Banco Promerica from El Salvador completed the issuance of the first sustainable bond in the country, which has been fully subscribed by IDB Invest. The 20 million dollars issuance seeks to finance green and social projects, and is part of the first sustainable bond program in El Salvador for a total amount of 100 million dollars within a 5 year term.

The proceeds from the placement will be used to finance new credits aimed at Banco Promerica’s social portfolio of small and medium-sized companies (SMEs), as well as companies led by women and young people. They will also support the green portfolio of Banco Promerica.

IDB Invest also advised Banco Promerica on the segmentation of its portfolio, the definition of key indicators and the design of the methodological framework for the use of funds, which contains the selection, monitoring and evaluation criteria of projects, aligned with the Green and Social Bond Principles of the International Capital Markets Association (ICMA). The issuance obtained the independent verification of the methodological framework, known as a second-party opinion, issued by Pacific Corporate Sustainability (PCS), an external consultant specializing in this type of project.