BANCO PROMERICA S.A. (GUATEMALA) (FMO-51733)

Countries
  • Guatemala
Where the impacts of the investment may be experienced.
Financial Institutions
  • Netherlands Development Finance Company (FMO)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Bank Risk Rating
B
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
May 29, 2017
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
Banco Promerica
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 Amount (USD)
$ 10.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Primary Source

Original disclosure @ FMO website

Updated in EWS Jun 24, 2018


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Project Description

FROM FMO:
WHO IS OUR CLIENT

Banco Promerica, S.A. (Promerica GT) started operating in 2007, following the acquisition of Bancasol, an institution founded in 1995. Promerica GT has since grown into a mid-sized universal bank, with total assets over USD 800mln. Promerica GT is part of the Promerica Group, a financial group of Nicaraguan origin which currently operates in 9 different countries across Latin America and the Caribbean. The group is a strategic partner of FMO.

FUNDING OBJECTIVE

The USD 20 million facility comprises a SME tranche (USD 10 million) and a Green tranche (USD 10 million). The SME tranche will enable Promerica GT to continue expanding its SME portfolio, a sector of increasing importance to the bank. As for the Green tranche, FMO's funding and technical support will make Promerica GT a pioneer among Guatemalan banks in the provision of finance to green projects. The beneficiary projects will be in line with FMO's green lending criteria.

WHY WE FUND THIS PROJECT

Supporting SMEs and green projects in Guatemala contributes to FMO's strategic goal to create jobs and reduce GHG emissions. This transaction forms part of the Promerica Group-wide green line approach, where FMO is providing dedicated financing facilities to 4 subsidiaries.

Investment Description
  • Netherlands Development Finance Company (FMO)
Contact Information

ACCOUNTABILITY MECHANISM OF FMO

Communities who believe they will be negatively affected by a project funded by the Dutch Development Bank (FMO) may be able to file a complaint with the Independent Complaints Mechanism, which is the joint independent accountability mechanism of the Dutch Development Bank (FMO) and the German Investment Corporation (KfW) . A complaint can be filed in writing, by email, post, or online. The complaint can be filed in English or any other language of the complainant. The Independent Complaints Mechanism is comprised of a three-member Independent Expert Panel and it can provide either problem-solving, compliance review or both, in either order. Additional information about this accountability mechanism, including a guide and template for filing a complaint, can be found at: https://www.fmo.nl/independent-complaints-mechanism