CABEI and Promérica join efforts to create green financial products

The document was signed by the CABEI Manager for Honduras, Pedro Emilio Banegas and the Executive Director of Banco Promérica, Gustavo Raudales Rush.

CABEI and Banco Promérica establish a process to create financial products aimed at promoting renewable energy and energy efficiency investment to MSMEs.

Tegucigalpa. March 19, 2015. -  The Central American Bank for Economic Integration (CABEI), through its Green MSME Initiative, and Banco Promérica S.A. signed a technical cooperation agreement amounting to US$120,000.00 in order to implement green financial products targeted at Micro, Small and Medium Enterprises (MSMEs); train personnel and clients about the subject of renewable energy, energy efficiency and cleaner production; and promote MSME-focused financial products.

The agreement specifically seeks to create financial products focused on energy efficiency, renewable energy and cleaner production, as well as to strengthen the capacities of executives, clients and suppliers of Banco Promérica with regard to environmental issues and the promotion of financial products. “The objective is encourage clients to make this kind of investment,” said CABEI Manager for Honduras Pedro Emilio Banegas.

The cooperation effort involves the design and implementation of green financial products, which will add to the supply of Banco Promérica’s financial products; a training program for the bank’s executives, clients and suppliers; and the promotion of green products in the market.

“The initiative is a manifestation of our efforts as a socially responsible company towards the MSME sector and seeks to maximize our clients’ profits through the production of renewable energy and energy efficiency,” said Banco Promerica’s Executive Director Gustavo Raudales.

The operation complements other initiatives executed by CABEI that seek to improve the conditions and access of the MSME sector to environmental investment financing.

The Green MSME Initiative is a tripartite initiative of CABEI, the German government’s KfW Development Bank and the European Union. The Initiative has financing for small-scale renewable energy and energy efficiency projects amounting to US$44.5 million, which is channeled through CABEI’s network of financial institutions. It also has a US$4.5 million technical cooperation program, which provides technical cooperation to financial institutions, energy audits to MSMEs and feasibility studies for renewable energy projects, in addition to promoting and raising awareness about the issue.