CITI, BANCO CONTINENTAL AND OPIC, SIGNED AGREEMENT TO CHANNEL LONG-TERM FUNDS FOR THE DEVELOPMENT OF SMALL AND MID-SIZED COMPANIES IN PARAGUAY
Asunción, Paraguay - September 30, 2010 – With the contract, BANCO CONTINENTAL S.A.E.C.A. will have access to a ten-year term loan for US$ 40,000,000 (Forty Million U.S. Dollars). Citibank NA grants the facility with the support of OPIC, Overseas Private Investment Corporation.
By way of this agreement, BANCO CONTINENTAL will obtain additional funds at competitive prices, will be able to diversify and enlarge its long-term finance base for SMEs, small and mid-sized companies, thus supporting the development of these companies with long-term financing. The new loan will be available to private companies with up to 300 employees and annual sales of up to US$ 15,000,000 (Fifteen Million U.S. Dollars).
Citi’s coordination with OPIC under the Risk Sharing Program has resulted in the closing over US$ 165 million of loan facilities to financial institutions in Paraguay including Banco Continental with whom Citi has key correspondent banking relationships.
The agreement was signed, on behalf of Citibank NA, Paraguay Branch and of the lenders, by Mr. Jerónimo Nasser, Director and General Manager, and for BANCO CONTINENTAL, by Mr. Carlos Moreno, General Manager and by Mr. Hugo Ubeda, Director.
The ceremony took place at the Granados Park Hotel with the presence of authorities from both banks involved in the transaction and US Embassy representative. At the occasion, Mr. Jerónimo Nasser expressed that: "We are very happy to be part of this agreement and this is one way that Citi contributes to the development of the Paraguayan economy". At his turn, Mr. Hugo Mora, President of BANCO CONTINENTAL, said: "We are going to help to the development of small and medium size companies with this initiative, helping to improve the quality of life of their employees and build better communities".
OPIC is an agency of the United States government that invests in the economic development of emerging markets, complementing the private sector in the management of risks associated to the investment, and supports the United States foreign policy. OPIC services are currently available in over 150 countries around the world.
Citi is the world’s main organizer of the loans guaranteed by the official Agency. It has a vast experience in this type of transactions, and is widely recognized in the markets. Citi has globally structured over US$ 50 billion in the last ten years, using the support of over 25 Export Credit Agencies and bilateral and multilateral organizations. The success is the result of a profound knowledge of the official agencies, and a solid relationship with lenders in over one hundred countries. Citi has won a number of Euromoney awards including Global Trade Finance Bank, which demonstrate its achievements and leadership in the execution of complex cross border transactions. Citi has a team of global professionals who are devoted to structured trade and finance and who relate with the main official agencies.
About Citi’s Global Transaction Services
Global Transaction Services, a division of Citi’s Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network that spans more than 100 countries, Citi’s Global Transaction Services supports over 65,000 clients. As of the second quarter of 2010, it held $320 billion in liability balances and $11.3 trillion in assets under custody.
Citi, the leading global financial services company, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Through Citicorp and Citi Holdings, 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 or www.citi.com .