For this year, growth in banking credit to the private sector is projected at between 6% and 9%, but the year-on-year increase registered up to March was only 4%.
Figures from Banco de Guatemala show that during the year 2017 credit to the private sector grew at a monthly average of 5.17%, and the lowest increases were reported in November and December when the amount increased compared to the same months of 2016 by 4.9% and 3.8% respectively.
Banco de Antigua has announced the acquisition of the microcredit portfolio of the G & T Continental entity, which will continue to focus on consumer and corporate areas.
G & T Continental Bank reported that the operation is due to a restructuring process to meet the new technological trends in the financial market.
According to Fitch low capitalization indicators continue to reflect a structural weakness, with a potential reduction in the net interest margin and relatively high dividend payments.
From a statement issued by Fitch Central America:
Largest banks in Guatemala: Sovereign Risk Puts Pressure on Ratings
Local Majority Banking System: The largest banks (70% of loans in the system) belong to local shareholders.
The Administrative Office of Seized Properties in Honduras will be responsible for overseeing the continued operations of the companies seized from Continental Group.
The Executive ordered the Administrative Office of Seized Property (OABI by its initials in Spanish) to be responsible for seeing that companies seized from the group continue to operate as normally as possible.
In the first half of 2014 banks assets in the country increased by 12% compared to the same period in 2013, while the amount of loans granted grew by 11%.
Data from the Superintendence of Banks of Guatemala reveals that the profits made by banks in the same period grew by only 0.87%.
Federico Martínez Linares, CEO of Banco G & T Continental told Eleconomista.net that "...
Up until August three banking entities with microfinance licenses granted loans worth $154.17 million to micro and small businesses.
Capital.com.pa reports that "statistics from the Superintendency of Banks in Panama up to August 2013 indicate that Banco Delta leads the credit portfolios, with 72.24% of the total. Its followers are MiBanco, with 17.12% and Banco G & T Continental, with 10.64% ... ".
Eight banks have provide to a Costa Rican subsidiary with its first Latin American syndicated loan to finance the construction of two cell phone towers.
"The operation involved Citibank, Banco General, Banco G & T Continental, Corpbanca, MetroBank, RBC Merchant Bank (Caribbean) Limited and Towerbank International. Additionally, Improsa Bank acted as trustee," reported Elfinancierocr.com.
In an attempt to attract more customers banks are diversifying their product portfolios.
One example is the Agromercantil Bank (Bam) who will soon launch a product called 'Hazlo sencillo' (Make it Simple), which will be accessible to the institution's debit card users. "The service will consist of rounding off cardholder's accounts and transferring the balance to a small savings account, where the owner will earn interest on those savings.", said the general manager of the institution, Luis Fernando Caceres, in an article in Siglo21.com.gt
This figures are a glimpse of this market's potential in Panama, say local financial brokers.
One of the effects of the economic crisis was that thousand of Panamanians rushed to establish their own businesses, causing an increase in micro-credit of 18.7% in the first half of 2009, when compared to the same period of 2008.
An article in newspaper Prensa.com points out that "Mr.
Credit to the private sector grew by 11.2% in January, a lower growth than for the same period last year when the increase was 26.4%.
Reporter Jessica Gramajo wrote in the SigloXXI website: "Data from the Bank of Guatemala (Banguat) reported that in January of this year the banking system maintained a loan portfolio of $10.901 million (Q 87.240,8 million).
The guatemalan bank presented a new financial product for fix term savings - "Intelligent Account"
Prensalibre.com reports: "It is called the Intelligent Account, with which investors can gain interest on the amount saved from the moment they make their fixed deposit.
Carlos Granados, Marketing manager for personal banking, explained that the new financial instrument allows them to ..."