IIC Signs Memorandum of Understanding for Debt Facility of up to US$60 Million with COFIDES

03/24/2003

Signing ceremony
MILAN, ITALY –The Inter-American Investment Corporation (IIC) today signed a memorandum of understanding for a joint debt facility of up to US$60 million with Compañía Española de Financiación del Desarrollo S.A. (COFIDES) to provide long-term loans to joint venture small and medium-size private companies located in IIC Latin American and Caribbean member countries. The joint ventures will be between shareholders from nonregional member countries of the IIC, and those from Latin America or the Caribbean. COFIDES is a Spanish development corporation that contributes to the economic development of emerging and developing countries.

The signing ceremony was held at the Fiera Milano Congressi Centre in Milan during the Annual Meetings of the Board of Governors of the Inter-American Development Bank and the Inter-American Investment Corporation. The memorandum of understanding was signed by Mr. José Gasset Loring, President of COFIDES, and Mr. Jacques Rogozinski, General Manager of the IIC.

The IIC funds will be used to modernize or expand operations, and to improve efficiency, productivity and competitiveness of these enterprises in the national and international markets. Joint ventures will be operating in the industrial, manufacturing, construction, chemical, tourism, agribusiness, and services sectors, or in an activity that contributes to the generation of foreign exchange. It is expected that the IIC resources will reach at least six and up to thirty joint ventures of small and medium-size companies through this debt facility.

The Inter-American Investment Corporation is a multilateral financial institution that is part of the Inter-American Development Bank 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. The IIC’s mission is to promote the economic development of its regional borrowing member countries by stimulating the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size.

Contact: Jacques Rogozinski

Telephone: (202) 623-3901

Email: sylviasz@iadb.org