IIC Supports MSMEs in El Salvador
US$500,000 loan to Pentágono S.A. de C.V. to finance 130 factoring operations
San Salvador, El Salvador, January 31, 2014 — The Inter-American Investment Corporation (IIC) has approved a loan of up to US$500,000 to Pentágono S.A. de C.V. Pentágono will use the proceeds of the loan to provide funding, through factoring operations, to micro, small, and medium-sized enterprises (MSMEs) in El Salvador for their working capital, modernization, and expansion needs.
“The greatest obstacle to an MSME’s growth and prosperity is finding a partner to believe in the business and provide it with immediate liquidity. We have every confidence that the IIC’s support will directly benefit MSMEs, offering them access to the credit they need to grow,” noted Guillermo Saca, CEO of Pentágono.
“The IIC is supporting Pentágono in its commitment to promoting the development of MSMEs in El Salvador by increasing their access to the credit they need to stimulate their growth and contribute to the local economy,” added Michael Apel, IIC lead investment officer in charge of the operation.
Pentágono is a financial institution that has been operating in the Salvadoran market for the past 15 years. It offers factoring operations to more than 900 MSMEs. As part of its commitment to corporate social responsibility, Pentágono has educational programs for its employees and supports organizations that provide job training to residents of underserved rural areas.
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, 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 IIC activities, visit www.iic.org.
Contact: Michael C. Apel
Telephone: +1 (202) 623-2521 in Washington, D.C.