US$200,000 Loan to Support Bolivia’s Banana Sector
Credit will help Bolibanana boost production by 30 percent in the dry season
Santa Cruz de la Sierra, Bolivia, November 7, 2012 — The Inter-American Investment Corporation (IIC) and Bolibanana S.R.L. have signed a loan agreement for up to US$200,000 to enable the Bolivian company to boost its banana production.
The loan, under the FINPYME Credit program, will finance the procurement of an irrigation system for the company’s banana plantation. This will increase productivity, especially during the dry season, when yields usually fall by 60 percent. Thanks to irrigation, some 50 percent of this loss will be recovered.
“The resources from the IIC will enable us to invest in irrigation technology to boost our productivity, putting us on a level playing field with many other companies in the marketplace,” noted Víctor Eid, partner and legal representative of Bolibanana. “Irrigation is a key tool that will make us more competitive and enable us to take action and make decisions as conditions in the field dictate.”
Cristina Paredes, IIC investment associate in charge of the project, added, “The IIC is proud to lend its support and assistance to small and medium-sized Bolivian enterprises for development purposes, providing Bolibanana with financial tools to increase its production and boost its competitiveness, both domestically and internationally.”
Bolibanana grows, processes, packages, and sells bananas to the domestic and international market. Established in 2001, the company produces bananas on a 120-hectare plantation in Cochabamba, located in Bolivia's tropical zone.
Through working capital and investments in fixed assets, FINPYME Credit supports SMEs in Latin America and the Caribbean that are seeking to increase their sales. The program’s loans range from US$100,000 to US$600,000 and are available to businesses from different productive sectors.
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 (SMEs). We help companies streamline management processes and provide them with financing in the form of equity investments, loans, and guarantees. In 2011, the IIC reached the symbolic one-billion-dollar mark in disbursements of own and third-party funds. Throughout our history, we have benefited more than 1.6 million SMEs in Latin America and the Caribbean. For more information on the IIC’s activities, visit www.iic.org.
Contact: Cristina Paredes
Email: +595 (21) 616 2320