Venezuela to chair CAF board and shareholders meeting for one-year term

(Caracas, March 4, 1999). – Venezuelan Finance Minister Maritza Izaguirre was today appointed chair of the CAF Board and the Shareholders Meeting for a one-year term.

CAF President & CEO Enrique García said the appointment of Maritza Izaguirre was approved by the 100th Board Meeting held today in the headquarters of this international financial institution in Caracas, chaired by Peruvian Minister of Fisheries Gustavo Caillaux.

Under the CAF Establishing Agreement, the chairs of the Board and Shareholders Meeting are appointed in rotation in alphabetical order from the holders of the A series shares, subscribed by the governments of the five countries of the Andean Community, being the turn of Peru for the 1998-1999 period.

The meeting was attended by ministers and vice ministers from Bolivia, Colombia, Ecuador, Peru and Venezuela on behalf of the A and B series shareholders; with the chief consultant of the External Debt and International Relations Department of Banco do Brasil, Paulo Donizeti de Araújo; and the deputy director of investment promotion of Nacional Financiera de Mexico, Eduardo Mapes, representing the C series shares subscribed by countries outside the Andean region.

Operations for US$75 million The 100th Board meeting approved two operations for a total of US$75 million. The first is a US$50 million loan for Peru for execution of rehabilitation and upgrading works on an integration highway.

The second operation is US$25 million equity participation in the Darby Latin America Mezzanine Debt Fund for Infrastructure Projects in Latin America, innovative financial instrument designed to attract foreign private funds into the region.

The Board also approved the CAF annual report for 1998, and the reports of the external auditors on the balance sheet and income statement as of December 31, and on distribution of net income at the end of last year.

In 1998, the Corporation approved operations in favor of its shareholder countries for a total of US$2.673 billion, disbursed funds for US$2.421 billion, and its investment portfolio totaled US$3.730.