Announcement of Five Million Dollars Peru Loan on March 13, 1957

WORLD • INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT 1818 H STREET, N.W., WASHINGTON 25 1 D. C. TELEPHONE: EXECUTIVE 3-6360 PRESS RELEASE NO. 478 SUBJECTt $5 million Peru loan. March 13, 1957 The World Bank today made a loan of $5 rrd.llion to trhe Banco de Fomento Agropecuario del Peru to enable the Banco to continue its program of long-term lending for the development o.f agriculture. The proceeds of the loan will pay for the importation of agricultural machine?".{., irrigation equipment, livestock and some equipment for fisheries. The New York Trust Company, Bank of America~ and First Nation~ City • Bank of New York are participating in the loan without the World Bank's guarantee in the total amount of $1,101,000 representing the first three maturities which fall due in 1959 and 1960. The Banco Agropecuario is an autonomous credit institution of the Peruvian Government, and this is the second $.5 ¢11ion loan it has received from the World Bank.~ Wi+.h the help of the first :i:'oan, made in 1954., the Banco was able to double the voltmte of its medium and long-term loans in the period 1954-1956. These loans totaled the equivalent o!' $10 millionJ and the increased availability of credits r or farm develc:,pment c6ntributed effectively to a marked e,cpansion in ·Peru of fa.rnting and, livestock raising. ~1th the new loan of $5 million, the Banco will be able to continue its long-term lending program and devote more of its own resources to loans It • .~blving local ~xpenditures • Continued expansion of agriculture is necessary to lce0p pace ,dth the needs of Pe.ru 1s growing economy and population. Wheat and meat are still •') be;ng impor~ed in large quantities and there is an unsatisfied demand for