IDB Invest issued the following announcement on Aug. 2.
IDB Invest and Banistmo announce the issuance of the first social gender bond in Latin America, totaling $50 million with a five-year term. Banistmo issues the bond, and IDB Invest structures it and buys 100 percent of it.
The issuance makes Panama the first country in Latin America with a social bond with a gender focus, aimed exclusively at expanding access to financing for women-led small and medium enterprises. The resources will promote entrepreneurship and women's economic empowerment in that country.
The bond has a second party opinion from Vigeo Eiris, which accredits compliance with the international social bond standards in The Social Bond Principles of the International Capital Market Association (ICMA).
The bond can potentially contribute to four UN Sustainable Development Goals (SDGs): Gender equality (SDG 5), Decent work and economic growth (SDG 8), Industry, innovation and infrastructure (SDG 9) and Reduced inequalities (SDG 10).
In 2018, Banitsmo launched Impulsa, training more than a thousand women in personal and business finance. Impulsa is part of the women entrepreneurship Banking (weB) program, created by IDB Invest and IDB Lab in 2012 to help banks better serve the women's market. weB has approved more than $800 million in loans and $5 million in technical assistance to 20 banks in 12 countries.
About IDB Invest
IDB Invest, a member of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies so they can achieve financial results and maximize the region's economic, social, and environmental development. With a portfolio of $12.4 billion in assets under administration and 342 clients in 24 countries, IDB Invest provides innovative financial solutions and advisory services in response to its clients' needs in several sectors.
About Grupo Bancolombia y Banistmo
Banistmo is part of the Bancolombia Group, a financial institution present in Colombia and Central America offering financial products and services to more than 14 million active clients. Banistmo is the second most important financial institution in Panama by volume of deposits and loans, has a workforce of 2,200 employees, 65 percent of which are women. It is a member of the National Council for Entrepreneurship led by the Micro, Small and Medium Enterprises Authority (AMPYME).
Original source can be found here.
Alerts Sign-up