The Central American Bank for Economic Integration (CABEI) announced that it will be reducing the interest rates applicable to loans granted to member countries of the institution, including El Salvador. This action will generate annual savings of millions for the country.
“The rate reduction will generate savings of $11.2 million annually for the Republic of El Salvador. CABEI is the first multilateral institution to reduce rates in the current economic context, thus supporting the country’s development policies,” said CABEI Director in El Salvador, Alejandro Zelaya.
The Bank also highlighted that this action represents the first rate cut since 2021. The downward adjustment is between 0.50% and 0.65% in the interest rate applicable to existing and new sovereign public sector loans that have a variable spread interest rate scheme (Term SOFR + spread).
The rate reduction will generate annual savings of $11.2 million for the Republic of El Salvador.
He @BCIE_Org It is the first multilateral to reduce rates in the current economic context, thus supporting the country’s development policies. https://t.co/YKVdg0Os7H
— Alejandro Zelaya 🇸🇻 (@AlejandroZelay9) May 17, 2024
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