Gisela Snchez, CABEIs new president, plans to revise lending policies, halting loans to Nicaragua and El Salvador.Historically, Nicaragua and El Salvador, led by criticized governments, received significant funding, raising concerns about CABEIs direction under Dante Mossi.Snchezs initiative aims to balance the portfolio, moving away from Mossis controversial policies.She emphasized a need for fair support to all member countries, stressing strict enforcement of lending limits.Her ascendancy comes after Mossis departure, prompted by criticisms of his management, including a 30% increase in administrative costs and a dramatic profit decline.New Central American Bank President to Limit Loans to Nicaragua and El Salvador.
(Photo Internet reproduction)Critics notably dubbed Mossi The Dictators Banker for supporting regimes accused of undermining democracy and human rights.The banks loan distribution under Mossi was notably unbalanced, with Nicaragua and El Salvador receiving a disproportionate share of funds.Snchez seeks to correct this, ensuring loans align with the banks principles and member countries needs while improving efficiency and transparency.However, Snchezs efforts have garnered support from CABEIs international partners, indicating a broad consensus on the need for reform.The Green Climate Fund revoked a $116 million agreement with Nicaragua for ethical non-compliance.In short, this emphasized the importance of Snchezs reforms in restoring CABEIs integrity and trust among the international community.