High level authorities in France reaffirm their support for Venezuelan development

(Caracas, May 6, 1993).-- High-level personalities in the government and financial sector of France today visited CAF headquarters in Caracas, Venezuela, to exchange ideas on the progress of integration processes in Latin America and the work that CAF is doing to finance and stimulate the development of its member countries.

The shareholders of the Corporation, financial organization of the Andean Group, are Bolivia, Colombia, Chile, Ecuador, Mexico, Peru and Venezuela.

On this occasion, a loan agreement was signed with two French banks - Credit Lyonnais and Credit Commercial - for US$14 and US$10 million, respectively.

The loans will finance imports from France by CVG Electrificación del Caroní (EDELCA) for execution and start up of the Macagua II hydroelectric plant.

These credit facilities are part of the external funds generated by the Corporation to form a total credit of US$33 million granted to the Macagua II project, which is fundamental for Venezuela since it will contribute to meeting the growing electricity needs of the country’s industrial exporting sector.

The French delegation was formed by the minister delegate of foreign affairs, Lucette Michaux-Chevry; former minister and current president of the French Foreign Trade Center, François Dubois; director general for Latin America of the foreign ministry, Ives Bargain; French ambassador in Venezuela André-Jean Libourel; international vice president of Credit Lyonnais in Paris, Roger Hernández; and his representative general for Venezuela, Robert Cessac, together with other senior personalities.

CAF President & CEO Enrique García said the region had become a highly attractive economic space for foreign investors, given the consensus in the countries on achieving macroeconomic fiscal balance, combined with liberalization and opening of their economies.

He said these agreements were important for Venezuela as an example of the confidence of French investors in the country’s industrial development, and recognition of CAF’s work in generating funds in developed countries and channeling them into the region.

García said the importance of the French-Andean move toward closer relations lay in the possibility of a wider market for projects, technological and financial assistance and joint business, which will lead to even closer commercial ties in the future.