Washington, D.C., July 13, 2009—IFC,
a member of the World Bank Group, will provide a $20 million long-term
financing to Banco Improsa in Costa Rica, to expand access to finance for
local small and medium enterprises and $5 million in guarantees to expand
bank’s capacity to provide trade finance.
Under the terms of the transaction,
half of IFC’s $20 million financing to Banco Improsa could be convertible
into common shares of Grupo Financiero Improsa, the bank’s holding company.
In addition to the financing, Banco
Improsa strengthened its relationship with IFC by joining the Corporation’s
Global Trade Finance Program, which supports trade with emerging markets
by providing risk mitigation through guarantees and expanding banks’ capacity
to provide trade finance. By joining the program, Banco Improsa becomes
a new issuing bank with access to a global network of international bank
Franco Naranjo Jimenez, Banco Improsa’s
General Manager, said, “IFC’s financing and our incorporation to its
Global Trade Finance Program will help us further support SME operations
in Costa Rica, which are an essential engine from economic growth and job
creation in the country. We welcome this partnership with IFC and look
forward to strengthening it in the future.”
Atul Mehta, IFC Director for Latin America
and the Caribbean region, said: “IFC support to Banco Improsa is part
of our strategy to expand access to finance for key productive sectors
in Costa Rica and Central America. We also share Banco Improsa’s vision
about the importance of strengthening the capacity and operations of SMEs
through the services it provides with the Centers of Support and Advisory
Services. We look forward to a long-term relationship with Banco Improsa.”
IFC is expanding operations in Central
America and is increasing its role in the Costa Rican trade finance market
with a focus on SMEs. Since launching the Global Trade Finance Program,
IFC has issued $1.6 billion in guarantees to facilitate trade flows with
Latin America and the Caribbean. .
IFC, a member of the World Bank Group,
creates opportunity for people to escape poverty and improve their lives.
We foster sustainable economic growth in developing countries by supporting
private sector development, mobilizing private capital, and providing advisory
and risk mitigation services to businesses and governments. Our new investments
totaled $16.2 billion in fiscal 2008, a 34 percent increase over the previous
year. For more information, visit www.ifc.org.
About Banco Improsa
Banco Improsa was founded in 1986 as
a financial company and became a bank in 1995. The bank’s focus traditionally
has been on the SME sector, providing a diverse line of banking services,
including factoring, long- term financing, trade finance, and developing
specific products for its clients to strengthen their capacity, such as
the network of “Centros de Apoyo y Asesorķa Pyme (CAAP)” (Centers of
Support and Advisory Services) for SME’s, through which Banco Improsa
offers advice on legal, accounting, taxes and/or investment consulting.
For more information, visit www.improsa.com.