IDB Feeds Mexico Mortgage Support

The IDB has approved a $500m loan for Mexico to support its mortgage industry. This is the second installment of a $2.5bn 10-year credit line, the bank says. The loan will enable Sociedad Hipotecaria Federal (SHF) to continue offering lines of credit to Sofoles and Sofomes, and maintain liquidity in secondary markets through the acquisition of bonds backed by mortgages. The loan is for a 25-year term, with a 5-year grace period, at an adjustable interest rate over Libor.