El Salvador: Scarcity of Credit Affects Exports

The export sector registered a 15% fall between January and April and continues to have difficulties in getting financing.

Friday, June 26, 2009

Medium and small sized businesses are the most affected, according to the Executive Director of the Corporation of Exporters of El Salvador (Coexport acronym in Spanish), Silvia Cuellar.

Patricia Palma writes for Elsalvador.com: “The President of the Central Reserve Bank (BCR acronym in Spanish), Carlos Acevedo, also pointed out the difficulties being experienced by those companies ‘that aren’t big enough to access credit from comercial banks, nor are they small enough to recieve the support of the Mortgage Bank.’ In order to meet thier needs, the Central Bank is working to create a system of guarantees that work ‘like a type of cosigner,’ explained Acevedo,…”

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