IIC finances more than $40 million in solar energy and SMEs in Chile

The Inter-American Investment Corporation (IIC) continues to increase its loan portfolio in Chile with the recent financing of a solar photovoltaic plant and a project to improve access to credit for small and medium enterprises (SMEs).

The IIC, acting on behalf of the Inter-American Development Bank (IDB), has financed an A-loan of $19.7 million towards the construction of Los Loros solar photovoltaic plant, owned by the French company Solairedirect S.A.S. In addition, the IIC has mobilized additional financing from the Canada Climate Fund for the Private Sector in the Americas and the China Co-financing Fund, both managed by the CII, worth $18 million and $7 million, respectively. Proparco, the French Development Agency, has also contributed a senior loan of $19.7 million.

Los Loros, located in the Atacama Desert, will generate 54 MWp of renewable energy to be sold entirely to the spot market of Chile’s Central Interconnected System (SIC). The project contributes to diversify the country’s energy matrix, while avoiding the annual emission of 74,800 tons of greenhouse gases.The IIC has also disbursed a loan of $20 million to Tanner Financial Services in order to increase Tanner’s portfolio of SMEs in Chile and improve access to finance for such companies.

Thanks to the support of the IIC, Tanner is expected to finance more than 1,900 Chilean SMEs through factoring and leasing operations. This loan will increase the liquidity of the company, helping to diversify its funding sources and to better manage the flow of its factoring business. The contract provides funding for one year, renewable for an additional six, allowing Tanner to reach a suitable term in response to the needs of the SMEs.