Tegucigalpa, Honduras, May 24, 2012—IFC,
a member of the World Bank Group, signed its first sustainable-energy-finance
loan in Central America with Honduras’ Banco Atlantida, or Bancatlan.
The loan, with the support of the Government of Canada, will help expand
Bancatlan’s lending operations for financing small-scale renewable-energy,
energy-efficiency, and cleaner-production projects.
The $50 million loan and a parallel IFC advisory
services project, both funded by IFC and the IFC-Canada Climate Change
Program, will provide improved access to cleaner and more reliable sources
of energy and promote economic growth and job creation in the country.
It will also strengthen the bank’s internal capacity to finance sustainable
energy projects in Honduras. These important improvements were made possible
thanks to the government of Canada’s instrumental contribution, which
helped make the financing package viable.
“The Honduran energy sector suffers from
heavy dependence on fossil fuels, which in consequence has a large impact
on the cost of power generation in our country.” said Guillermo Bueso,
Bancatlan’s Executive President and CEO. “Our government and the country’s
private sector have made it a priority to change the energy matrix to renewable
resources, and IFC’s support is a key element to achieving this goal.”
IFC established a relationship with Bancatlan
in 2009, when it provided the bank with a $30 million trade-finance facility
to support import and export activities. IFC subsequently supported Bancatlan
with an advisory-services project on SME finance and risk management to
improve the bank’s effectiveness and financial-service offerings to small
and medium businesses, which lead to increased economic opportunities for
low-income groups in the country.
“IFC’s investment will support Bancatlan’s
long-term funding needs and prepare the bank to become a key regional player
in project finance, focusing on sustainable-energy opportunities,” said
Rashad Kaldany, IFC’s Vice President of Global Industries. “This is also
IFC’s first investment in Latin America with funding from the Canadian
government to promote clean-energy investments.”
About Banco Atlántida
Banco Atlántida, established in 1913, is
the leading company of the largest independent financial group in Honduras,
serving individual consumers as well as small and large enterprises with
a full range of banking and financial products. With the use of innovative
technology and world-class standards, the bank has offered unparalleled
convenience in Honduras during 99 years of service, through the largest
network of branches in the country. For more information, visit www.bancatlan.hn.
About the IFC-Canada Climate Change Program
The IFC-Canada Climate Change Program promotes
private sector financing for clean energy projects. Canada’s financing
to IFC for this program is part of its overall fast-start financing contribution
for 2010–2011. Under the Copenhagen Accord, developed countries committed
to provide fast-start financing of almost $30 billion for 2010–2012 to
support climate-change mitigation and adaptation in developing countries.
As part of Canada’s commitment to support climate change action in developing
countries, Canada is contributing $1.2 billion Canadian dollars in new
and additional climate-change financing over three years (fiscals 2010–2013).
IFC, a member of the World Bank
Group, is the largest global development institution focused on the private
sector in developing countries. We create opportunity for people to escape
poverty and improve their lives. We do so by providing financing to help
businesses employ more people and supply essential services, by mobilizing
capital from others, and by delivering advisory services to ensure sustainable
development. In a time of global economic uncertainty, our new investments
climbed to a record $18 billion in fiscal 2010. For more information, visit