The Salvadoran Association of Industrial Companies (ASI) presented the 12-measure proposal that is urgently needed to deal with the crisis.
Napoleon Guerrero, president of ASI, explained that the creation of the financial institution is needed to reform the law that regulates the Mortgage Bank and the Bank for Agricultural Development (BFA) in order to capitalize them and expand financial coverage for the industry.
The export and industrial sector in the country has indicated that market conditions have worsened.
"We are now feeling a reduction in credit access, with the consolidation of the banks there is now a restrictive policy, and the international financial crisis is causing more credit to be closed due to the demand for capital in other markets," Jorge Arriaza, executive director of the Salvadoran Industrial Associacion (ASI), manifested.
Since the fourth quarter of 2008, credit extended by banks has been declining consistently.
An analysis published by the Salvadoran Foundation for Economic and Social Development reads:
“This decline has various interpretations, from suggestions that it is the result of reduced demand due to the lack of investment opportunities, to the internationalized banking system’s lack of identification with the needs of local businesses. Regarding the first scenario, this is a very limited conclusion and the second case offers an interpretation that doesn’t have an economic foundation.
The effects are already visible, there is a strong reduction in the credit for housing and vehicles, as well as a restriction of credit cards.
This was confirmed by representatives of the sector, after participating in presentation of the fourth report on the economic situation by the Nicaraguan Foundation for Economic and Social Development, Funides.
The objetive of Costarican Association of Students of Industrial Engineering and Related Careers is to formalize the communication channels between students of industrial engineering and related careers, to promote integration and professional growth.
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