IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, has signed a loan of up to $50 million with Banco Ciudad de Buenos Aires. The financing, of up to seven years, will be aimed at financing projects that generate environmental benefits in Argentina, especially those related to renewable energies and energy efficiency.
The proposed financing with Banco Ciudad will reduce the financial barrier that currently exists to finance renewable energy and energy efficiency projects with terms and conditions more in line with the needs of these projects. IDB Invest financing will support projects that generate positive and direct net impacts on the environment, predominantly in wind, solar, biomass and energy efficiency.
Additionally, IDB Invest and the French Development Agency will complement the operation with technical assistance aimed at improving Banco Ciudad's capacity to identify, originate, manage and finance green projects, leveraging sustainable financing opportunities in Argentina. This technical support will focus on three axes: the development and implementation of an environmental and social management system for risk management in projects financed by the entity, the identification of opportunities for the financing of projects responsible for the environment and awareness to companies through training on this subject.
About IDB Invest
IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to supporting Latin America and the Caribbean businesses. It finances sustainable enterprises and projects to achieve financial results that maximize economic, social and environmental development for the region. With a current portfolio of $11.2 billion under management and 330 clients in 23 countries, IDB Invest works across sectors to provide innovative financial solutions and advisory services that meet the evolving demands of its clients. As of November 2017, IDB Invest is the trade name of the Inter-American Investment Corporation.
About Banco Ciudad
The Bank of the City of Buenos Aires is a public legal entity with full administrative, budgetary and administrative autonomy; and, by constitutional mandate, the Official Bank of the Autonomous City of Buenos Aires, its financial agent and credit policy instrument. It was created on May 23, 1878 to provide loans for various purposes at a lower interest rate than market rate and with a social focus. This foundation continues to be the guide of the bank's policies, whose central objectives are to act as a social and development bank. Currently, Banco Ciudad occupies the 8th place in the financial system in terms of loans to the non-financial private sector, and is one of the leaders in mortgage loans in the country. The City focuses on providing universal, competitive and excellent financial services to individuals and companies in the Metropolitan Area of Buenos Aires, and since 2016 also in the cities of Córdoba, Río Cuarto and Mendoza. It currently has more than 90 points of contact with its customers. This arrival is multiplied through the services of electronic banking - virtual branch, home banking, mobile banking and electronic banking companies.