In support of Honduran MSMEs, CABEI increases line of credit by US$2.5 million to José María Covelo Foundation


As part of the Support Facility for this sector, in a year and a half the Bank has channeled US$89.3 million through financial institutions.

Tegucigalpa, December 13, 2021.- To continue strengthening micro, small, and medium-size enterprises (MSMEs) and promote their competitiveness in Honduras Central American Bank for Economic Integration (CABEI) approved the extension of the global line of credit to the José María Covelo Foundation for US$2.5 million, for a total of US$5.0 million.

The new resources will enable the institution to increase rural lending, as well as the average number of loans granted to 50 microfinance institutions and allied cooperative groups that channel resources on favorable terms to the MSME sector, most of which are led by women, in addition to supporting economic reactivation by preserving jobs.

CABEI Executive President Dr. Dante Mossi stated, CABEI Executive President Dr. Dante Mossi stated, "We are pleased to continue supporting MSMEs through our strategic allies, as we can contribute to their access to working capital, guarantees, technical assistance and inclusive financial products and services to improve their quality of life and, therefore, that of their families".

This increase in the line of credit to the Foundation, which has a 13-year relationship with the Bank, will enable it to finance activities related to productivity, housing and education, energy efficiency investments and other environmentally sustainable activities.

In the year and a half since the implementation of CABEI's Financial Sector Support Facility for financing MSMEs in Honduras, a total of US$89.3 million has been channeled to the sector.