Banco Rio de la Plata S.A.

Banco Santander Central Hispano S.A. received a $200 million MIGA guarantee for its shareholder loan to Banco Rio de la Plata S.A., offering protection against the risks of transfer restriction and expropriation. Of this amount, $150 million is being reinsured. The project will support the expansion of Banco Rio's operations in Argentina, following up on a guarantee issued earlier in the fiscal year. The undertaking focuses primarily on small-scale mortgage lending in the form of long-term finance to individuals and corporations, and aims to expand financing to SMEs.

The investment holds significant development potential. Banco Rio de la Plata S.A. is one of just two banks in the country to offer 30-year residential mortgages. With the investment, the project enterprise should be able to substantially increase the number of mortgages it can offer, particularly to its primary client base of low- to middle-income households. Banco Rio de la Plata S.A. will also be able to provide better rates on its loans to both individuals and corporations, enabling more people to buy homes and small and medium-size businesses to grow. The project is expected to pay about $2 million a year in taxes.