After the announcement, last March, that the World Bank is evaluating the delivery of a loan of 300 million dollars to the National Finance Corporation (CFN) and a workshop to prepare for the signing of this agreement at the end of last September, both entities signed an agreement that will allocate funds to be allocated for the allocation of production financing for micro, small and medium-sized enterprises (MSMEs) through second-level banking.

The World Bank and CFN prepare to sign a new loan of 300 million dollars to finance MSMEs

This was announced by CFN this Wednesday, October 11, in the afternoon. The state body indicated that this operation was approved by the Board of Directors of the World Bank at the end of May last year.

He explained that this financing has a state guarantee issued by the Ministry of Economy and Finance, and will be used to approve credit lines to private financial institutions throughout the country, with the aim of expanding geographic coverage and ensuring that these entities can provide loans to small and medium-sized enterprises, as would strengthen production and increase job creation.

To date, with previous disbursements, the World Bank has awarded more than $213 million through the CFN, providing more than 9,500 SMEs with financing to support and grow them.

Jorge Andrade, president of the CFN Board of Directors, indicated that “this agreement is an important milestone in favor of the economically active sectors of Ecuador, timely supporting the base of the production pyramid that drives national development.”