IDB Invest said it has granted a $25m revolving credit line to Eurocapital to fund factoring operations for small businesses in Chile and Peru.
The Latin American export finance bank Bladex also participated in the loan, IDB Invest said in a press release.
Chile's factoring market accounts for more than 10% of GDP, mostly from small and medium-sized enterprises (SNEs), but Peru's market is getting started under a new legal framework, according to IDB Invest.
The multilateral lender has also received a request for a $20m A/B loan from the Peruvian credit union Cooperativa Pacífico to finance micro and small businesses and social housing projects. The financing could involve a $5m A loan from IDB Invest and a $15m B loan from one or more lenders. IDB Invest's board will review the request on September 12.
