Banco Promerica El Salvador
FI-2 operations are those where the risk potential is considered medium: the FI’s current or future portfolio consists of or is expected to consist of, business activities that have potential limited adverse environmental or social risks or impacts that are few in number, generally site-specific, largely reversible, and readily addressed through mitigation measures; or includes a very limited number of business activities with potential adverse environmental or social risks or impacts that are diverse, irreversible, or unprecedented.
Projected date at which a project will be put forward for the Board of Executive Directors’ approval.
Projected board date
Eskildsen Alfaro, Jan Petter
USD $ 20,000,000
Project scope and objective
The proposed transaction is a subscription to the first public issuance program of sustainable bonds by Banco Promerica S.A. ("Promerica") in the local Salvadoran market, for up to US$100 million, of which US$20 million will be subscribed by IDB Invest during the first issue and the remainder, limited to US$80 million, will be subscribed by other impact investors in subsequent issuances. These funds will be used to finance projects with a positive social and environmental impact within the country and will focus on Small and Medium Enterprises (SMEs) with a green portfolio and a social portfolio. IDB Invest will support Promerica in launching its first thematic bond in accordance with the Social Bond Principles issued by the International Capital Markets Association (ICMA). This will be supported by a Second Party Opinion (SPO) by an independent third party that will validate the bond classification as a Thematic Bond and provide the associated market accreditation for it to attract the interest of issuers seeking to maximize the social impact of their investments. This thematic bond will be aligned with the UN Sustainable Development Goals (SDGs) and the Social Bond Principles (SBP), making it the first bond issuance of its kind on the El Salvador Stock Exchange and by IDB Invest.
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Alternatively, you may also use the following contact information:
Sustainability and Correspondent Banking Assistant Manager
IDB Invest Contact
1350 New York Ave NW, Washington, DC 20005