32nd Meeting of Executive Committee Financing approved for integration projects

(Caracas, July 12, 1988).- The 32nd Meeting of the CAF Executive Committee - held in the CAF headquarters in Caracas – approved two loans to finance integration projects for over US$5 million, two non-reimbursable technical cooperation grants, a funding agreement with a Brazilian bank for US$30 million and the 19th issue of CAF bonds

The meeting was attended by representatives of the five countries which form the Andean Group (Bolivia, Colombia, Ecuador, Peru and Venezuela) and chaired by CAF President & CEO Galo Montaño.

LOANS Ecuador received a US$4.2 million loan for the project to expand the Maritime Terminal of the Esmeraldas Refinery (TEPRE) whose objective is to increase the dispatch capacity of oil products and improve operation of terminal.

This project was characterized by a broad sense of integrationist cooperation since execution of the works was awarded to the Venezuelan company Ingeniería, Petroleo y Gas SA. Of the total loan, the Venezuelan Investment Fund (FIV) contributed US$2.2 million as a loan to CAF to finance the project.

A second loan for US$1.04 million with multinational character was granted for a truly integrationist project “International Bridge over Rio San Miguel, Ecuador-Colombia Border" to be executed by the Ministry of Public Works and Communications (MOPC) of Ecuador. These works will improve the transport service for passengers and cargo between both countries, facilitating trade.

AGREEMENTS A non-reimbursable technical cooperation grant for US$105,000 was approved for the Colombian Federation of Metallurgical Industries (FEDEMETAL) and the Venezuelan Association of Metallurgical Industries and Mining (AIMM) to finance a multinational study of industrial complementation in the metal-mechanical sector between both countries.

Another agreement of the same type was approved for the Ecuadoran Ministry of Industry, Commerce, Integration and Fisheries (MICIP) for US$35,000 to finance base studies on specific areas of the Quito Protocol.

The Executive Committee authorized a loan with Banco Do Brasil (CACEX) which makes a US$30 million line of credit available to CAF for purchase of Brazilian goods and services.

Finally, the 19th issue of CAF bonds with a two-year term for US$30 million was authorized for placement with the central banks of CAF member countries.