IFC Provides US$45 Million Financing and Advisory Services to Caja 18 to Support Retirees and Low-Income Women Workers

The International Finance Corporation (IFC), a member of the World Bank Group (WBG), has approved a US$45 million financing package for Caja de Compensación de Asignación Familiar Caja 18 de Septiembre (Caja 18). This financing will expand Caja 18’s social credit portfolio, targeting retirees and low-income women workers.

The package consists of a US$10 million loan, a US$30 million loan syndicated by Blue Orchard, ResponsAbility and ILX, and a US$5 million Trust Loan provided by IFC as the implementing entity for the Managed Co-Lending Portfolio One Planet Program. The financing has been structured in two equal tranches of U$22.5 million each. The first tranche was committed on November 8, 2024, and the second tranche is expected to be committed in the second quarter of 2025.

This investment will enable Caja 18 to extend more loans to low-income women workers, who will benefit from 40% of the proceeds, and retirees, who will receive 60%. The initiative is part of IFC’s broader Silver Economy initiative, which aims to create innovative financial products for individuals aged 50 and above in Latin America and the Caribbean.

“By supporting Caja 18, IFC is helping expand financial access to underserved groups, such as retirees and low-income women workers, enabling them to improve their financial resilience and quality of life. This investment is aligned with our commitment to financial inclusion and innovation in Latin America, particularly in Chile, where we continue to support initiatives that empower vulnerable populations" said Helena de la Torre, IFC’s Regional Industry Manager for Brazil and the Southern Cone.

According to Alvaro Cambara, General Manager of Caja 18, “this loan allows Caja18 to further diversify its sources of financing and will allow it to continue growing in social credit placements in the segment of pensioners, or the so-called “Silver Economy”, as well as in working women. Both aspects have concentrated the efforts of recent years in terms of credit, and it is important to emphasize that these segments are part of the sectors with less access to traditional banking.”

In addition to the financial support, IFC’s Advisory Services will assist Caja 18 in developing innovative financial and non-financial products specifically designed for retirees with a focus on women. A capacity-building initiative will also be implemented to enhance Caja 18’s ability to provide high-quality services to its underserved affiliates.

As of 2024, women workers represent 23.1% of Caja 18’s loan book, while retirees account for 40.2%. Caja 18 aims to further expand these segments by offering more customized social benefits and strengthening the high level of service for which the institution is nationally recognized.

This investment aligns with IFC’s strategic goals in Chile, which include increasing access to finance, promoting financial inclusion, and fostering innovation through advisory services. It also supports the WBG Gender Strategy, which focuses on removing barriers to women’s ownership and control of assets. The financing marks Caja 18’s first international syndicated loan.

About Caja 18

Caja de Compensación 18 de Septiembre is a private corporation founded in 1969 with no profit motive, which aims to administer social security benefits and contribute to improving the conditions and quality of life of its members. Caja 18’s mission is to support our members by providing sustainable social benefits and financial support through an agile, timely, effective and friendly service with the vision of contributing to improving people’s quality of life. Caja 18’s values are service orientation, integrity, collaboration and innovation.

It currently has a solid financial position, conservative risk management and a high level of service quality, the best in the industry, with a presence throughout the national territory that includes 42 branches, 12 mobile agencies and 5 mailbox branches. Its social credit portfolio exceeds $173 billion, while its assets are close to $98 billion, serving 285,000 workers and 148,000 pensioners.

About IFC

IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2024, IFC committed a record $56 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to create a world free of poverty on a livable planet. For more information, visit www.ifc.org.

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