IIC Support Helps 500 Mexican SMEs Secure Access to Financing
US$25 million loan to Banco Santander (México) S.A. is one in a series of long-term loans that have provided some 110,000 subloans to SMEs in Latin America
Washington, D.C., December 4, 2013 — Thanks to a US$25 million loan approved by the Inter-American Investment Corporation (IIC) for Banco Santander (México) S.A., Institución de Banca Múltiple, Grupo Financiero Santander México, approximately 500 small and medium-sized enterprises (SMEs) will receive access to financing.
The Bank will provide subloans averaging US$80,000 to SMEs with limited access to financing, designed to help them meet their corporate and working capital needs.
“Santander has emerged as Mexico’s leading bank for SME financing. Since September 2013, it has provided loans in this sector to more than 42,000 businesses that generate some 852,000 jobs. This IIC financing is particularly important to us, as it helps strengthen our SME lending program and enables us to offer financing on more competitive terms for this sector, which accounts for 72% of Mexico’s jobs,” noted Juan Pedro Oechsle, deputy general manager of Banco Santander’s consumer and SME credit division.
“The purpose of this IIC operation is to improve access to medium-term financing for Mexican SMEs in all sectors,” added Rita Bettiol, IIC lead investment officer in charge of the operation. “The loan will help further cement and provide continuity to the long-standing relationship between the IIC and Banco Santander and enable the Bank to diversify its sources of funding.”
Banco Santander (Mexico), S.A., is a financial entity of Grupo Financiero Santander México, S.A.B. de C.V. which opened for business in 1958. With more than 1,200 branch offices throughout the country, Banco Santander is Mexico’s leading bank in the SME segment and the country’s third largest financial institution in terms of assets and deposits.
The IIC has a long history of supporting Grupo Financiero Santander México in the region, granting a total of six loans to its subsidiaries in Brazil and Peru since 2004. The proceeds of these loans have financed more than 110,000 subloans to SMEs in the region.
About the IIC
The IIC, a member of the Inter-American Development Bank (IDB) Group, promotes private-sector development in Latin America and the Caribbean with a focus on small and medium-sized enterprises. We help companies streamline management processes and provide them with financing in the form of equity investments, loans, and guarantees, as well as innovative technical assistance, advisory services, and knowledge products. In 2012, the IIC approved more than 70 operations totaling some US$400 million. Since its inception in 1989, the IIC has approved approximately 800 direct loans to SMEs and financial intermediaries, for a total of US$4.8 billion. An additional US$2.8 billion has been mobilized through cofinancing and syndication agreements. For more information on the IIC, visit www.iic.org.
About Grupo Financiero Santander México, S.A.B. de C.V. (NYSE: BSMX BMV: SANMEX)
One of Mexico’s leading financial groups, Grupo Financiero Santander México, S.A.B. de C.V. (Santander México), offers a wide range of financial products and services, including commercial and retail banking, brokerage, financial advisory, and other investment-related services. The Group’s financial services platform is geared to the middle- and high-income segments of the population and medium-sized companies, but the Group also provides integrated financial services to large multinational corporations in Mexico. As of September 30, 2013, the Group had total assets of $8.1 billion and more than 10.6 million clients. Headquartered in Mexico City, Banco Santander operates 991 branch offices and another 238 points of sale throughout the country and has approximately 13,883 employees.
Contact: Rita Bettiol
Telephone: +1 (202) 623-1263 in Washington, D.C