CO-L1100 : Mortgage Loan Program for Low Income Families in Colombia
Project Status: Cancelled
The project's objective is to contribute to reducing the quantitative housing deficit for the Base of the Pyramid (BOP) in Colombia by facilitating access to mortgage loans for low-income housing. To achieve this objective, the Opportunities for the Majority Sector is proposing to provide a Partial Credit Guarantee (PCG) of up to US$5.2 million, equivalent in Colombian Pesos (COP), to Credifamilia Compañía de Financiamiento Comercial S.A, the first regulated financial institution in the country to specialize in mortgage lending for low-income housing (Vivienda de Interes Social, or VIS). With the IDB PCG, Credifamilia will be able to borrow US$5 million, equivalent in Colombian Pesos (COP), from the Inter-American Investment Corporation (IIC) (The Guaranteed Loan). The IDB resources would support Credifamilia's early loan origination activity and allow it to attract additional financing from the market.