AID LOAN 517-L-026 : SECOND JOINT PROJECT REVIEW AND EVALUATION

THE EVALUATOR FOUND THAT FINANCIERA HAS CARRIED OUT THE PROJECT WITH DUE DILIGENCE AND EFFICIENCY, AND IN CONFORMITY WITH SOUND FINANCIAL, BUSINESS, AND ADMINISTRATIVE PRACTICES; CARRIED OUT AN EXPANDED DEVELOPMENT ROLE IN THE CAPITAL MARKETS; DEVELOPED LIMITED INVESTMENT BANKING ACTIVITIES; INITIATED AND CARRIED OUT AN AGRIBUSINESS PROGRAM TO INCREASE PRIVATE INVESTMENT IN AGRICULTURE; AND MAINTAINED A REASONABLE PORTFOLIO BALANCE BETWEEN SMALL, MEDIUM AND LARGE SUBLOANS. THE EVALUATOR CONCLUDED THAT FINANCIERA HAS FULFILLED THE PAID-IN CAPITAL INCREASE REQUIREMENTS AND THE PROJECT REVIEW REQUIREMENTS OF THE LOAN AGREEMENT; MET OR EXCEEDED ALL OTHER LOAN AGREEMENT REQUIREMENTS AND PROGRESS GOALS MUTUALLY AGREED UPON; AND IS, AT PRESENT, AND FOR THE DISBURSEMENT PERIOD OF THE LOAN, ON A SOUND VIABLE BASIS. THE EVALUATOR MADE TWO RECOMMENDATIONS: (1)THAT USAID ISSUE AN IMPLEMENTATION LETTER CONFIRMING FINANCIERA'S FULFILLMENT OF SPECIFIC LOAN AGREEMENT REQUIRMENTS; AND (2)THAT USAID TRANSMIT A LETTER RECORDING THE AGREEMENTS MADE DURING THE JOINT PROJECT REVIEW.