Buenos Aires, Argentina, August 17, 2018—
IFC, a member of the World Bank Group, will provide $55 million to BIND Banco Industrial to expand the bank’s lending to small and medium enterprises (SMEs) in Argentina. Through this funding, BIND will offer SMEs longer-term financing than currently available in the local market.
Smaller businesses are an essential engine for growth and job creation in emerging markets. It is estimated that four out of five new formal jobs are created by SMEs. However, more than 70 percent of Argentina’s SMEs have difficulties accessing financing.
“With IFC’s partnership, we will strengthen our support to SME clients, which represent our main market segment,” said Javier Popowsky, BIND Banco Industrial CFO. “This financing shows IFC’s confidence in BIND’s ability to support productive enterprises in Argentina.”
The bank has a strong focus on SMEs, mainly in the agribusiness, services and manufacturing industries as well as wholesale trade. BIND Banco Industrial is embarked on a strategy to grow its digital banking—including online payments, collections and other applications—to better serve SMEs. It became an IFC client in May 2018, when it joined IFC’s Global Trade Finance Program, which facilitates trade flows through guarantees and includes a network of more than 70 banks in Latin America.
“BIND Banco Industrial has a solid track record supporting smaller businesses in Argentina, and with this new funding we want to help the bank extend the tenor of its lending to SMEs,” said David Tinel, IFC Regional Manager for the Southern Cone. “Longer-term credit is crucial to plan, seek growth and hire new employees.”
In Argentina, IFC has committed approximately $1.7 billion in sustainable private sector projects over the past 18 months, becoming a major international source of financing to the country’s private sector during this period.
IFC’s strategy in Argentina focuses on financing projects with significant development impact that spurs economic growth, innovation and job creation. Priority sectors include agribusiness, infrastructure, renewable energy, manufacturing, and financial intermediaries to reach SMEs. Through its advisory programs, IFC works with governments and companies to help establish the conditions that will attract the most private capital, enabling the private sector to grow and create jobs.
About IFC
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work with more than 2,000 businesses worldwide, using our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In fiscal year 2018, we delivered more than $23 billion in long-term financing for developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity. For more information, visit
www.ifc.org
About BIND Banco Industrial
BIND Banco Industrial is a private Argentine bank headquartered in Buenos Aires that is part of the BIND Group. In the local market, it takes the lead in innovation and services of the financial system. Its strategy focuses on providing services and financial products that offer agile, simple and innovative solutions. Its commercial strategy is based on 3 business units: Banking to Companies, Banking to Individuals and Corporate Banking. For more information, please visit:
https://www.bind.com.ar/
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