Banco de América Central, S.A.
BAC ES is one of the leading commercial banks in El Salvador. It offers a full range of financial services to both businesses and individuals. It belongs to the BAC Credomatic group, one of the largest banking conglomerates in Central America, and it is owned by Grupo Aval, the largest financial group in Colombia.
The objective of this IIC project is to support BAC ES’s lending activities and partially finance the growth of its portfolio of small and medium-sized enterprises.
Environmental and Labor Issues:
This is a category FI-3 project according to the IIC’s Environmental and Social Sustainability Policy because of the low risk of the subprojects in the financial intermediary’s current or future portfolio. BAC ES has implemented an Environmental and Social Management System (ESMS) that includes a policy and a procedures manual for reviewing and assessing the environmental and social risk of its credit transactions. They have been approved by the institution’s senior leadership. BAC ES’s ESMS was implemented pursuant to the guidelines of the environmental management system established by Grupo BAC Credomatic. This system was set up based on ISO 14001 standards under the group’s corporate social responsibility program. Also, a number of banks that form part of Grupo BAC Credomatic have received IIC training through its Environmental Management of Environmental Risks workshops (part of the Sustainability Week held annually by the IIC).
BAC ES will be required to ensure that activities financed with IIC funds are not included on the IIC’s list of excluded activities and that they comply with national environmental and occupational safety standards. BAC ES must also submit annual environmental reports to the IIC indicating the progress made and problems encountered in the implementation of these practices.