Announcement of Loan of Thirty-Five Million Dollars for Industrial Credit in Peru on December 28, 1976

•world Bank 1818 H Street, N. W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 BANK NEWS RELEASE NO. 77/48 December 28, 1976 LOAN OF $35 MILLION FOR INDUSTRIAL CREDIT IN PERU The World Bank has approved a loan of $35 million in support of an industrial credit program aimed at helping finance a wide range of development projects in Peru. This is the Bank's first DFC (development finance company)-type • operation in Peru. The loan will help finance the foreign exchange component of some 35 to 50 projects in the manufacturing, mineral, agricultural pro- cessing and tourism fields. The loan is being made to Corporacion Financiera de Desarrollo (COFIDE), the Peruvian Government's principal development finance institution. The proceeds will be relent by COFIDE to sub-borrowers which will include mostly medium and large enterprises regardless of their form of ownership (state owned, reformed private, private and Social Property Enterprise owned by workers). The loan will contribute to strengthening the country's balance of payments positively by supporting projects producing either for export or sub- stituting imports economically. The $35 million loan will bear interest at 8.7% per annum, repayable over a period of 17 years . • NOTE: Money figures are expressed in US dollar equivalents