Summary of Proposed Investment
Project Number
21281
Company Name
Banco Procredit S.A.
Date SPI Disclosed
Jul 29, 2003
Country
El Salvador
Industry
Financial Markets
Projected Board Date
Oct 10, 2003
Status
Completed
Sector
Commercial Banking - Microfinance and Small Business
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : Feb 3, 2004
Signed : Apr 6, 2004
Invested : Jun 24, 2004
Project Description
This transaction consists of a subordinated credit line of up to $5.0 million and a senior loan of up to $5.0 million to Financiera Calpiá S.A. (Calpiá or the company) of El Salvador. Calpiá is an IFC investee. Calpiá requires Tier II capital for two reasons:
- to support its portfolio growth (the net loan portfolio increased 45% from the prior year to $43.3 million equivalent and is expected to grow at 30-40% for the next five years ); and,
- to support the extension of its operations to other countries in Central America, with an initial direct investment of $2.5 million in Financiera Confia, Nicaragua.
Calpiá will, however, be expanding its business in neighboring countries through planned capital increases and not an increase in debt.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Ms. Silke Muffelmann, General Manager
Paseo General Escalom No. 5430,
Entre 101 y 103 Ave Norte,
Colonia Escalon,
San Salvador El Salvador