IDB Invest, a member of the Inter-American Development Bank (IDB) Group, finances the payment service to suppliers of Mabe, a Mexican company dedicated to the manufacturing and commercialization of electrical household products. The operation consists of a $50 million uncommitted payment service line, which allows Mabe’s suppliers, primarily small and medium-sized enterprises (SME), to access financing more efficiently and with better terms.

The deal aims to facilitate financing to more than 40 suppliers through the electronic platform E Factor Network, which provides competitive conditions in a simplified manner. These suppliers are mostly SME that often have difficulty financing their working capital due to lack of liquidity. It is estimated that the reduction of the wait time for the payment of goods and services on average is reduced from 120 to 30 days.

Payment service programs like this one are used as an alternative financing for SME in Mexico. They are designed by large companies in favor of their suppliers, to maintain the proper functioning of their supply chains and to optimize their working capital.

It is expected that this deal will potentially contribute to three United Nations Sustainable Development Goals (SDGs): Decent work and economic development (SDG 8), Industry, innovation and infrastructure (SDG 9) and Partnerships to achieve the objectives (SDG 17).

About IDB Invest
IDB Invest, a member of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable enterprises and projects to achieve financial results that maximize economic, social and environmental development for the region. With a portfolio of assets of $12.1 billion under management and 329 clients in 21 countries, IDB Invest works across sectors to provide innovative financial solutions and advisory services that meet the needs of its clients.

About Mabe
Mabe is a company with a recognized track record in the manufacture and distribution of white goods, such as refrigerators, washing machines, dryers, stoves and washing centers in Mexico, the United States, Canada and most other countries. In Latin America it also distributes microwaves, air conditioners, bells, among others. The company exports to more than 43 countries on five continents, has more than 18,000 employees and generates annual revenues of more than $3,079 million. The Group has five manufacturing plants and an innovation center in Mexico, as well as three production plants in Ecuador, Colombia and Argentina, from where it serves Central and South America. Mabe has developed a relevant supply chain in Mexico, and in the rest of the countries where it has operations, which exceeds 800 suppliers.