IDB Invest, Promerica Support SME Growth, Women Entrepreneurs in the Dominican Republic
IDB Invest is providing $10 million worth of financing for Banco Múltiple Promerica de la República Dominicana, S.A. (Promerica) in order to support its capital base, which will promote the growth of the lender's Small and Medium Enterprise (SME) portfolio.
This move is the first in the Dominican Republic that is part of the Financing Initiative for Women Entrepreneurs (We-Fi), an international alliance that aims to unlock financing and access to markets for companies owned or led by women.
With financing from the We-Fi program, IDB Invest will provide performance-based incentives and advisory services to support Promerica's efforts in growing its portfolio of women-led SMEs. With this support, Promerica will develop a value proposal for financial and non-financial solutions to support women entrepreneurs to boost their businesses, based on knowledgeof the challenges and barriers that hinder access to financing for SMEs led by women in Dominican Republic.
The deal consists of a subordinated loan divided into two tranches of $5 million each. Each tranche will have a tenor of up to seven years.
This agreement is expected to contribute to four Sustainable Development Goals (SDGs): Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8), Industry, Innovation and Infrastructure (SDG 9) and Reduced Inequalities (SDG 10).
About IDB Invest
IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $14.8 billion in asset management and 376 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
About Promerica Bank
Headquartered in Santo Domingo, Banco Promerica is a multi-faceted bank with 21 years of local presence, with an emphasis on serving personal clients, small and medium-sized companies, corporate and institutional clients, as well payments. The bank is a member of Grupo Promerica (through the holding company Promerica Financial Corporation), made up of a group of nine banks that operate in Central America, Ecuador, the Cayman Islands and the Dominican Republic. Through the financial services that Grupo Promerica offers, it permanently contributes to financial inclusion, as well as to the economic progress of the different societies and communities it serves.
About Promerica Group
Grupo Promerica is one of the most important regional financial groups, with total assets of around $18 billion and around $1.45 billion in equity, in addition to more than 2.5 million clients, and a network of customer service from more than 740 branches and more than 1,000 ATMs.