The Bank of Costa Rica (BCR) received authorization from the Superintendency of the Securities Market of Panama, for the placement of debt for a maximum of $500 million (about ¢ 285,000 million) in the financial market of the neighboring country.
The BCR will be able to make a public offering of the 2016-BCR Standardized Bonds Emissions Program for $250,000,000 and the 2016-BCR Commercial Paper Emissions Program for $250,000,000, both registered in the National Registry of Securities and Intermediaries of the Superintendency General Securities of Costa Rica through Resolution SGV-R-3192 of November 23rd, 2016.
Increases in local interest rates and high competition for resources with the Ministry of Finance require some entities to fund themselves abroad. Both issues of securities (medium-term bonds and short-term commercial paper) are guaranteed by the government and the resources will be used as regular bank funding.
According to Gabriel Alpízar, Treasury manager of the bank, this is an incursion into the international capital markets to attract resources and expand the available funding channels.