Citi and Banco Guayaquil Sign $20 Million Loan Agreement Benefiting Microfinance in Ecuador
13 November 2018 - 1:00AM
Business Wire
Citibank, N.A. Ecuador Branch, with support from Citi Inclusive
Finance and Banco Guayaquil, reached a three-year, $20 million
financing agreement in September to expand financial inclusion in
Ecuador by supporting Guayaquil’s ability to provide micro-loans
through its “Banco del Barrio” program.
With over 520,000 previously-unbanked clients that now have
“Amiga Accounts” and a $70m loan book to finance microenterprises,
Banco Guayaquil’s “Banco del Barrio” is one of the pioneering and
most comprehensive inclusive finance programs in Latin America,
significantly expanding access to financial services in Ecuador by
leveraging a network of more than 4,400 non-bank customer
touchpoints across the country.
“This agreement underscores Citi’s strength in consistently
identifying opportunities to serve our clients and the community,
taking advantage of Citi’s global network and broad platform of
financial products and services,” said Elzbieta Czetwertynska,
Ecuador Citi Country Officer.
Citi has had a continued presence in Ecuador for 58 years,
offering world-class financial products and services while
contributing to the nation’s development. The agreement with Citi
not only represents a new source of financing for Banco Guayaquil,
but also offers an effective way to drive its microfinance
operations over the long term.
“The aim of this agreement is to keep supporting financial
inclusion, encouraging the development and growth of small
businesses in Ecuador, through access to productive loans that can
help boost our country’s economy. Banco Guayaquil will continue
promoting this line of credit through our different channels and
“Banco del Barrio,” said Julio Mackliff, Executive Vice-President
of Banco Guayaquil S.A.
The agreement is part of a $250 million strategic agreement
between Citi and the U.S. Overseas Private Investment Corporation
(OPIC) to fund inclusive finance programs in emerging markets. OPIC
seeks out private capital to promote the development of strategic
sectors with high social impact.
“The partnership between OPIC and Citi allows the U.S.
government to work with the private sector to reach those most in
need in the toughest markets,” said Ray Washburne, OPIC President
and CEO. “We are pleased to support Citi’s agreement with Banco
Guayaquil, which will not only create new economic opportunities
for microenterprise in Ecuador, but likely provide a tremendous
benefit to women entrepreneurs who make up the majority of account
holders.”
Citi has provided nearly $60 million in local funding for
microenterprises in Ecuador over the past decade in collaboration
with strategic partners. These types of agreements have contributed
to the development and growth of the inclusive finance sector
within the country’s financial industry.
“In Ecuador, where nearly half the population is unbanked
according to the World Bank, inclusive access to safe, affordable
financial services is critically important,” said Jorge Rubio Nava,
Director, Citi Inclusive Finance. “This partnership will enable
Banco Guayaquil to further enhance the value of its Banco del
Barrio network to the people of Ecuador, providing mainstream
financial services that are inclusive by design.”
About Citi
Citi, the leading global bank, has approximately 200 million
customer accounts and does business in more than 160 countries and
jurisdictions. Citi provides consumers, corporations, governments
and institutions with a broad range of financial products and
services, including consumer banking and credit, corporate and
investment banking, securities brokerage, transaction services, and
wealth management.
Additional information may be found at www.citigroup.com |
Twitter: @Citi | YouTube: www.youtube.com/citi | Blog:
http://blog.citigroup.com | Facebook: www.facebook.com/citi |
LinkedIn: www.linkedin.com/company/citi
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