Banco Pichincha and IDB Invest announced the issuance of Ecuador’s first gender bond for US$100 million. Of the total amount, IDB Invest will provide $50 million and the other half will be financed by the International Finance Corporation (IFC). The objective is to increase access to credit for micro, small, and medium-size enterprises (MSMEs) led by women.

The operation has received support from the Women Entrepreneurs Finance Initiative (We-Fi), a partnership that aims to expand financing and access to financial markets for businesses owned and/or led by women.

IDB Invest has advised Banco Pichincha in the design of the methodological framework for the use of proceeds, which contains the criteria for project selection, monitoring and evaluation, aligned with the Social Bond Principles of the International Capital Markets Association (ICMA). Banco Pichincha obtained an independent verification of the methodological framework, a second party opinion, issued by V.E. (a Moody’s ESG Solutions company), an external consultant specialized in this type of projects. In addition, IDB Invest will provide a monetary grant subject to the fulfillment of objectives related to the SME Mujer portfolio.