Spain became an extra-regional CABEI member in 2005. At the close of 2020, it has a subscribed capital of USD280.00 million with capital payments of USD60.00 million and a shareholding of 4.23%.
The partnership between CABEI and Spain provides financial support to the Central American region through the signing of various financial cooperation contracts for an amount of USD546.7 million. Of these funds, USD408.4 million have been channeled through agreements signed with the Instituto de Crédito Oficial (ICO, Official Credit Institute) and the remaining USD138.3 million is provided by the Spain-Honduras Debt Conversion Agreement, held with the Ministry of Economy and Business. During 2020, a financing agreement was signed with ICO for an amount of up to EUR 100.0 million (USD112.5 million) to finance investment and/or liquidity and export/import operations of Spanish companies in CABEI member countries. The loan was signed on June 25, 2020 through a document sharing procedure. Likewise during 2020, a total of USD134.9 million was raised from ICO through the valid agreements between both institutions.
CABEI approves US$50 million to Honduras for prevention, detection and treatment of COVID-19
Honduras is the first country in the region to receive resources from the Development Policy Operation (DPO) program, reaffirming CABEI's support to increase actions to contain the Pandemic in the country.
Tegucigalpa May 26, 2020.- The Central American Bank for Economic Integration (CABEI) approved US$50 million to the Republic of Honduras to increase efforts for the prevention, detection and treatment of COVID-19, as well as to mitigate the pandemic's economic impact on the country.
The funds aim to provide fast-disbursement financial resources to strengthen preparedness and response capacities in the face of the pandemic. In addition, the resources will protect vulnerable groups and employment, foster macroeconomic stability and promote economic recovery in the country.
CABEI Executive President, Dr. Dante Mossi, stated that, “The Bank supports the efforts of each of its member countries in dealing with this crisis, reaffirming its commitment and support to doing everything possible during the health emergency to overcome this global economic challenge."
By means of this operation, the Republic of Honduras becomes the first country to receive financing from CABEI's Development Policy Operation (DPO) program; this new instrument was approved by the Bank in January of this year in order to support the countries of the SICA region in the implementation of priority policy actions and development results that strengthen the maintenance of macroeconomic stability.
The operation falls under the framework of CABEI's COVID-19 Regional Support, Preparedness and Economic Reactivation Program, specifically its third component: Credit to Finance Public Sector Operations.
