Tuesday, 21 May 2024 22:07

Banco Promerica and DEG sign new subordinated debt agreement totaling US$50 million

Written by Denis Muñoz
Banco Promerica and DEG sign new subordinated debt agreement totaling US$50 million Courtesy

Banco Promerica El Salvador and DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH signed a new subordinated debt agreement whose funds will be used to strengthen the credit line for women-led businesses, green loans, and small and medium-sized enterprises.

This transaction confirms the close relationship of trust between DEG and Banco Promerica.

The total amount of funds that Banco Promerica will receive from the German financial institution is US$50 million, which will be used to strengthen the country's productive loan portfolio.

DEG is part of the KFW (State Development Bank of the Federal Republic of Germany) and is an institution based in Cologne, Germany, that offers long-term financing focused on capacity building with lasting impact. Its focus is on emerging markets and offering support to private sector companies through its experience and knowledge in entrepreneurship and development.

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In El Salvador, the financial relationship with DEG began in 2012, and the funds granted at the beginning were oriented to growth and expansion projects of SMEs. DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH consolidates its participation as a partner of Banco Promerica El Salvador, supporting the small and medium enterprise sector thanks to the trust it has in the financial institution.

 

Translated by: A.M