Mexico has been a non-regional CABEI member since 1992 with an authorized stake of USD306.25 million in the Bank's share capital and capital contributions of USD76.56 million, ranking as the third largest shareholder within the group of non-regional members with 5.03%.
The contribution that Mexico channels to the Central American region through CABEI is based on various financial cooperation instruments with Banco Nacional de Comercio Exterior S.N.C. (Bancomext) for a total amount of USD520.8 million. The relationship between the Bank and this country was solidified in 2008 with the launching of the Central American Social Housing Development Program. It falls under the framework of the Mesoamerican Integration and Development Project (formerly Plan Puebla Panamá). Since that date, the Mexican government has made resources available to develop a sustainable market for long-term housing finance in the Central American region that addresses the housing deficit and future needs in this area. Throughout the Program's existence, 59 disbursements have been made through 14 intermediary institutions. In total, 192.7% of the initial financing available has been channeled, benefiting a total of 8,032 low- income households, which can now enjoy a more dignified home.
CABEI issues bonds worth US $ 250 million in international markets
CABEI has issued two notes at the beginning of year 2019, the first issue in the Uruguayan market and the second issue in the Swiss market.
Tegucigalpa, March 6, 2019 – In line with its financing strategy based on market and currency diversification, CABEI began the year with the placement of notes in the Swiss and Uruguayan markets with a total amount equivalent to US$250 Million.
The first issue took place on February 15 in Uruguay, with an inflation linked note of the country for an amount of UYU 1,631.5 Million, equivalent to US$50 Million. This was a private placement in the Uruguayan market at a 3.15% semiannual coupon with a five-year tenor due in 2024. This is the fifth note that CABEI issues in this market and as such the Bank pursues the strengthening of its presence in the south American region.
Simultaneously on February 25, the second CABEI issue took place in the Swiss market in Swiss Francs, for an amount of CHF 200 Million, and equivalent of US$200 Million, with an annual coupon of 0.20% and a five- year tenor, also due 2024. This is the eleventh issue to take place in the Swiss market from CABEI, in which CABEI has been a frequent issuer during the last several years.
Our executive president Dr. Dante Mossi states that “With these first issues of the year 2019 we stand by our commitment as the development bank with the best credit rating in the Latin-American region, seeking for the best funding sources for the financing of projects that pursue the sustainable development and economic and social development of the Central American region and its member countries”
During the year 2018, CABEI raised an amount equivalent to US $ 1,135 million in the capital markets of Switzerland, Japan, the Republic of China (Taiwan), Mexico, Colombia and Costa Rica, in different local and international currencies, including new structures such as the zero coupon bond in the Mexican market or the first issue of the bank in New Zealand Dollars (NZD).
A solid financing plan for 2019 along with geographic diversification with the entry of Korea as a non-regional member of CABEI, reassures and reinforces its position as the development bank of most relevance and importance in the Central American region, supported by its credit ratings assigned by, Standard & Poor's with A +, Moody's with A1 respectively, with positive outlook and Japan Credit Rating with AA-.
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