FinDev Canada supports leading Ecuadorian Financial Institution Produbanco
Summary
MONTREAL - February 2021 - FinDev Canada announced a loan of USD 10 million to Produbanco, a leading Ecuadorian financial institution, to facilitate the financing of SMEs, with a focus on green business and energy-efficiency projects.Founded in 1978, Produbanco is the third largest private commercial bank in Ecuador, with an asset base of US$5.5 billion for Dec 2020, showing an annual average growth rate of 8.34% for the last 5 years; focused on consumer, SME, middle market and corporate banking. As of December 2020, Produbanco has lent USD 218 million in Green Loans, representing 1.73% of their total portfolio (2.90% of commercial portfolio), a testament of their commitment to providing innovative services to their customers and to sustainability.In addition to general financing for SMEs that will support thousands of local jobs, this loan will also help companies enhance their environmental and sustainability practices through direct financing of projects with environmental & social impacts, initiatives that will improve efficiency and operative performance in each customer, looking to reduce carbon emissions and increase sustainable production.Produbanco and its operations present many exciting opportunities for sustainable growth said Paulo Martelli, VP and Chief Investment Officer at FinDev Canada, Working with an institution with an established track record, and a focus on facilitating ethical and environmentally sound practices of local businesses, is exactly what FinDev Canada is all about.As one of the most relevant institutions in Ecuador and being the largest bank within Promerica Financial Corporation (present in 7 countries through Central America), we understand our responsibility with the environment and we have assumed an active role in the market, not only funding projects and initiatives, but looking for articulate stakeholders through sustainability principles, listening and transmitting ideas and criteria from customers, suppliers, competence up to regulators in order to create a sustainable ecosystem. We share this vision with FinDev Canada, and we are happy to work together with this purpose said Jos\xe9 Ricaurte Vice-president of Retail Banking from Produbanco.Considering general terms in the agreement, FinDev Canadas loan will contribute to the local economy in Ecuador, by creating and sustaining thousands of high-quality jobs. Ensuring local SMEs have the capital needed to continue its operations and also contribute to growing local value chains and to GDP.Since 2016, Produbancos Green Loans have resulted in 280,000 tonnes of reduced CO2 emissions; 610,000 m3 of water savings; 3.1 million kW/h in electricity savings; and 4,200 tonnes of waste reduction.FinDev Canadas loan enables Produbanco in furthering the accomplishments realised to date, and contributes to increase the base sustainable business practices in Ecuador.As an employer, Produbanco takes an active approach to womens economic empowerment through a dedicated mentorship program to support womens career progression and attractive benefits packages. It offers a wide range of products and services to efficiently serve the corporate, middle market, SME and retail segments.