Two agreements signed in favor of Venezuela

(Caracas, June 22, 1994)..- A US$3.5 million loan for the company HLBoulton & Co, SACA, and a US$400,000 technical cooperation grant for the Ministry of Health and Social Assistance were today granted to contribute to the development of the Venezuelan private sector and health sector which is a sector with high social priority.

CAF President & CEO Enrique García said the company would use the loan to purchase a German origin maritime crane for use on the dock of Puerto Cabello where the company has a concession under the port privatization process which the national government is implementing to optimize the services required by the shipping sector.

HL Boulton began operating in commerce in Venezuela in 1826. Twelve years later it entered the maritime services sector, and later diversified into air transport, cement, steel, banking and insurance. The shares of the holding have been traded on the stock exchange since 1992.

The commercial operations of the Group include -- apart from distribution and sale of a range of products -- services in the customs, maritime and air sectors, with a significant share of the import and export market.

In the area of technical cooperation, CAF will support the Ministry of Health and Social Assistance (MSAS) with preparation of a loan application for the Health Sector Strengthening and Modernization Program, managed by the Inter-American Development Bank (IDB).

Once the components of the project are defined, implementation of the program will begin. The US$300 million required will be cofinanced by IDB and CAF.

This is a high priority program for the Venezuelan government because it will improve the efficiency and operating capacity of the health sector, presently formed by 50 institutions around the country under the coordination of the ministry.

The program consists of execution of projects for rehabilitation and equipping of outpatient clinics and hospitals in selected states: Carabobo, Monagas, Táchira and Sucre.

Based on the diagnosis, programs will be prepared to upgrade the services network before proceeding to transfer the health services to the selected states. Implementation of the project will be based on a representative sample of healthcare units.

The two agreements were signed in CAF headquarters in Caracas by CAF president & CEO, HL Boulton director Luis E. Almoguera, and Health Minister Carlos Walter.