IIC Signs Second Loan In The Caribbean Under Its Small Business Revolving Line

10/26/2008



The loan will provide working capital for an SME in Jamaica

Kingston, Jamaica - On October 24, 2008, the Inter-American Investment Corporation (IIC) signed a US$170,000 loan agreement in Jamaica with Horace Holding Ltd., a company dedicated to the production of high quality lithography and custom printing. As an added value, the company also provides technical support to its customers in solving their needs for printed items, school and general supplies and stationery requirements.

The loan proceeds will be used for the acquisition of raw materials in bulk in order to obtain volume discounts so that competitive prices can be passed on to wholesalers and consumers. This will allow the company to keep operating costs under control and improve its profitability.

This operation arose from an agreement between the IIC and ICWI Investments (ICWI), a member of the ICWI Group, to act as the IIC’s agent in Bahamas, Barbados, and Jamaica to identify and evaluate small and medium-size enterprises that are eligible for direct financing under the Small Business Revolving Line (SBRL). The agreement was made possible by funding that the IIC received from the Korea-IIC SME Development Trust Fund.

The SBRL is a financial product that enables the IIC to offer standardized small loans to eligible small enterprises under an expedited approval process. It is currently offered in Bahamas, Barbados, Bolivia, Costa Rica, Dominican Republic, Guyana, Haiti, Honduras, Jamaica, Nicaragua, Paraguay, Suriname, Trinidad and Tobago, and Uruguay. The SBRL 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.

Johnny Jirón, IIC Investment Officer in charge of the operation stated: "It pleases me to witness yet another example of the SBRL becoming the key source of financing for this small and viable Jamaican company with a real growth potential."

Contact: Johnny Jirón (in Nicaragua)

Telephone: + (505) 267-0831

Email: johnnyj@iadb.org