefit Guatemala’s economy. The investment will enable the company to update its machinery and make its internal processes more efficient. As a result, Tecnopak will leverage its production capacity to boost its growth targets, meet the past months’ demand, and penetrate new markets in other countries."

The agreement was signed in Guatemala. Zelik Tenenbaum signed on behalf of Tecnopak and Ligia Salazar, attorney, signed on behalf of the IIC.

The SBRL is offered in The Bahamas, Barbados, Belize, Bolivia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Haiti, Honduras, Jamaica, Nicaragua, Paraguay, Trinidad and Tobago, and Uruguay. It targets private companies operating in the agribusiness, manufacturing, wholesale, retail, service, and construction sectors, as well as any other sector that contributes to the local economy.

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: Luisa Mayorga (in Nicaragua)

Telephone: + (505) 2267-9140

Email: lmayorga@iadb.org