Project detail - BANCOP S.A.

BANCOP S.A.

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Who is our client

Banco Para la Comercialización y la Producción, Bancop S.A. (Bancop) is a private universal bank in Paraguay. It is owned by a group of 28 productive cooperatives tied to the country’s agriculture, cattle and agro-industrial sectors. Bancop started operations in 2012 and has been growing rapidly - by the end of 2019, it had USD 444mln in total assets. Its loan portfolio is dedicated to corporates and SMEs mainly active in the agriculture and cattle value chains.

Funding objective

The up to USD 15mln 7-year facility, which has a USD 7.5mln committed tranche and a USD 7.5mln uncommitted tranche, is to be on-lent to local SMEs in line with FMO’s definition.

Why we fund this project

As a founding member of the Paraguayan sustainable finance roundtable 'Mesa de Finanzas Sostenibles', Bancop has been a relevant partner for FMO. The bank's advanced environmental and social practices and its focus on commercial clients make it an ideal partner to support and promote investments in SMEs in Paraguay. This becomes highly relevant in the context of the COVID-19 crisis since Bancop aims to continue supporting clients with financing for working capital and investments at a time when funding has become scarce across financial markets.

Environmental and social rationale

The project has been classified as Category B in accordance with FMO’s Sustainability Policy. Project’s activities are deemed to have minimal or no adverse environmental and social risks and/or impacts. As part of the project, Bancop will be required to apply the EDFI Exclusion List and Paraguay E&S laws and regulations.

More investments

Date Total FMO financing
12/13/2021 USD 5.00 MLN
12/13/2021 USD 10.00 MLN
9/21/2018 USD 7.50 MLN
Website client
http://www.bancop.com.py
Region
Latin America & The Caribbean
Country
Paraguay
Sector
Financial Institutions
Signing date
12/17/2020
Total FMO financing
USD 7.50 MLN
Fund
FMO
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)
B