MIGA issued $18 million in guarantees to Citibank, N.A. of the United States for its shareholder loans to its Dominican Republic branch. The guarantee covers the investment against the risks of transfer restriction and expropriation.
The project will allow Citibank to extend its loan portfolio in the country, thereby allowing it to offer more competitive rates across all the credit products the bank now offers such as investments, working capital loans, consumer loans, and medium-term financing. The bank also plans to finance projects in the manufacturing, tourism, and transportation sectors.
Local staff will be able to take advantage of training programs offered in such areas as marketing, risk management, and transaction banking. Many staff will also have the opportunity to train in other Latin American countries and the United States.