ICO grants USD130 million loan to CAF to promote infrastructure projects in Latin America

The President of the Official Credit Institute (ICO), José Carlos García de Quevedo, and the Vice President of Finance of CAF-development bank of Latin America-, Hugo Sarmiento Kohlenberger, signed a new credit facility for USD 130 million to promote the internationalization of Spanish companies in Latin America.

This line of credit in favor of CAF will benefit infrastructure projects financed by CAF involving Spanish companies. The scope of these projects includes urban mobility, water treatment and the promotion of renewable energies, among others.

“These financial resources help strengthen transatlantic trade ties and knowledge exchange, and consolidate a very valuable bi-regional partnership to promote sustainable socio-economic development of Latin America,” said Sarmiento Kohlenberger.

For his part, Garcia de Quevedo said that “this agreement strengthens the role of ICO as a reference in financing long-term investments in the region, specifically in projects that support the internationalization of Spanish companies, one of the priority goals of the public bank.”

This is the second agreement signed by ICO and CAF in the framework of the ICO Canal Internacional line, which aims to promote financing of infrastructure projects that positively impact the region’s sustainable and environmental development.

The relationship between ICO and CAF began more than 20 years ago, and since then they have exchanged resources and knowledge to promote sustainable development in the region. The line of credit signed today provides continuity to the agreement signed in 2016, for an amount of USD 300 million, mainly aimed at promoting the internationalization of Spanish companies.

This new commitment highlights the success of both institutions in channeling financial resources and the exchange of knowledge for the benefit of socioeconomic development in the region.