USMP is a fully autonomous non-profit university. It offers undergraduate and graduate degree programs in 18 disciplines, organized in the following 9 faculties: - Engineering and Architecture; - Medicine; - Administration and Industrial Relations; - Communication, Tourism and Psychology; - Accounting, Economics and Finance; - Law and Political Science; - Education; and - Dentistry.

The total project cost is estimated at $34 million. The proposed IFC investment is a partial guarantee of up to 30% of a US$30 million local bond issued by USMP.

10.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee	10.0
Loan
Equity

* These investment figures are indicative

USMP’s 9 faculties are housed at 14 different locations in Lima. All of them are in residential neighborhoods and have easy access to public transportation. Two new plots of land have been purchased for the expansion of the Communication Sciences campus (in the La Molina neighborhood) and for the construction of a new building of the Dentistry school (in Surquillo).

By upgrading USMP’s infrastructure, the Project will enable the University to improve the quality of educational services it provides to its students. Strengthening the capacity of the largest Peruvian private university will contribute to elevating the standard of the Peruvian higher education system as a whole. Additionally, the Project will contribute to the development of Peru’s capital markets. As the first bond issued by an educational institution, the instrument will demonstrate a viable way for private universities to access the capital markets and allow institutional investors to diversify their holdings into a new sector. IFC will be assisting a successful private university to innovatively raise capital for its renovation and modernization. The local bond issue will build USMP’s investor base and diversify its funding sources. IFC’s credit enhancement will be essential for the bond to reach the AA+ rating needed to attract institutional investors.

This is a Category B project according to IFC''s environmental and social review procedure because limited environmental and social impacts associated with the project may be mitigated through adherence to industry best practices, recognized performance standards, guidelines, and design criteria. Environmental, social and occupational health and safety issues associated with this type of project and that will be evaluated during appraisal include: land acquisition, compensation and prior use; site location, planning and permitting; solid and hazardous waste management; wastewater treatment and disposal; potable water; air emissions from on-site generators and other utilities; heat exchange chemicals used in air conditioning systems; energy use management; managing environmental impacts during construction; student and worker occupational health and safety; and life and fire safety.
Location of environmental documents in locally affected community
Environmental documents will be made available at the following locations: - Central Library of Universidad San Martín de PorresAv. Las Calandrias s/n, Santa Anita, Lima, Peru - IFC Country OfficeAv. Alvarez Calderon 185, Floor 7, San Isidro, Lima, Peru