São Paulo, Brazil, June 19, 2017 — IFC,
a member of the World Bank Group, is investing $81.2 million in Banco Industrial
do Brasil (BIB), a Brazilian medium-sized bank focused on providing credit
to small and medium enterprises (SMEs), to help expand access to finance
for a sector that is critical to Brazil’s economic growth. The investment
is particularly supporting women’s entrepreneurship, as at least 25% of
the total amount of the financing will be directed to women-owned enterprises.
IFC’s financing is comprised of a 5-year $26.7 million loan on IFC’s
own account, and a 2-year $34.5 syndicated loan, which lenders are: responsAbility
Investments AG, Commerzbank AG, Itaú BBA International plc, and Sunstate
Bank. The financing package also includes a 5-year $20 million loan through
the IFC Managed Co-Lending Portfolio Program, a syndications platform that
offers institutional investors the ability to passively participate in
IFC’s future senior loan portfolio.
“We at BIB feel honored with our partnership with IFC, established more
than 10 years ago. It demonstrates their confidence in our management and
strategy,” comments Eduardo Guimarães, BIB Chief Financial Officer.
“IFC is pleased to partner with Banco Industrial do Brasil once again,”
says Ramiro Garcia, IFC’s Head of Financial Institutions Group for
Brazil and the Southern Cone. “Expanding access to finance for SMEs
is a priority of IFC’s strategy in Brazil due to that sector’s enormous
potential to spur economic growth and job creation,” he adds.
SMEs play a key role in Brazil’s economy as they represent about 99% of
the country’s formal enterprises, accounting for 52% of the total formal
employment and 27% of Brazil’s Gross Domestic Product (GDP). A World Bank
Enterprise Survey shows that women-owned businesses represent half of the
registered SMEs in the country. However, nearly half of these enterprises
identify access to, or cost of, finance as a major constraint in operating
their businesses, resulting in an estimated $ 45 billion potential credit
The loan is connected to the Women Entrepreneurs Opportunity Facility (WEOF),
a global facility dedicated to expanding access to capital for women entrepreneurs.
The WEOF was launched in 2014 as a partnership between IFC’s Banking on
Women program and the Goldman Sachs 10,000 Women initiative to radically
expand access to finance for women-owned businesses. Since then, it has
made over $700 million in commitments to financial institutions in 14 countries
to spur lending to women entrepreneurs.
“Access to capital is a major obstacle to growth for women entrepreneurs,”
said Lisa MacDougall, Vice President and Global Head of Goldman Sachs 10,000
Women. “Goldman Sachs research shows that closing this gender credit gap
could increase income per capita by up to 28% in Brazil by 2030. This new
commitment will place more capital in the hands of women entrepreneurs
in Brazil who will drive future economic growth and job creation.”
IFC’s Banking on Women program is playing a catalytic role in helping
financial institutions meet the needs of women entrepreneurs in a sustainable
and profitable way. The program has committed 46 investments globally,
totaling around $1.4 billion, and undertaken 33 advisory projects since
its launch in 2010.
About Banco Industrial do Brasil (BIB)
Banco Industrial do Brasil is a privately-owned bank established in 1994
through the acquisition of Banco Santista (Bunge Group). With 263 employees,
BIB is headquartered in São Paulo and specialized in the financing for
SMEs. BIB seeks to establish long-term relationships with its customers,
ensuring a deep knowledge of their needs and agility to meet their demands.
It also prioritizes the high quality of its loan portfolio by adopting
a conservative credit policy. For further information, visit www.bancoindustrial.com.br.
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in emerging markets. Working
with more than 2,000 businesses worldwide, we use our capital, expertise,
and influence to create markets and opportunities in the toughest areas
of the world. In FY16, we delivered a record $19 billion in long-term financing
for developing countries, leveraging the power of the private sector to
help end poverty and boost shared prosperity. For more information, visit