Banco Uno is the sixth largest bank in El Salvador and one of the largest in terms of credit card loans, its principal market niche. It provides financing chiefly to the low- and medium-income segments of the population and was the first bank in El Salvador to offer credit cards to lower-income individuals. It is part of Grupo Financiero Uno, which operates financial institutions in Central America and Panama. Banco Uno has a program under way with the IDB’s MIF to develop the technology and systems necessary for microlending. The IIC senior loan will complement this program by providing resources to increase financing for microenterprises and small businesses in El Salvador that need funds for working capital or to finance the acquisition of equipment, machinery, and other fixed assets. The subordinated loan will be used to enhance the bank’s capital and enable it to grow its portfolio. The loans will enable Banco Uno to support a pilot program that is part of its strategy for deepening and enhancing its lines of business to offset the increased competition it expects to face as new foreign players position themselves strategically in the credit card segment. Grupo Financiero Uno plans to extend the pilot program, which has MIF and IIC participation and support, to other Central American banks once the pilot plan systems are up and running successfully.