CABEI signs agreement to support increased capital mobilization in Central America
The agreement will enable the region's countries to access a broader and deeper financial market through the participation of more investors.
Tegucigalpa, May 18th, 2021.- A memorandum of understanding was signed on Wednesday between the Central American Bank for Economic Integration (CABEI), the Executive Secretary of the Central American, Panamanian and Dominican Republic Council of Finance Ministers (SECOSEFIN), the Executive Secretary of the Central American Monetary Council (SECMA) and the Central American Stock Exchange Association (BOLCEN), with the aim of strengthening the regional public debt market.
This agreement will broaden the investor base for sovereign issues, providing the region with more investment options and greater capital mobilization for its development.
CABEI Executive President, Dr. Dante Mossi, explained during a press conference with the regional press that: "this initiative foresees the possible creation of an Operations Repository that will allow for the cross-border settlement of public securities, improving financial resource access and mobilization within and to the region, as well as achieving greater levels of integration of our economies.”
This agreement is particularly relevant in an economic crisis scenario caused by COVID-19 and climate change effects, as it broadens CABEI member countries' financing avenues to boost their economic reactivation.
The signatories of the Memorandum were Dr. Dante Mossi, CABEI Executive President; Alfredo Ibrahim Flores Sarria, Executive Secretary of SECOSEFIN; Domingo González Hidalgo, Executive Secretary of SCMA; and José Rafael Brenes, President of BOLCEN.
This type of agreement is framed within CABEI's 2020-2024 Institutional Strategy, specifically the Sustainable Competitiveness strategic axis, which seeks to intervene in strengthening the economic, social and institutional factors that determine regional competitiveness.