The Inter-American Development Bank (IDB) announced today that Bancolombia joined the IDB’s Trade Finance Facilitation Program (TFFP). Under the TFFP, the IDB extends guarantees to cover letters of credit, promissory notes, bid bonds, performance bonds, advance payment bonds and other instruments used in international trade transactions.
As trade financing is a core activity of Bancolombia, its participation in the TFFP will be instrumental in expanding its trade finance activities.
TFFP
Launched and rolled-out in 2005, the TFFP is an effective tool for the IDB to support economic reactivation and growth through the expansion of financing available for international trade activities of Latin American and Caribbean countries.
The TFFP currently comprises a network of 203 confirming banks belonging to 74 different international banking groups in over 55 countries, and 49 issuing banks in 15 Latin American and Caribbean countries with over $868.5 million in approved credit lines. To date, the IDB has issued guarantees for over US$488 million in support of 619 individual international trade transactions totaling $636.4 million.
Bancolombia
Bancolombia is the largest bank in Colombia. With $17.5 billion in total assets, 715 branches and offices, and 13,548 employees, Bancolombia provides service to more than 6.3 million clients. Last year, Bancolombia joined the TFFP program as a confirming bank. Bancolombia joining the TFFP as an issuing bank, marks an important milestone in the relationships with the IDB.