33272 - Project Martina

Who We Are
Who We Are

IFC is the largest global development institution focused on the private sector in developing countries. By encouraging growth, IFC advances economic development, creates jobs and improves the lives of people.
More About Us
About IFC

Our Leadership

Development Partners
Accountability

Learn more about accountability
Annual Report

Download the Report
What We Do
What We Do

IFC advances economic development and improves the lives of people by encouraging the growth of the private sector in developing countries. We achieve this by investing in impactful projects, mobilizing other investors, and sharing expertise.
What We Do Overview
SOLUTIONS

Our products and services
OUR PRIORITIES

Climate Business

Fragile & Conflict Afflicted Situations

Gender

Mobilizing Private Capital

Sustainability
SECTORS & EXPERTISE

Agribusiness & Forestry

Creative Industries

Education

Financial Institutions

Funds

Health

Infrastructure

Manufacturing

Public-Private Partnerships

Tourism, Retail & Property

Trade & Supply Chain Finance

Venture Capital

Working Upstream
Where We Work
Where We Work

As the largest global development institution focused on the private sector, IFC operates in more than 100 countries around the globe. We apply lessons learned in one region to solve problems in another.
Overview
By Region

Africa

East Asia and Pacific

Europe

Latin America and the Caribbean

Middle East and Central Asia

South Asia
Our Impact
Our Impact

Our impact improves lives. IFC brings a clear set of advantages to the world’s most challenging markets. Including a history of innovation, a global mandate, and a determination to achieve measurable development impact.
Our Impact Overview
PRINCIPLES & MEASUREMENT

Impact Investing at IFC

Measuring and Monitoring (AIMM)

Evaluation

Sustainable Development Goals (SDGs)

Owned by 186 member countries and consistently rated AAA/Aaa. IFC aims to achieve our mission of promoting development by providing debt and equity to the private sector, through a range of benchmark and bespoke products.

For Partners

For Investors

Get in Touch

Summary of Investment Information

Project Number

33272

Company Name

BANCO INTERNACIONAL SA

Date SPI Disclosed

Apr 30, 2013

Country

Chile

Region

Latin America and the Caribbean

Projected Board Date

Jun 3, 2013

Environmental Category

FI-2 - Limited

Status

Completed

Last Updated Date

Jun 12, 2021

Department

Regional Industry - FIG LAC

Industry

Financial Markets

Previous Events

Approved : Jun 10, 2013
Signed : Jul 24, 2013
Invested : Dec 16, 2013

Sector

Commercial Banking - SME Finance

Project Description

The proposed project involves supporting Banco Internacional (the “Bank” or “BI”) in establishing its agribusiness business unit to originate an SME focused agribusiness portfolio and support the development of a women-owned SME portfolio - high priority segments for IFC (the “Project”).

The Project will provide dedicated Agri-SME and gender funding to BI, enabling it to increase its lending activities in the agricultural sector and develop its women-owned SME portfolio. In addition, the Project is expected to have a high development impact by helping an IFC existing client increase the range of financial products available to Chilean Agri-SMEs and farmers as well as women entrepreneurs.

Sponsor / Cost / Location

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	30.0
Equity

Development Impact

The proposed transaction is expected to generate the following development impacts:
- Increase the access to long term finance to farmers, Agri-SMEs and women-owned SMEs, which is highly needed in order for them to undertake capital investments;
- Contribute to strengthen the food supply chain, job creation, productivity increase and rural economic development;
- The proposed transaction would contribute to the formalization of Agri-SMEs and women-owned SMEs in the country as it will be a clear demonstration of the additional benefits such as having access to long-term financing at adequate terms in line with the business needs;
- BI will comply with IFC''s E&S requirements and exclusion list in its underwriting process.

- IFC will provide long term funding in terms and conditions currently not available in the market;
- The proposed transaction would support BI''s initiative to diversify its borrowing base, improving its risk management.
- IFC will support a local bank to establish its agribusiness finance department and develop its women-owned SME portfolio in line with the financing best practices for the sectors.
- IFC will help the Bank to frame an uniform and systematic approach to E&S agri-financing issues.

E&S Category Rationale / Risks and Mitigation

The proposed project involves the support a Chilean Bank to enhance access to finance for Agri-SMEs and Women-owned small and medium enterprises. Potential portfolio includes the support to activities of medium E&S risk. In the gender inclusion component, expected portfolio is mostly comprised of low E&S risk activities, such as services and retail operations. As part of the proposed investment, the Bank will be required to develop an ESMS to screen Agri-SME and Gender Inclusion projects against the IFC Exclusion List and the Chilean Environmental and Social legislation. The system should guarantee close monitoring of key risks and development action plans reflected in legal documentation.

The main E&S risks and impacts related to the Project derive both from the bank’s capacity to implement and maintain an ESMS to manage E&S risks as well as to maintain practices with regard to labor and working conditions. Currently the Bank does not count with a formal E&S management System or trained staff. Risk Management procedures include legal compliance screening. Key impacts may include poor land use practices, water-rights issues, and effectiveness of quota systems for fishing, aquiculture practices and potential cumulative impacts. Mitigants comprise of recent strengthening of Chilean legal framework for agribusiness, especially production for export purposes such as the ones to be supported by the Agri component of the project.

Contacts

For Inquiries About the Project, Contact

Patricio Aros Monsalve
Vice President & Head
Banco Internacional
Moneda 818, Santiago, Chile
Phone: (+5622) 369-7493
mailto:paros@bancointernacional.cl

For Inquiries and Comments About IFC, Contact

General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster

IFC supports its clients in addressing environmental and social issues arising from their business activities by requiring its real sector clients to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities in relation to environmental and social issues arising from IFC's clients' business activities. Since 2012, IFC's Financial Intermediary clients applying the Performance Standards are required to develop External Communications Mechanisms to receive and review inquiries or complaints from any interested party regarding the E&S risks and impacts of their operations.

For IFC projects that are active or under consideration, individual(s), or their authorized representative(s), who allege they have been or will be adversely affected by E&S risks or impacts arising from IFC's clients' business activities, may submit a complaint to IFC directly for consideration. When receiving an E&S complaint, IFC engages with complainants and works with its clients to find solutions to E&S concerns as quickly and efficiently as possible.

Complaints can be submitted to IFC online at www.ifc.org/escomplaints or by email to EScomplaints@ifc.org.

IFC complaint response is separate from and complementary to IFC’s clients’ project level grievance mechanisms and IFC’s Independent Accountability Mechanism (CAO). Lodging a complaint directly with IFC does not, at any time, restrict access to CAO.

Affected communities have unrestricted access to the Compliance Advisor Ombudsman (CAO), the independent accountability mechanism for IFC and MIGA. CAO facilitates the resolution of complaints related to IFC and MIGA projects and sub-projects, undertakes reviews of IFC’s and MIGA’s environmental and social compliance, fosters public accountability for their commitments, and enhances the environmental and social performance of IFC and MIGA.

Independent of IFC and MIGA management and reporting directly to the IFC and MIGA Boards of Executive Directors, CAO helps resolve issues raised about the environmental and social impacts of projects through a neutral, collaborative, problem-solving approach via its Dispute Resolution function. It also reviews IFC’s and MIGA’s compliance with environmental and social policies, assesses related harm, and recommends remedial actions through its Compliance function. Additionally, CAO provides advice to IFC, MIGA, and their Boards to enhance environmental and social sustainability performance and minimize the risk of harm.

Complaints may relate to environmental and social harm regarding any aspect of the planning, implementation, or impact of a project or sub-project, and can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of an IFC- or MIGA-financed business activity.

Complaints can be submitted by any of the following methods:

Online form: available at https://www.cao-ombudsman.org/
Mail/Hand Delivery to: 2121 Pennsylvania Avenue, NW, Washington, DC 20433, USA
Voice mail: +1 202 458 1973
Email: cao@worldbankgroup.org
SMS, WhatsApp, Telegram, and Signal: +1 202 650 2627

CAO receives and addresses complaints in accordance with the CAO Policy, which can be accessed at: https://www.cao-ombudsman.org/policies-guidelines.

This Summary of Investment Information (SII) is prepared by IFC to disclose a factual summary of the main elements of the potential investment. It also includes findings and recommendations related to environmental and social considerations regarding this potential investment. The purpose of the SII is to enhance the transparency of IFC’s activities. For any project documentation or data included or attached herein, whether prepared by the project sponsor or otherwise, authorization has been given for public release by the project sponsor. IFC considers that this SII is of adequate quality for release to the public, but has not necessarily independently verified all of the project information therein. It is distributed in advance of IFC Board of Directors’ consideration and may be periodically updated thereafter. Board dates are estimates only and this document should not be construed as presuming the outcome of the Board Directors’ decision. The following SII is disclosed in accordance with IFC's Access to Information Policy (AIP) that went into effect on January 1, 2012.

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

*Task Description*	*Anticipated Completion Date*
Nominate Environment and Social Officer	On or prior to Commitment
Develop an E&S Policy including implementation and training plan	On or prior to Disbursement
Establish an ESMS including guidelines for the implementation	Within 6 months of Disbursement
Implement training program to all relevant staff	Within 6 months of Disbursement

Projects

Summary of Investment Information

Project Description

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation

Similar Projects

Contacts

Projects

Summary of Investment Information

Project Description

Sponsor / Cost / Location

Project Sponsor and Major Shareholders of Project Company

Total Project Cost and Amount and Nature of IFC's Investment

IFC's Investment as Approved by the Board

Location of Project and Description of Site

Development Impact

Anticipated Impact Measurement & Monitoring (AIMM) Assessment

IFC's Role and Additionality

E&S Category Rationale / Risks and Mitigation

Environmental & Social Categorization Rationale / Key Risks & Potential Impacts

Environmental & Social Management System (ESMS)

Mitigation Measures / Environmental & Social Action Plan (ESAP)

Press-Release

Related Environmental Document

Similar Projects

Contacts

Information on E&S Complaints and Grievance Mechanisms

Disclaimer