FMO has closed a USD 15 million loan for Banco Para la Comercialización y la Producción, Bancop S.A. (“Bancop”) in Paraguay, to support job creation by productive SMEs.
Bancop is a member of the Paraguayan Roundtable for Sustainable Finance, a sector initiative supported by FMO, which promotes environmental and social (E&S) risk management in the Paraguayan banking sector. FMO’s loan will be used for on-lending to SME clients, most of which are members of productive cooperatives in rural sectors of the country, thereby supporting sustainable economic development and job creation.
“This financing will allow Bancop to increase long tenor loans to its SME clients, further strengthening its continuous support to agriculture and cattle sectors which are major drivers of the Paraguayan economy. This partnership with FMO also reflects the trust that international multilateral and bilateral institutions place in our bank, supported by more than 90 years of history of its shareholders and by the economic stability of our country.” remarked Dimas Ayala, Director and CEO of Bancop.
“FMO is proud to partner with Bancop, a bank that supports productive SMEs in Paraguay. Bancop’s ties to the cooperative sector in the country makes it an ideal partner for our effort to help improve environmental and social standards in Paraguay. We will continue to support Bancop and other members of the Paraguayan Roundtable for Sustainable Finance that show strong commitment to a sustainable economic development”, said Linda Broekhuizen, Chief Investment Officer of FMO.
About Bancop
Bancop is a small private universal bank owned by a group of 28 productive cooperatives tied to Paraguay’s agriculture, cattle and agro-industrial sectors. Bancop started operations in 2012 and has successfully positioned in the banking sector, serving mainly clients in the productive sector, with gross loans of USD 345 million and more than 11,000 clients, predominantly SMEs. www.bancop.com.py
