Equity Investment in Caja Municipal de Ahorro y Credito de Huancayo (IDBI-12357-01)

Countries
  • Peru
Where the impacts of the investment may be experienced.
Financial Institutions
  • IDB Invest
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Nov 13, 2018
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Caja Municipal de Ahorro y Credito Huancayo S.A.
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Equity
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IDBI website

Updated in EWS Nov 23, 2018


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Project Description

According to the bank, the Project consists of an equity investment of up to US$15 million equivalent in Soles in the Caja Municipal de Ahorro y Credito de Huancayo ("Caja Huancayo", "Huancayo", or "Caja"), with an exit period between six and eight years. The objective of the Project is to support the growth and consolidation of the Caja at a national level in the microfinance industry in Peru. This would be the first IDB Invest transaction with Caja Huancayo and the first capital investment of IDB Invest in a municipal entity.

People Affected By This Project

Task

Description

Deadline

Development of ESMS

Huancayo will develop and implement a basic environmental policy and screening procedure to ensure application of local law and the exclusion list in on-lending activities. Huancayo will submit the environmental policy for IDB Invest`s review. The ESMS will be developed with support of a consultant, and will importantly contemplate climate considerations and possible higher risk lending to an MSME segment.

Initiated six months post disbursement.

Appointment of E&S Manager

Huancayo will appoint an E&S Manager to oversee development of the basic policy and procedures and involve all the relevant teams in the implementation of the ESMS procedures, especially the credit risk team.

One month after first disbursement

6.Contact InformationFor project inquiries, including environmental and social questions related to an IDB Invest transaction please contact the client (see Investment Summary tab), or IDB Invest using the email divulgacionpublica@iadb.org. As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org, or calling +1(202) 623-3952.

Investment Description
  • IDB Invest
Private Actors
Contact Information

Client Contact Name: Victor Valdivia
Title: Financial and Operational Manager
Phone Number: +5164-4810000 ext-1000
Email Address: vvaldivia@cajahuancayo.com.pe

Contact Information For project inquiries, including environmental and social questions related to an IDB Invest transaction please contact the client (see Investment Summary tab), or IDB Invest using the email divulgacionpublica@iadb.org. As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org, or calling +1(202) 623-3952.