IFC’s Commitment to Sub-Saharan Africa
IFC’s investments in Sub-Saharan Africa topped $4 billion for the second year running in FY12, supporting private sector growth and helping create jobs in 35 countries in the region.
IFC’s’ investments last fiscal year underscored our commitment to some of Africa’s lowest income countries and to those affected by conflict. IFC also mobilized an additional $1.2 billion from other investors.
Working with a number of partner financial institutions in Africa, IFC’s investments helped increase access to finance for thousands of smaller businesses, supported agriculture and infrastructure projects, guaranteed trade transactions, and allowed more students to access loans.
During the previous calendar year, IFC’s activities:
• Generated power for an additional 6.6 million people
• Connected about 59 million telephone users
• Supported nearly 500,000 students
• Provided loans to 241,000 small businesses and 261,000 farmers
• Created about 217,000 jobs
Record for East Africa
Fiscal year 2011 marked the highest investment volume ever recorded by IFC for East Africa. IFC’s new investments totaled $327 million in 29 projects in the East African Community countries. IFC also committed new investments of $247 million in 16 projects in Southern Africa.
IFC supported South Sudan’s transition to independence, working with the country’s public and private sectors to improve the investment climate and attract investment.
To help develop the region's financial sector, IFC partnered with a number of banks, including Mercantile Bank in South Africa and Kenya Commercial Bank (KCB), which has subsidiaries in Uganda, Rwanda and Tanzania. We provided trade finance products to banks in Angola, Burundi, Democratic Republic of Congo, Kenya, Madagascar, Malawi, Mozambique, Rwanda, South Africa, Tanzania, Uganda and Zambia.
IFC supported infrastructure and South-South investments through Magerwa in Rwanda, a trade logistics company with Singaporean owners. IFC also supported local currency finance in the region. In Rwanda, for example, IFC provided local currency financing through swaps facilitated through the Central Bank. IFC provided financing for telecom operator Leo Burundi, which will expand mobile telephone service in a country that is presently poorly served. IFC’s Climate Change Investment Program helped South Africa’s Karsten Farms, a grape producer, increase energy efficiency.
significant progress in supporting Africa’s development last year. Our
investments in West and Central Africa and other parts of the continent
grew, we saw important reforms to improve the investment climate in the
region, innovative projects in priority sectors, and we have a large
portfolio of investment and advisory projects that are improving
people’s lives through better services and opportunities.” Yolande
Duhem, IFC Director for West and Central Africa
West, Central Africa
In West and Central Africa, IFC provided $1.3 billion in new financing commitments, an 8.5 percent increase over last year. IFC supported private sector involvement in novel infrastructure projects, such as the Dakar Toll Road, which will improve transport and trade in Senegal.
In other projects, IFC supported Vodafone Ghana to help it expand telecom services and launched an innovative rural electrification project in Senegal. IFC continued to make an impact on the region’s investment climate, where programs are underway in Liberia, Mali, Burkina Faso, and Central African Republic.
IFC continued to support public private partnerships, backing a private investment in a hospital in Benin that seeks to emulate the success of a similar project in Lesotho. It also launched a community development program in Cameroon, and a Village Phone Program in Chad that will bring phones to rural communities.
As Cote d’Ivoire recovers from political instability, IFC returned to the country with an investment in microfinance bank Advans Cote D’Ivoire, which will provide access to finance for small businesses.
“IFC made significant progress in supporting Africa’s development last year. Our investments in West and Central Africa and other parts of the continent grew, we saw important reforms to improve the investment climate in the region, innovative projects in priority sectors, and we have a large portfolio of investment and advisory projects that are improving people’s lives through better services and opportunities.”
Yolande Duhem, IFC Director for West and Central Africa