 |
|
|
|
|
|
|
|
|
|
| |
IntroductionThe Inter-American Investment Corporation (IIC) is a multilateral investment institution that is part of the Inter-American Development Bank (IDB) Group. Its mandate is to promote the economic development of its Latin American and Caribbean member countries by financing private enterprise, preferably small and medium in scale. To fulfill its mission, the IIC provides long-term financing in the form of - direct loans;
- direct equity or quasi-equity investments;
- lines of credit to local financial intermediaries for on-lending in the form of smaller loans;
- agency lines with local financial institutions for joint lending;
- investments in local and regional private equity funds; and
- guarantees for and investments in capital markets offerings.
The IIC seeks to provide financing to companies that do not have access to medium- or long-term financing from the capital and financial markets. The IIC finances expansion projects in all economic sectors (except for arms manufacturing and trade, gambling, and real estate specu lation). On a limited and selective basis, the IIC finances new (greenfield) projects. IIC financing may be used for both local and foreign currency investments in fixed assets, permanent working capital, and preoperating costs. The IIC does not take on managerial or administrative roles in the companies in which it makes equity investments. However, it may request representation on the board of directors. The IIC may serve as an advisor to companies in attracting other resources to the projects it finances: additional financing, technology transfer, and technical and managerial know-how. These resources are mobilized through cofinancing and syndication, support for security underwritings, and identification of joint venture partners.
|
|
|
|
|
