G&T Continental Secures Up to US$ 200M from IFC to Boost SME and Housing Financing in Guatemala

G&T Continental and the International Finance Corporation (IFC) are strengthening their long-standing partnership with a financing operation of up to US$200 million designed to expand productive credit in Guatemala. The initiative aims to increase financing for small and medium-sized enterprises (SMEs), inclusive housing, and sustainable finance, helping channel capital toward key sectors of the country’s economy.

The agreement comes at a time when access to credit remains limited for many businesses and households in Guatemala. By mobilizing long-term capital, the partnership seeks to broaden financial access and support economic activity linked to employment, investment, and asset creation.

Financing to Support SMEs and Housing

The transaction is structured to provide up to US$200 million in funding to expand lending to SMEs and increase access to inclusive mortgage financing. The goal is to strengthen capital availability in market segments where financial institutions often face scale limitations and higher risk exposure.

In Guatemala, approximately 370,000 SMEs operate across the economy, generating around 40% of GDP and 77% of employment. Despite their central role in economic activity, many of these businesses continue to face difficulties accessing formal financing, particularly women entrepreneurs and small businesses.

Housing finance represents another priority for the initiative. Guatemala faces a housing deficit estimated at 2.2 million homes, making mortgage access a critical component for expanding homeownership and long-term wealth creation.

A Financing Structure Backed by Remittance Flows

One of the most notable aspects of the transaction is its financial structure, which incorporates Diversified Payment Rights (DPR). This mechanism allows financial institutions to mobilize international capital backed by future payment flows, improving access to long-term funding for local banking systems.

Under this structure, the financing is supported by future remittance flows, which help reduce risk for international investors and create more competitive conditions for financing productive activities.

According to the financial institution, the capital mobilized through the agreement could contribute to the creation of up to 22,400 direct and indirect jobs, driven by the expansion of small businesses, productive investment, and housing development.

The transaction also represents the first DPR operation in Central America to carry a thematic sustainable finance label, linking credit allocation with environmental goals, energy efficiency, and climate resilience initiatives.

A Longstanding Partnership

The collaboration between IFC and G&T Continental is not new. Their relationship dates back to 2008 and has developed through several financial instruments over the years, positioning the bank as a strategic partner for development financing in Guatemala.

IFC has supported the financial group through capital investments, trade finance facilities, and subordinated debt, helping strengthen environmental and social standards within the institution.

“We continue to support people and businesses,” said Enrique Rodríguez Mahr, CEO of Grupo Financiero G&T Continental, referring to the agreement and its goal of channeling capital toward productive projects.

From IFC’s perspective, the partnership reflects a broader development strategy.

“We are strengthening an alliance to drive inclusive development,” said Ivana Fernández Duarte, IFC Regional Manager for Central America, highlighting the regional significance of the operation.

Mobilizing Capital for Emerging Markets

Beyond the financing announcement, the transaction reflects a broader trend in emerging markets: the increasing role of private banks in channeling international capital toward productive sectors of developing economies.

For G&T Continental, the agreement reinforces its position within Guatemala’s financial system. The financial group manages more than GTQ 80 billion in assets and serves over 1.5 million clients in the country.

For IFC, the operation aligns with its global strategy of mobilizing private capital into emerging markets. In 2025 alone, IFC committed US$71.7 billion in financing for companies and financial institutions worldwide.

The long-term challenge remains clear: expanding access to credit while maintaining financial stability. If the capital mobilized through this agreement effectively reaches SMEs and housing projects, it could have a significant impact on employment, productivity, and economic mobility in Guatemala.