BANCO BOLIVARIANO C.A.
Status: Approved investmentWhy disclosure?
FMO is committed to making publicly available relevant investment information that informs stakeholders and enables them to engage directly with FMO on its investments which, in turn, enhances our investment decisions, the design and implementation of projects and policies, and strengthens development outcomes. Learn more
In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Bolivariano is a locally-owned Universal Bank with a strong regional presence in Guayaquil and the coastal region of Ecuador. The bank has a long track record (39 years of operations) and as of June 2017, it has TAs of USD 2,9 bln and ranks #6 in the sector, with a stable share of 8% TAs. The bank is focused on Corporate and SMEs segments (43.1% and 38.4% of total loans, respectively), with less relevant portfolios of loans to individuals (15.6%) and microfinance (2.9%).
What is our funding objective?
Funds will be directed to SMEs
Why do we fund this investment?
FMO will be highly additional by injecting long tenor financing to a bank in a sector with limited access to international funding, including long tenor financing. The bank provides short and long tenor financing to corporates and SMEs, with up to 8 years tenor. Since the bank’s funding is mostly short term (99% <1 year), FMO’s loan would improve the bank’s funding structure and allow to increase long tenor loans, currently financed mostly with equity. Partnering with Banco Bolivariano allows FMO to increase its reach in Ecuador, since the bank has a strong presence in Guayaquil and the coastal region of the country.
What is the Environmental and Social categorization rationale?
This facility has been categorised as Category C in accordance with FMO’s Sustainability Policy. The bank has a limited participation in high risk sectors (mainly fishing and food processing) and provides primarily working capital to its larger clients. Limited E&S risks are well mitigated by compliance with local regulation on environmental and social aspects and the bank's plan to develop an ESMS.
More investments
| Date | Total FMO financing |
|---|---|
| 7/22/2022 | USD 30.00 MLN |
| 9/21/2020 | USD 10.00 MLN |
| 9/21/2020 | USD 10.00 MLN |
- Website customer/investment
- http://www.bolivariano.com
- Region
- Latin America & The Caribbean
- Country
- Ecuador
- Sector
- Financial Institutions
- Effective date
- 12/14/2017
- Total FMO financing
- USD 30.00 MLN
- Funding
- FMO NV
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - C