FAQ – FREQUENTLY ASKED QUESTIONS

 

 

I. REDISCOUNT

 

 

What is rediscount?

 

Rediscount is every operation whereby FINDETER provides Resources to a financial intermediary or entities duly authorized by the law to act as intermediaries, with the purpose of having them financing credit operations on exchange of enough warranties.

How does the rediscount mechanism work?

 

FINDETER delivers financial credit resources to financial intermediaries, so that these at the same time deliver them to beneficiaries of projects (governmental entities or private companies) at an interest rate previously negotiated with the client according to their risk level.

 

Are individuals eligible as beneficiaries of FINDETER credit mechanisms?

 

Yes, they are. Due to market dynamics, FINDETER has made progress and has extended coverage. Currently, FINDETER grant loans not only to public entities at any level, but individuals and private investors in the health, education and tourism sectors, and other infraestructure projects.

 

 

II. ELIGIBILITY FOR SOCIAL HOUSING PROJECTS

 

 

What are the benefits of an eligibility certificate issued by FINDETER?

 

It guarantees adequate housing for families and help offerors to propose housing plans. More information on: See

 

How can people get an eligibility certificate?

 

Based on current legislation, FINDETER assess social housing projects so that these can be eligible for State’s subsidies. To know more about the eligibility certificate steps, visit: See

 

 

III. INFORMATION ABOUT TERM DEPOSIT CERTIFICATES (CDTs)

 

 

What are the interest rates for our CDTs?

 

Interest rates we offer depend on the actual market conditions at the moment of issuing the term deposit certificates and the available terms. However, DTF, IBR, IPC indexed rates and fixed rates for quarterly payment in arrears (T.V), monthly payment in arrears (M.V) or expired terms (P.V) are currently being offered.

 

Can I sell CDT to an investor who doesn’t belong to DECEVAL?

 

NO. FINDETER’s CDTs are intangible securities that are managed by the Depósito Central de Valores DECEVAL (Central Securities Depository) and therefore they must have an electronic record linked to an existing account.

 

What are the CDTs’ deposit terms?

 

The deposit terms FINDETER offers are mostly from 180 days to five (5) years depending on the rate chart available at the moment of investing.

 

Who are the stockbrokers who take part in FINDETER’s CDT auctions?

 

One of the mechanisms used by FINDETER to make your CDTs go public is Dutch auctions, through the electronic auction system managed by Bolsa de Valores de Colombia (Colombian stock exchange). All of the members belonging to the Colombian stock exchange are able to participate in these auctions.

 

 

IV. SUSTAINABLE AND COMPETITIVE CITIES

 

 

What is a sustainable and competitive city?

 

A sustainable and competitive city is the one that plans its future based on the economic and social prosperity of its inhabitants; it is financially sustainable and uses renowned mechanisms for good governance; it orderly plans its urban and territorial development and adapts itself to climate change, taking into account the environment to make decisions about its territory.

 

What is FINDETER’s “Sustainable and Competitive Cities” program about?

 

FINDETER’s “Sustainable and Competitive Cities” program aims at identifying, planning and prioritizing environmental, urban, financial, economic and social sustainability strategic actions to create competitive cities and improve citizens’ life quality and prosperity. The implementation of this program makes possible the identification of actions and projects that contribute to the sustainability and competitiveness of the cities; articulate the municipal development plan with the national development plan, in the light of an integral vision to achieve the universal commitment of the Millennium Goals, within an action framework that implements the principles set forth in the UN Global Compact.

 

What are the benefits of FINDETER’s “Sustainable and Competitive Cities” program?

 

• Local benefits. • Contribute to the scheduling of investment. • Improve institutional capability. • Facilitate decision-making processes. • Introduce the climate change topic. • Mobilize resources. • Finance investment projects nationwide. • Improve sustainability projects. • Plan more sustainable cities. • Diminish pressure on big cities. • Diminish poverty and generate jobs.

 

 

V. GENERAL INFORMATION What is FINDETER?

 

 

Financiera de Desarrollo Territorial S.A., FINDETER (Territorial Development Financial Institution) was created through Act 57 of 1989, and it is a public, joint stock, national company, exclusively constituted with the participation of public entities in compliance to Articles 38 and 68 of Act 489 of 1998, and it is granted with legal status.

 

Who are FINDETER’s stockholders?

 

FINDETER is a rediscount financial entity with public capital in which the State participates with 92.53%, the departments hold 7.47% (except Cauca and Arauca), the Department of Bolívar holds 0.24%, and the other departments participate with 0.25%; finally, the Department of Norte de Santander transferred its shares to INFINORTE.

 

What is FINDETER’s specific duty?

 

As a public financial institution, FINDETER’s objective is to finance infrastructure projects focused on regional and urban development for the common benefit of stakeholders, through the granting of loans both to public and private entities. Such resources are disbursed through financial intermediaries such as banks, commercial financing companies and financial corporations, through the rediscount system.

 

Are there FINDETER branches in other Departments in Colombia?

 

FINDETER has eight regional branches that assist the needs of all of the Colombian Departments. The following is the list of our regional branches and their corresponding Departments: Bogotá: covering the Departments of Cundinamarca, Boyacá, Meta, Casanare, Arauca, Vaupés, Vichada, Guaviare, Guainía, Putumayo, and Amazonas. Barranquilla: covering the Departments of Atlántico, Magdalena, Bolívar, Cesar, Guajira, and San Andrés. Bucaramanga: covering Santander and Norte de Santander. Cali: covering Valle del Cauca, Cauca, and Nariño. Medellín: covering the Departments of Antioquia and Chocó. Montería: covering the Departments of Cordoba and Sucre. Neiva: covering the Departments of Huila, Tolíma, and Caquetá. Pereira: covering the Departments of Risaralda, Caldas and Quindío.

 

How does the rediscount work?

 

Rediscount is the name of the mechanism used by FINDETER to deliver financial credit resources to financial intermediaries, so that these at the same time deliver them to beneficiaries.