CHENGDU, China, Thursday October 28, 2010 – The Export-Import Bank of China (Eximbank) and the Inter-American Development Bank (IDB) have signed a Letter of Intent to boost trade between China and Latin America and the Caribbean (LAC).
The partnership will finance up to US$200 million worth of trade activity during any given period for an initial two-year period.
The latest step to expand trade relations between the two regions was taken at the recent China-LAC Business Summit, held in Chengdu, China.
“This partnership furthers the important link between China and Latin America and the Caribbean by increasing the amount of available financing for trade activity between the two regions,” said IDB President Luis Alberto Moreno.
“Since trade is a fundamental economic driver of both LAC and China’s economies, we believe the partnership between China Eximbank and IDB to be a groundbreaking initiative to support increased trade activity.”
The Letter of Intent details the partnership and the structure of the agreement in which both the IDB and China Eximbank will co-finance trade loans under the IDB’s Trade Finance Facilitation Programme (TFFP).
China Eximbank’s co-financing under the agreement will be exclusively for trade between LAC and China.