Press Release: DFC Provides More Than $100 Million in Financing to Bolster Health, Agriculture, and Financial Inclusion in Latin America
U.S. International Development Finance Corporation (DFC) today announced the commitment of five catalytic financing projects throughout Latin America, totaling more than $100 million. Announced on the sidelines of the Ninth Summit of the Americas, the new projects in Brazil, Paraguay, Honduras, and throughout the region focus on Biden-Harris Administration priorities for the Americas including economy, health, and food security; and address interconnected issues such as the climate and migration crises.
DFC CEO Scott Nathan traveled to Los Angeles for the Summit of the Americas, where he engaged with regional leaders, participated in working sessions on regional development, and joined Vice President Kamala Harris at an event with Caribbean leaders.
“DFC financing supports economic growth in key sectors for Latin American development, including health and agriculture,” said DFC CEO Scott Nathan. “The more than $100 million in DFC financing announced at the Ninth Summit of the Americas builds on longtime support for the region. Their success is critically linked to our own. Moving forward, DFC remains committed to supporting development in the Americas by financing additional innovative projects.”
New DFC investments announced today include:
Strengthening women’s health services in Brazil: DFC is providing a $31 million loan to GIP Medicina Diagnóstica S.A. (“Femme”) to support the expansion of up to 27 modernized women’s health diagnostic centers which are dedicated to meeting women’s specific health needs such as breast cancer prevention and diagnosis and clinical analysis services. The expansion will place diagnostic centers in underserved areas, cutting down on travel times, and increasing access for low- and middle-income patients.
Expanding access to financing in Paraguay: DFC is providing $7.5 million in financing to Financiera Finexpar to bolster lending to Paraguayan small and medium-sized enterprises (SMEs). An estimated half of Paraguayan enterprises report themselves as unserved or underserved by local financial institutions This project will have a positive developmental impact by advancing financial inclusion and supporting the Paraguayan economy by providing financing for local SMEs.
Boosting healthcare and gender equity in Honduras: In partnership with U.S. Agency for International Development, DFC is providing a $3.5 million loan portfolio guaranty to LAFISE Honduras to on-lend to SMEs supporting gender equity and the healthcare response to the COVID-19 crisis.
Supporting agriculture through climate adaptation and mitigation across Latin America: DFC is providing a $35 million loan portfolio guaranty to Root Capital, a nonprofit headquartered in Massachusetts that supports agricultural cooperatives and SMEs around the world. DFC financing will mitigate risks and support working capital loans and financing for climate adaptation and mitigation in Latin America, in addition to Root Capital’s activities in sub-Saharan Africa and Southeast Asia.
Building agriculture and food supply chain resilience throughout Latin America: DFC is providing a $30 million loan to the Latin American Agribusiness Development Corporation based in Miami and currently operating in 18 countries across the region. DFC financing will expand credit access for small and medium farms, as well as food processing facilities throughout Latin America. The transaction supports regional trade, food supply chains, and local jobs.
Photo credit: Bioversity International.
Source: U.S. International Development Finance Corporation (link opens in a new window)
- Agriculture, Finance, Health Care