March 10, 2023
IDB Invest signed an investment commitment of up to 192.4 billion Colombian pesos (approximately $39 million) in the private debt fund “FCP Credicorp Capital Private Debt I”, backing the first Colombian fund to offer long-term structured financing in local currency. The fund will be managed by Credicorp Capital, which is part of the Credicorp Group.
This project supports the sustainable growth of Colombian companies, especially medium-sized companies, through access to long-term structured financing instruments. Most companies in the region do not have access to this type of long-term financing, which is crucial for corporate growth since it allows them to innovate, increase their efficiency, expand into new markets and create new jobs.
The fund will bring to the market a complement to the financing offer currently available to Colombian companies, focusing on middle-market firms. The new Credicorp Capital fund will offer structured loans with more appropriate terms and conditions for financing expansion projects.
The project also plays a decisive role in establishing a solid foundation in the private debt sector in the country, catalyzing new investments that contribute to the development of this fledgling sector.
Likewise, IDB Invest will offer an advisory service in order to co-create an action plan to close gender gaps and share relevant knowledge related to the subject. In addition, training will be carried out for companies in the portfolio on relevant issues on gender equality in the workplace.
The deal is expected to contribute to the following United Nations Sustainable Development Goals (SDGs): Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8), Industry, Innovation and Infrastructure (SDG 9), and Partnerships to achieve the goals (SDG 17).