Banco Industrial Receives Social Commercial Loan from Citibank
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Loading... - Bertha Koch
- 05 Aug 2024
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In a significant move to boost sustainable and financial growth for small and medium-sized enterprises (SMEs) in Guatemala, Banco Industrial has secured a social commercial loan from Citibank. This transaction, the first of its kind by Citi with a bank in Central America, underscores Citi’s longstanding 50-year presence in Guatemala.
Through Citi’s Trade and Working Capital Solution platform, Banco Industrial will leverage the $22 million loan to finance the working capital needs of SMEs, thus fostering inclusive economic growth and progress within the country. The loan amount also comes with an option to expand the facility, further strengthening the local economy and supporting the SME sector.
“Economic and social development are priorities for Citi. We are proud to offer financial solutions that promote the sustainable growth of small and medium-sized businesses in Guatemala, continuing to act as catalysts for sustainable development,” said Julio Álvarez, Executive Director of Citi Guatemala.
Aligned with Citi’s Social Finance goal, this transaction aims to provide access to basic services and economic opportunities for 15 million low-income households in emerging markets, including 10 million women. It also contributes to Citi’s broader objective of financing and facilitating $1 trillion in sustainable finance by 2030.
Luis Prado, Manager of the Corporate and International Banking Division of Banco Industrial, expressed his optimism about the strategic alliance, stating, “Since its founding, Banco Industrial has been dedicated to promoting the socioeconomic development of Guatemala and the Central American region. This partnership with Citi reaffirms our commitment to supporting Guatemalan SMEs, expanding their financial resources and offering tailored solutions. This initiative not only contributes to prosperity and well-being within Guatemala but also positively impacts the broader Central American region.”
Andre Carvalho, Global Head of Working Capital Loans and Head of Trade for LATAM at Citi, highlighted the significance of this loan in Citi’s broader strategy: “This loan consolidates Citi’s approach to supporting financial institutions and corporations in Latin America and the Caribbean in achieving their social objectives. It demonstrates Citi’s flexibility and ability to meet the unique needs of our clients.”
This strategic collaboration between Citi and Banco Industrial marks a pivotal step towards bolstering the economic framework for SMEs in Guatemala, providing them with the necessary financial tools to thrive and contribute to sustainable development in the region.
