In a statement, Mexican bank Grupo Financiero Banorte stated, it had signed an agreement with China’s Export and Credit Insurance Corp, Sinosure, to help it finance projects in Mexico that involve imports from China.
Banorte did not disclose the value of the agreement.
He however disclosed, under the terms of the deal, Banorte, which incidentally has the biggest weight on Mexico’s benchmark S&P/BVM IPC index, will offer credit to Mexican businesses and other entities that seek to purchase Chinese goods or services.
In return Sinosure will provide insurance and credit guarantees to Banorte to support Chinese exports to Mexico, said the Mexican bank in a statement.
According to data from Mexico’s economy ministry, China is Mexico’s second biggest trading partner and accounts for around 10% of its imports and exports.