Fitch: The worse part of the crisis has still not arrived to El Salvador

Fitch warns that credit restrictions will stop private investment and, with that, economic activity will decline.

Thursday, February 19, 2009

Elsalvador.com publishes in its website: "The executive director of the risk assessors, Fitch Ratings, Mauricio Choussy, calculated that the crisis will have a transfer delay of some three quarters from the United States to the Central American region, a forecast that was confirmed by the former minister of the Salvadorian Economy, Yolanda de Gavidia, ´I believe that El Salvador has not yet felt the worse part and my perception is that it is going to be in the upcoming second semester that we are going to feel it,´ she affirmed."

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BM Will Contribute $3 Billion to Central America

February 2009

To address the economic crisis that affects the region, the World Bank will contribute $3 billion this year.

Diariolasamericas.com publishes in its website: "The Bank will contribute ´$3 billion for Central America´ as part of the contingency aid to address the effects of the crisis in these countries that are so dependent on trade with the United States,´ said Cox."

Guatemala: Coffee Growers Get Credit

July 2011

The Trust for financial support for the coffee sector has made $38 million available for financing the sector.

The coffee price crisis of 2002, which affected small producers, was the reason for the creation of the trust, which has since provided funds to farmers for different situations that the industry has faced.

Defaults Increase in the Banking Credit Sector in El Salvador

February 2009

The December 2008 credit default index was 2.79%, according to data from the Salvadorian Banking Association (ABANSA).

Laprensagrafica.com reports: "Based on the information provided by banks, the increase in defaults in 2008 in comparison to 2007 was $256.9 million as reflected in past due accounts.

Demand for Micro-Credit down 25% in El Salvador

November 2009

Micro financing companies reported a 25% reduction in credit requests by Small and Medium companies.

Two problems have affected the micro financing industry: high delinquency rates and less funding available from second tier banks.

Not all is negative, though. Francisco López, from the Micro Financing Training and Advising Foundation, commented that "...

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