IFC and Santander sign $300m climate, SME finance facility
The International Finance Corporation and Santander have signed a $300 million unfunded risk-sharing facility to support the increase of access to climate finance and the growth of small and medium enterprises (SMEs) in Chile. The facility will enable Santander to promote the origination of mainly climate-related loans.
This is the first risk-sharing facility in the Chilean market, and it allows IFC and Santander to share the risk of a given portfolio of trade assets on a 50-50% basis. The underlying trade assets are primarily export-driven and expected to total approximately $1 billion of Chilean export flows in three years.