Colombia’s biggest bank, Bancolombia, said the money from a recent bonds issue will be invested in international operations.
In an interview with newspaper El Colombiano, Bancolombia president Carlos Raul Yepes said that $1 billion over 10 years obtained from the debt bonds issued Tuesday will be used to increase the international portfolio of the bank.
Without mentioning any names, Yepes said “The bank has always had on its radar companies in the financial sector in all the geographical areas where the bank operates, looking at companies in tune with Bancolombia.” Bancolombia operates in Panama, Puerto Rico, the Dominican Repulic and Central America and Peru.
In relation to the rumors that Bancolombia would open a branch in Peru he said “We will not establish, nor are we in the process of establishing a bank in Peru.” However the Medellin-based financial entity does have renting and leasing businesses in the neighboring country.
The president of the financial institution said that the new funds will remain out of the country so that they do not cause any impact on the internal market.
Some analysts fear that the repatriation of these resources could increase the pressure on the value of the peso which is worrying the export sector.