San José, August 8, 2024.- The Central American Bank for Economic Integration (CABEI) issued bonds in the Costa Rican capital market for a total of 57 billion Costa Rican[...]

San José, August 8, 2024.- The Central American Bank for Economic Integration (CABEI) issued bonds in the Costa Rican capital market for a total of 57 billion Costa Rican colones (CRC), equivalent to approximately US$107.6 million.

The placement of the issue, led by INS Valores Puesto de Bolsa S.A. with the support of Citibank, was structured in two tranches: one for CRC21,5000 billion with a term of 5 years and the second for CRC35,500 billion with a term of 9 years, both at a fixed rate.

The funds will be used for sustainable projects and initiatives that promote growth and economic, social, and environmental development in the member countries, prioritizing initiatives that strengthen resilience to climate change, promote social inclusion, and improve the quality of life of the communities.

This placement is CABEI's first issuance under a two (2) tranche format in Costa Rica; with the objective of attracting different investor profiles, which resulted in an oversubscription of 1.16 times the amount called (CRC52,000 billion), confirming the confidence of Costa Rican investors in their development bank, with the participation of diverse institutions such as investment funds, public banks, private banks, brokerage firms, complementary pension operators (OPCs), and insurance companies, among others.

CABEI's Executive President, Gisela Sánchez, was very pleased with the transaction, indicating that: "The Costa Rican market and its investors have reaffirmed their support for CABEI and its renewed financial strategy, which seeks to improve the institutional credit profile, optimize costs and offer the local market the opportunity to invest in debt in its own currency issued by the highest rated issuer in Latin America (AA/Aa3), such as CABEI.

This issuance is CABEI's eighth incursion into the Costa Rican market since its first placement in 2009, reaching an aggregate amount of over CRC250 billion, equivalent to approximately US$551 million; and represents its second placement in Costa Rica in less than a year, after the issuance of CRC53 billion in November 2023, evidencing CABEI's status as the main multilateral issuer in this market.

CABEI is committed to strengthening its competitiveness in the region, as reflected in the recent reduction of interest rates applicable to its member countries under a focus on technical rigor and financial sustainability.