Banco Continental is Paraguay’s largest bank in terms of the size of its balance sheet (USD 3.4bn at the end of 2017) and has a portfolio mainly focused on the agricultural sector (activities related to primary agriculture and livestock raising account for 29% of outstanding amounts).
Banco Continental was set up in 1980 by Carlos Guberman and has been listed on the Asunción Stock Exchange (BVPSA) since 1993.
The project involves supporting the development of Banco Continental’s activities via a USD 30m credit line earmarked to finance agricultural holdings and agribusinesses in Paraguay.
PROPARCO’s loan is part of a total financing amount of USD 80m, with the participation of CAF (USD 30m) and DEG (USD 20m).
The project will have a knock-on effect on the local economy by supporting key sectors in Paraguay’s economy: agriculture and livestock raising.
It will also contribute to financial inclusion and private sector development, including small farms and SMEs, especially in rural areas. Finally, the project will support local employment by creating 670 new jobs and maintaining some 1,360 jobs over the next 5 years at Banco Continental.