FERRERE Paraguay advised IDB Invest on structuring the first 4-year committed annual rotating line of credit to be arranged in Paraguay. The credit was granted to Agrofértil S.A., a farm inputs distributor that provides technical assistance to producers on the purchase, storage and sale of products.
Agrofértil S.A. will use these funds to buy farm inputs for resale to producers with financing terms of up to 360 days, extending supplier lines of credit that currently offer producers maximum terms of 180 days.
FERRERE (Paraguay) was retained by IDB Invest to draw up the agreement, supplementary documents and schedules for this innovative transaction, and to perform a full audit of the borrower. Going forward, IDB intends to replicate this transaction throughout the region.