Banking Banks Banex (Nicaragua) Central Bank of Nicaragua bank Superintendency of Banks and Financial Institutions Nicaragua financial losses Antenor Rosales bank closing Víctor Urcuyo Alfredo Alaniz Asociación Nicaragüense de Instituciones de Microfinazas Bank opening Benjamín Vides Central Banking

Banex Nicaragua Definitive Closure

The banking regulator has requested shareholders to begin the liquidation process of the financial institution.

Thursday, August 5, 2010

©image: Banex Banco del Exito

The head of Nicaragua's Banking and Finance Regulator (SIBOIF), Víctor Urcuyo, has said that the decision does not impact on the bank's customers since, "the vast majority have already received their money".

La Prensa reports comments from the Nicaraguan Central Bank's president, Antenor Rosales: "The social contract will be disolved, assets liquidated and the company's register deleted. The subsequent liquidation process should take longer than a year".

Source: laprensa.com.ni

Key entities

Antenor Rosales Banex (Nicaragua) Superintendency of Banks and Financial Institutions Nicaragua Central Bank of Nicaragua Víctor Urcuyo

Countries

Nicaragua

Insight

bank closing financial losses bank Banks Banking

Microfinance Banks Offer to Help Nicaragua's Banex

August 2010

The Nicaraguan Association of Micro-Finance Institutions (ASOMIF) has offered to assist in the recovery of Banex.

Alfredo Alaniz, ASOMIF's executive director, commented that in meetings held with Nicaragua's banking regulator and central bank authorities those present agreed on the need for the institution to continue its operations whether as a bank or as a finance company.

Banex to Resume Operations in Nicaragua as Microfinance Bank

July 2010

The move will mean the closure of 10 branches and the loss of 50% of its staff.

Benjamín Vides, Chairman of the bank’s board of directors, indicated that the return of customers’ deposits forms part of this process since, according to Guatemalan legislation, a lending institution cannot hold deposits.

Nicaragua: Banex Bank Closes Offices

June 2010

The bank closed 5 branches, while it awaits a potential $32 million recapitalization.

The banking superintendence (Siboif), gave “Banco del Exito” (Banex), until June 30 to confirm this second capitalization. Meanwhile, the bank closed branches in Granada, Ocotal, Bonanza, Rosita and Siuna.

Nicaragua: Banex Bank Controlled by Creditors

May 2010

18 international creditors will assume control of Banex’s (Banco del Éxito) loan portfolio.

By the end of March 2010, the company had accumulated losses for $5.5 million.

“This was confirmed by Aristóteles Esperanza, CEO of the bank, and by banking Superintendent Victor Urcuyo.

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