Record operations to be considered by CAF Board

(Caracas, July 21, 1993). -- A total of 18 loan operations for a total of US$376 million will be submitted for consideration by the CAF Board during its 79th meeting to be held on the 22nd and 23rd of this month in Caracas, Venezuela.

Of this total, US$241.5 million are for project execution, US$124.2 million for finance trade, and the remaining US$10.3 million for equity participation by CAF in productive and financially viable programs in association with private companies.

Most of the operations are oriented to the private sector, which reaffirms the important change in the direction of the Corporation's activities.

CAF President & CEO Enrique García said he was pleased with the volume of operations to be presented to the Board because they outperformed the annual targets.

Three of the long-term loans, for US$81 million, were multi-sector loans for financial institutions in Peru and Bolivia, which will channel them to final borrowers for private sector projects.

The transport, energy and communications areas of Colombia, Ecuador and Peru will receive loans totaling US$110 million, which reflects the Corporation's interest in supporting the physical infrastructure of the subregion. In García's opinion, development of these areas is crucial because they have a high impact on the economic integration process and link growing Andean trade to international trade flows.

The other loans -- he said -- will go to industries in Peru and Venezuela in order to stimulate growth of this productive sector, and improve the efficiency and competitiveness of their products and generate foreign currency.

The lines of credit granted to member countries to facilitate trade operations were substantially increased by the current administration which is clearly shown by the vigorous growth of Andean trade.

Finally García said the institution would continue supporting member countries in their efforts to solve their problems, by financing financially viable projects, generating opportunities for investment, especially in the local and foreign private sector, stimulating trade and making the most complete package of financial services, including equity participation, available to the countries.