Guatemala  – Citibank, NA It structured a Social Trade Loan for Banrural for a total amount of USD 40 million. This operation will provide working capital and financial solutions to support small and medium-sized enterprises (SMEs) throughout Guatemala, with a particular focus on the country's rural development.

This is the third Social Trade Loan structured by Citi in Guatemala to support SMEs. The approved funds will help businesses strengthen their operations and expand their activities, boosting domestic trade and fostering inclusive economic growth.

“We are proud to continue our support in line with Citi’s Social Finance Framework, reaffirming our commitment to empowering SMEs to access financial services in emerging economies. This operation places special emphasis on promoting domestic trade,” said Julio Álvarez, CCO of Citi Guatemala.

“Given Banrural Guatemala’s mission to promote development, especially in rural areas, this strategic alliance with Citi reaffirms our commitment to financial inclusion and support for MSMEs, a key sector due to its growth potential and high impact on the economy. Through our nearly 12,000 service points nationwide, we are the first point of contact for thousands of entrepreneurs seeking access to financial services and solutions tailored to their needs. We are very proud to promote economic development through an innovative and socially responsible approach,” said Juan Luis Fonseca, General Manager of Banrural Guatemala.

This transaction, which falls under the category of economic inclusion through access to essential services, supports Citi's Social Finance goal of facilitating access to basic services and economic opportunities for 15 million low-income households—including 10 million women—in emerging markets. It also contributes to Citi's global goal of financing and facilitating $1 trillion in sustainable finance by 2030.

Highlights:

·       The USD 40 million will allow Banrural to provide productive loans to small and medium-sized enterprises (SMEs) throughout the country to promote inclusive economic growth in rural areas of Guatemala.

·       This is Citi Guatemala's third Social Trade Loan, which reinforces Citi's role in supporting local social finance initiatives.

·       This operation is expected to contribute to the growth of Citi Guatemala's business and to the fulfillment of Social Finance objectives in the country.

·       It demonstrates Citi's ability to adapt its foreign trade and working capital products to help its clients achieve their sustainability and social impact goals, with direct effects on communities in Latin America and the Caribbean.

Between 2022 and 2023, Citi closed 50 social financing operations for a total value of USD 3 billion, with the aim of expanding access to basic services in underserved communities in Latin America and the Caribbean.

About Citi
Citi is a leading banking partner for institutions with cross-border needs, a global leader in wealth management, and a highly regarded personal bank in its home market, the United States. Citi operates in more than 180 countries and jurisdictions, providing corporations, governments, investors, institutions, and individuals with a broad range of financial products and services.

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About Banrural
Banrural is a mixed-capital bank with multi-sector participation, focused on promoting development in Guatemala. It boasts one of the highest risk ratings awarded by Fitch Ratings (AA(gtm)) and Moody's (AA+gt) for a Guatemalan-owned bank. With just 27 years of experience, it serves over 3.8 million clients, offers the largest banking coverage nationwide, and is a leader in providing productive loans and attracting savings deposits, demonstrating the trust its clients place in it.