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Finance
BANKING
The most notable banking investment reforms
occurred in 2005 with the internationalization of all of
the banks in the country. This means that nowadays,
there are no national banks with the exception of
the 4 official credit institutions: Banco Hipotecario,
Banco Multisectorial de Inversiones, Banco de
Fomento Agropecuario and Federacion de Cajas de
Credito (Fedecredito).
This began with the purchase of 97.1% of Banco de
Comercio shares by Scotia Bank of Canada, which
at that time was the third largest bank in the country.
The sale was for the amount of $USD75 million.
At the end of 2005, the first Banco del Itsmo
(Banismo) of Panama acquired 53.62% of the
shares of Inversiones Financieras Bancosal (IFB)
through PAO (Public Acquisition Offer). The sale was
for the amount of $USD130 million which included
Banco Salvadoreño, one of the largest entities in the
country. Later, HSBC purchased the Banistmo Group
for $USD1770 million; not much later, CitiGroup
first acquired Grupo Financiero UNO in 2006,
that specialized in issuing credit cards in Central
America. In December of the same year it closed
on the purchase of one of the largest banks, Banco
Business men also have helicopter transport if needed
Cuscatlán including its financial intermediaries,
insurance subsidies and pension fund company.
In 2007, Bancolombia bought 100% of Banco
Agrícola, the largest bank in the country as far as
deposits and credit are concerned, in a sale for the
amount of $USD 900 million. Then, in 2008, Banco
Comercial de Guatemala began its operations in El
Salvador.
The fact that the country has international banking
is a guarantee to investors who will have a series of
services and products at their disposal and also shows
the attractiveness of the Salvadoran economy.
INSURANCE
There are two large insurance rulers: Seguros e
Inversiones S.A. (SISA) and ASESUISA. There are
also big groups like Chartis (formerly AIG), Mapfre
and insurance subsidiaries of HSBC and Scotiabank
as well as other international insurance groups
present in the Salvadoran market.