The Inter-American Development Bank (ADB) will provide up to $17.5m in loans Banco BHD of Dominican Republic to strengthen its capital position and expand its long-term lending to the corporate sector, including small and medium-sized enterprises.
The facility consists of a senior five-year unsecured loan of up to $5m and an eight-year subordinated loan for up to $12.5m from IDB’s ordinary capital.
The IDB loan may also be complemented by additional financing from commercial banks.
BHD is the third largest bank in the country with a 14.7% market share of assets. Its majority shareholder is Grupo BHD, a Dominican holding company with interests in the financial services, through Centro Financiero BHD (CFBHD). Banco Sabadell of Spain, Banco Popular of Puerto Rico and the IFC are investors in CFBHD.
FinSMEs
12/12/2009