Colombia's banking system issued loans totalling 451bn pesos (US$161m) to small- and medium-sized enterprises (SMEs) this year to May, up 49% from the 302bn pesos issued during the same five-month period last year.
The lending, backed by the government's loan guarantee agency Fondo Nacional de Garantias (FNG), benefited 26,014 local businesses at an average of 15.8mn pesos per loan.
In May alone, the system issued 100bn pesos to 7,523 SMEs compared to 84bn pesos in May 2002.
The government recently announced plans to offer loan guarantees of up to 200bn pesos (US$74.2mn) for SMEs over the next two years. The FNG and other government institutions will guarantee up to 70% of a private sector bank loans granted to small businesses.
Source: BN Americas
