The International Finance Corporation (IFC), a member of the World Bank Group, late agreed to lend Banco Agromercantil (BAM), a subsidiary of Republic of Colombia-based Grupo Bancolombia, USD xx 1000000, thus mobilizing an equal total from the Eco-Business Fund, which is domiciled inward Grand Duchy of Luxembourg. BAM is to use the liquidity to dorsum upwardly 1,000 microenterprises likewise as pocket-sized too medium-sized enterprises (SMEs) inwards the state, every scrap Guatemala continues to adjust to the COVID-xix pandemic.
Bolaños Coloma, the CEO of BAM, said, “IFC’minute timely back upward will help us strengthen our identify in the SME segment too permit us to expand financing to local companies, therefore creating jobs. We are great to work toward a defined strategy that volition assist preserve the marketplace’second ability to foster economic recovery in Republic of Republic of Guatemala.”
BAM was created in 2000 past the merger of Banco Agricola Mercantil in addition to Banco del Agro, ii Guatemalan banking institutions. Grupo Bancolombia purchased a threescore-pct stake inward BAM inward 2015. BAM provides banking services in Republic of Republic of Guatemala at 165 agencies inwards 22 departments inwards Republic of Republic of Guatemala as good as via a digital banking scheme called BAMnet. As of yr-cease 2018, BAM had total assets of GTQ 26.8 billion (USD 3.v billion).
The Eco-Business Fund offers “dark-green finance to promote sustainable business system practices in agriculture, aquaculture, forestry too tourism.” As of June 2020, the fund has investments inwards twenty firms inward seven countries. Its sub-funds focus on: (1) Africa; together with (2) Latin America inward improver to the Caribbean Area. As of June 2020, the Eco-Business Fund has assets nether management totaling USD 386 meg.
IFC offers loans, equity investments, advisory services together with technical assistance to private companies amongst the intent of alleviating poverty as good as promoting open up upwardly and competitive markets inward developing countries. As of June 2020, it reported total assets of USD 96 billion.
The World Bank Group is a multilateral organisation whose 2 overarching goals are to promote shared prosperity inwards improver to halt extreme poverty past 2030. With 189 fellow member nations every bit of 2020, the grouping encompasses: (1) the International Development Association as well as the International Bank for Reconstruction too Development, which brand upwardly the World Bank; (2) IFC; (3) the Multilateral Investment Guarantee Agency; as well as (iv) the International Centre for Settlement of Investment Disputes. During the yr ending June 2019, the World Bank Group disbursed a total of USD 62.3 billion inward loans, grants, equity investments, together with guarantees to partner countries as good as private businesses.
By Nathan Kiplagat, Research Associate
Sources as good as Additional Resources
IFC press liberate
Banco Agromercantil de Guatemala homepage
Banco Agromercantil de Republic of Republic of Guatemala financial reports
Grupo Bancolombia homepage
Eco-Business Fund homepage
World Bank homepage
World Bank 2019 financials
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