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Asunción, Paraguay, January 12, 2023. The International Finance Corporation (IFC), a member of the World Bank Group (WBG), announced the signing of a senior loan of up to US$50 million to Banco Atlas to finance SMEs in Paraguay, of which at least 25 percent will go to WSMEs, hence expanding its lending to businesses in the country. The investment will directly support IFC priorities in Paraguay, including increasing access to finance for under-served market segments, such as SMEs and women-owned SMEs (WSMEs); fostering private investment and competition; encouraging economic formalization through financial resources for local businesses; and directing capital toward solutions that drive gender equality."IFC has focused on expanding market inclusiveness through working with financial institutions in Paraguay, such as Banco Atlas, which commit to grow their relative share of WSME portfolio. IFC anticipates that this intervention, together with other recent IFC investments in Paraguay, will help build capacity and demonstrate the financial viability of lending to WSMEs to other financial institutions", commented Manuela Adl, IFC's Senior Regional Manager, Southern Cone. "At Banco Atlas, we recognize the vital importance of this fund intended to support a transcendental sector for the Paraguayan economy: SMEs. Considering that 49.7% of our population comprises women and 65.2% are in informal working conditions, we want to reduce these inequalities through this loan. In addition, we consider this operation very important because we position ourselves as pioneers in the awarding of this type of funding, which will serve as a precedent for the entire sector and that, in turn, it will bring benefits to the formalization of SMEs and their growth, which will have a direct impact on economic development," highlighted Hernando Lesme, General Manager of Banco Atlas. IFC will also support Banco Atlas in assessing the opportunities to expand its women and WSMEs portfolio through the Banking on Women (BOW) program, which is designed to implement a systematic approach to identify, track, and report Banco Atlas's loan portfolio for women; identify opportunities in targeting women and women-led businesses; and assess Banco Atlas' capabilities to expand the women's segment profitably. The investment is aligned with the WBG's 2016-23 Gender Strategy and will benefit from the advisory services and knowledge network of the IFC's BOW program, which since 2010 has provided advisory services and targeted investments to financial institutions to spur lending to women and WSMEs. In LAC, BOW has a committed portfolio of US$1.9 billion by June 2023. About IFCIFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2023, the IFC committed a record $43.7 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of global compounding crises. For more information, visit www.ifc.org. Stay Connected with IFC on social media. About Banco AtlasBanco Atlas is an entity in sustained growth with more than 160,000 clients and a diversified portfolio. It has 27 offices nationwide and a robust digital platform that facilitates customer transactions, with more than 66% of transactions carried out digitally through its app and home-banking. It is part of the AZETA Group, with more than 70 years of experience in various sectors of the economy. The bank has the AA-py category with a stable trend in its risk rating, certified by FIX SCR S.A. For more information, visit www.bancoatlas.com.py.
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