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Mexico to expand Banco del Bienestar's branch network via 10B pesos investment

Mexican President Andrés Manuel López Obrador said the government has approved the construction of 2,700 branches for state-owned Banco del Bienestar Sociedad Nacional de Crédito by the end of 2021, El Financiero reported.

The government hopes to complete the first 1,350 branches in 2020 and the remaining next year through a total investment of 10 billion Mexican pesos. The work will be financed using budget savings realized at the end of 2019, the president said.

Banco del Bienestar was previously known as Banco del Ahorro Nacional y Servicios Financieros, but was renamed as part of a government-backed shift in focus to reach remote communities in Mexico.

Banco del Bienestar will "design and execute programs that promote savings, investment and the adoption of electronic means of payment within indigenous communities," Mexico's finance ministry said in an earlier statement.

As of Jan. 6, US$1 was equivalent to 18.81 Mexican pesos.