IDB Invest, a member of the IDB Group, has approved a US$4 million loan to Surinamese company, Fernandes Guyana Enterprise (FGE) to expand bread production here.
A release yesterday from IDB Invest said that FGE is a subsidiary of the Fernandes Group, one of the main economic groups in Suriname.
The release said that the loan supports Fernandes Group’s growth strategy outside of Suriname, by financing an increase in its current bakery production and distribution capacity in Guyana.
“This will lead to higher and more efficient local production of bread products, which are an essential part of the Guyanese diet, and the introduction of new healthier products, while taking advantage of the projected higher spending, additional customer base and new consumption trends in the local market”, the release said.
The release said that the financing also contributes to mitigating the economic and social effects of the Covid-19 crisis, by protecting food security, promoting new and more specialized employment, and bolstering market linkages in Guyana.
“FGE will almost double the number of local suppliers and distributors reached. IDB Invest will play an important role by providing the Company the long-term financing required, currently scarce in the local market”, the release added.
The release said the deal potentially contributes to four of the United Nations Sustainable Development Goals (SDGs): No poverty (SDG 1), Decent work and economic work (SDG 8), Industry, innovation and infrastructure (SDG 9), and Reduced inequalities (SDG 10).
In addition, the release said that IDB Invest will support Fernandes Guyana to implement environmental and social best practices, aligned with international standards.
A member of the Inter-American Development Bank (IDB) group, the release said that IDB Invest finances sustainable companies and projects. It has a portfolio of US$13.1 billion in asset management and 385 clients in 25 countries.
The release said that the Fernandes Group is a family business with more than 1,200 employees and operates in the bakery, bottling, automotive, ice cream and distribution sectors.
