ANNOUNCEMENT 16 Mar 2018

The National Financial Corporation (CFN by its Spanish acronym) announced the creation of a new credit line to finance local builders.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

National Financial Corporation. Corporación Financiera Nacional. Noticias. "CFN ofrece mejores condiciones de financiamiento para los constructores del país" de 16 de marzo de 2018. Available at: https://www.cfn.fin.ec/cfn-ofrece-mejores-condiciones-de-financiamiento-para-los-constructores-del-pais/

Inception date: 16 Mar 2018 | Removal date: open ended

State loan

On 16 March 2018, the National Financial Corporation (CFN) announced the allocation of USD 450 million to finance four different credit lines with beneficial financial conditions to support local builders. The conditions of each credit line are the following:

  • In "CFN Construye," the financial institution offers a 5.5% interest rate with a grace period of 24 months and repayment period of up to 5 years;
  • As for "CFN Construye Casa para Todos," the annual interest rate is 5.5% and credits will be only available for projects certified by the Ministry of Urban Development and Housing,
  • For "CFN Construye ¡Ya!" the bank offers credit lines of up to USD 2 million per builder at a 7% annual interest rate; and
  • The line "CFN Crédito Directo Capital de Trabajo para la Construcción" focusses in big construction projects and it offers credits with a 7.5% interest rate and a repayment period of 5 years with a 24-months grace period.

The CFN expects that these resources will translate in the construction of 14,500 houses and create 5,100 jobs.

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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