IIC Signs Loan Agreement With Banco Bilbao Vizcaya Argentaria In Paraguay
06/17/2008The financing provided by the IIC will directly benefit at least 210 SMEs in Paraguay, where demand for long-term loans is high
Asunción, Paraguay - On June 18, 2008, the Inter-American Investment Corporation (IIC) and Banco Bilbao Vizcaya Argentaria Paraguay S.A. (BBVA Paraguay) signed a loan agreement for up to US$42 million comprising an A loan of up to US$12 million funded by the IIC and a B loan of up to US$30 million funded by other participating financial institutions. BBVA Paraguay is one of Paraguay’s leading banks; it focuses on the agricultural and livestock sectors and has been operating in the small and medium-size enterprise (SME) market since 2006.
According to Carlos Roa, IIC Financial Institutions and Structured Finance Coordinator, "These SMEs need financing alternatives to properly fund their operations, which will help them increase their production capacity and improve their ability to compete internationally. Long-term financing is limited in Paraguay. This is BBVA Paraguay's first operation with a multilateral institution; the operation's success should encourage other international institutions to work with this and other banks in Paraguay."
Vicente Bogliolo, CEO, and Fernando Rodríguez, Director, signed for BBVA Paraguay, and stated: "We trust that this loan we are signing today will be the beginning of a long-term relationship with multilateral institutions that will further the sustainable development of SMEs in Paraguay and thereby continue creating value in a different way. BBVA is Paraguay’s leading bank, and we believe that agreements such as this one, along with others already in place, will allow us to continue at the forefront and become the reference point for all market segments." Santiago Cat, Investment Officer in charge of the operation, signed for the IIC.
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: Santiago Cat (in Uruguay)
Telephone: + (598) 2915-3696