IDB Invest supports the development of Suriname's private sector through Finabank
IDB Invest, a member of the IDB Group, will provide a US$3 million loan to Finabank N.V. in Suriname. In addition, IDB Invest has approved the expansion of a line of its trade finance facilitation program (TFFP), from US$2 million to US$5 million. This transaction will support the growth of Finabank’s small and medium enterprise (SME) portfolio by providing additional sources of funding.
IDB Invest participation will have a catalytic effect by providing confidence in the market and increasing the financing base of Finabank, a key component for the sustainable growth of loans, which will help improve its business practices, thus contributing to the development of the private sector in Suriname.
“At IDB Invest we are very pleased to deepen our relationship with Finabank, a great partner in Suriname to support entrepreneurship and access to finance for companies that sustain jobs and opportunities in the country. This was demonstrated by today's signing of a new loan to assist in US dollar funding for its SME clients and an increase in our trade finance line, which will further enable international trade finance transactions,” said James Scriven, CEO of IDB Invest. “These operations reflect our commitment to support Suriname’s and the Caribbean’s economic resilience and recovery,” he added.
On the other hand, Eblein Frangie, CEO of Finabank said, “We are honored with this new and stronger commitment to IDB Invest. This agreement will allow Finabank to further strengthen its governance according to international standards in order to meet Finabank's strategic objectives.”
IDB Invest will also provide advisory services to Finabank to support the development and implementation of an Environmental and Social Management System, as well as activities aimed at strengthening anti-money laundering and combating terrorism financing, raising them to international standards.
This deal potentially contributes to four United Nations Sustainable Development Goals (SDGs): Decent work and economic growth (SDG 8), Industry, innovation, and infrastructure (SDG 9), Reduction of inequalities (SDG 10), and Production and responsible consumption (SDG 12).
About IDB Invest
IDB Invest, a member of the 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 companies and projects to achieve financial results and maximize economic, social and environmental development in the region. With a portfolio of $13.1 billion in asset management and 385 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
Finabank was established in 1991 and is 100% privately owned. Finabank has established itself as the fourth largest bank in Suriname. It has five branches, approximately 742 point of sale systems (POS) and 36 automated teller machines (ATM). Finabank is active in various areas within Suriname's commercial and retail banking sector. Finabank focuses on five sectors: business market, mass retail market, high-end retail market, government and financial institutions. In terms of strategy, Finabank has always been actively involved with clients' needs and offers tailored financial products and services to create a sustainable partnership. The Bank is focusing on increasing its market share in the country in a sustainable and organic way, and by acquiring clients that have not been served by larger banks, while improving the diversification of segments and the digitization process.