Project Name：Financial Sector Support Facility for MSMEs

Project status：Completed projects

Cooperating Country：Central America

Project Description：

This regional facility was part of the Emergency Support and Preparedness Program for COVID-19 and Economic Reactivation (the Program) initiated by CABEI, with an aim to support MSMEs affected by the COVID-19 pandemic, through a comprehensive assistance package including loans, credit guarantees, start-up seed capital, and capacity building among others. The loan proceeds provided by the TaiwanICDF were channeled through CABEI to be further on-lent by CABEI's network of financial intermediaries to MSMEs, as a means to help MSMEs meet their liquidity needs during the pandemic and reactivate their operations in post pandemic times.

This facility was designed to contribute to the economic reactivation of Central American countries. 682 MSMEs have received loans through eight financial institutions. More than 14,000 employees benefited.  

Region：Central America

Implementation Start Date：2020-08-28

Implementation End Date：2022-08-27

Project Objectives：Providing liquidity to micro-, small and medium-sized enterprises (MSMEs) in eligible countries and contributing to their adaptation, solvency, and recovery in the face of the COVID-19 pandemic.

Executing Agency：Central American Bank for Economic Integration (CABEI)

Implementation Arrangement：

The TaiwanICDF entered into a loan contract with CABEI. CABEI used the loan proceeds together with its own funds and resources from other donors to lend to partnered financial intermediaries which further lend to MSMEs. The eligible financial intermediaries were banks and non-bank financial institutions, which have signed a credit line with CABEI in compliance with CABEI's selection criteria.

Signing Date：2020-08-28