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While the full details are yet to emerge, the plan is to offer the exemption to companies that will generate a set minimum number of jobs.

This figure represents an 11% uptick in the number of new entrants to the system compared to the 999,000 people who secured financial products for the first time in 2016.

Colombia’s Commerce Minister María Lorena Gutiérrez said last week that the issuance could be later be extended by another $35 million USD.

The decision "constitutes a reaffirmation of a policy in line with improving quality of life of our population," said Bancóldex head Mario Suárez.

The national Victims Unit is subsidizing 2.17% of the loan interest rate through an investment of around $150,000 USD (400 million pesos).

The ratings of the development bank, which Fitch terms as an “integral arm of the state,” remain aligned with the ratings of Colombia.

The switch, which will formally take place on September 4, marks the first leadership change for the Bancoldex.

With startup financing often scarce, the goal is to offer "credit that better fits the particular focus of these companies," said Bancóldex President Luis Fernando.

Isabella Muñoz, executive director of Colcapital, has seen private equity in Colombia go from nothing in 2005 to nearly $10 billion USD now among her organization's 99 members.

The loan, which has a 20-year term and an LIBOR-based interest rate, is specifically marked to help encourage private investments.