Savings and Loan Development

THE LOAN WILL ENABLE THE PRIVATE, NON-PROFIT BOLIVIAN S&L SYSTEM, WITH ITS 9 AFFILIATED S&LASSOCIATIONS, TO BECOME FINANCIALLY SELF-SUPPORTING OVER THENEXT 10 YEARS. THE S&L SYSTEM WILL ASSIST IN LOW AND MIDDLE-INCOME HOUSING AND THUS BECOME A FACTOR IN GOB"S SOCIO/ECONOMIC DEVELOPMENT. THE S&L SYSTEM WILL HAVE APPROXIMATELY US $9 MILLION IN SAVINGS IN 1982 FOR LOW AND MIDDLE-INCOME HOUSING LOANS. PROJECT PLANS A LARGE SCALE, SYSTEMATIC SAVINGS PROMOTION PROGRAM AND SUBSTANTIAL INJECTIONS OF LOW-COST LENDING CAPITAL TO ENABLE IT TO GENERATE INCOME-PRODUCING MORTGAGE LOANS. CAJA CENTRAL WILL FORMULATE AND EXECUTE AN AGGRESSIVE SAVINGS PROMOTION PROGRAM INCLUDING RADIO, TV AND PRESS CAMPAIGNS WITH INTERVIEWS, DISCUSSIONS, NEWS, PRIZES FOR SAVINGS, ETC. IN ADDITION, THE S&L SYSTEM WILL TRAIN S&L PERSONNEL IN PUBLIC RELATIONS, S&L MGMT; ESTABLISH NEW OFFICE SITES, DEVELOP NEW SERVICE PROGRAMS FOR SAVERS, PREPARE INFORMATION BULLETINS AND PROMOTE A "SAVINGS DAY". THE 9 S&L ASSOCIATIONS WILL INCREASE INTEREST RATES, REQUIRE COLLATERAL FOR LOANS, INSURE ACCOUNTS UP TO $B50000, GUARANTEE INVESTMENTS, READJUST SAVINGS ACCOUNTS TO A COST-OF-LIVING INDEX, AND OFFER A "HOUSE-OF-YOUR-OWN" ON THE BASIS OF SAVINGS. CAJA CENTRAL WILL ALSO PLAN AUDITS AND ESTABLISH RESERVES FOR POSSIBLE DISPARITIES BETWEEN CUMULATIVE COST OF LIVING READJUSTMENTS AND EXCHANGE RATE CHANGES. BENEFICIARIES WILL BE SAVERS, INVESTORS, THE S&L COMPANIES AND PROSPECTIVE HOME-BUYERS. PROJECT WILL BE IMPLEMETED BY CAJA CENTRAL.