Nuevo Banco de Santa Fe was privatized in June 1998. Previously, it was owned by the provincial government of Santa Fe in Argentina. Currently, it is 93.39% owned by Banco General de Negocios (BGN). The remaining 6.61% is held by the provincial government of Santa Fe. The government of the Province plans to transfer its stake to the employees of BSFE in the near future, which has been the case in other privatizations in Argentina.

BGN is a privately-owned merchant bank in Argentina established in 1959. BGN focuses on commercial and investment banking, with an important emphasis on capital markets activities. BGN is closely held by a group of prominent local bankers and foreign banks. BGN''s founding shareholders, Jose E. Rhom and Carlos A. Rhom, who also act as BGN''s Managing Directors, control over 50% of the voting rights. Other major shareholders include Credit Suisse First Boston (26.37% of capital, 12.14% of votes), Chase International Finance (26.03% of capital, 9.4% of votes), Dresdner Bank Lateinamerika (25.59% of capital, 5.78% of votes), and Banca Nazionale del Lavoro (.82% of capital, 6.67% of votes).

The proposed investment is a US$20.0 million A loan for IFC''s own account. The credit line would be used to finance the following viable projects in Santa Fe: (i) establishment of manufacturing facilities in an industrial park; (ii) environmental improvements; (iii) acquisition of capital goods for agri-business, agriculture, commerce, industry and services sectors; (iv) expansion and restructuring of companies; (v) financing of agricultural producers; and (vi) financing of imports of capital goods.

20.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	20.0
Equity

* These investment figures are indicative

Nuevo Banco de Santa Fe is headquartered in the Santa Fe, Argentina. The Bank has a total of 105 branches, of which 103 are located in the Province of Santa Fe. Operations are concentrated in this province.

This is a category FI Type 2 project according to IFC’s environmental and social review procedure. BSFE has committed to undertaking an environmental and social review of each subproject financed with IFC funds. Subprojects whose total project cost is US$500,000 or greater will be carried out in accordance with IFC environmental and social safeguard policies, be consistent with IFC''s Exclusion List, and meet Argentinean national, provincial, and local requirements. BSFE will ensure that Category A subprojects meet the World Bank Group’s applicable environmental, health and safety guidelines; and will obtain IFC’s clearance prior to making any investment in any Category A subproject. In addition, subprojects whose total project cost is less than US$500,000 will be consistent with IFC''s Microfinance Exclusion List. BSFE has committed to sending personnel to the IFC’s Competitive Environmental Management Workshop or other appropriate training. BSFE has committed to operating an environmental management system and providing an annual environmental performance report.
Location of environmental documents In locally affected community
Bank Branch Office
Tucuman 2545
2nd Floor
Santa Fe CP 3000
Argentina