IFC injects billions into sub-Saharan African economy

by Trust Matsilele 0

A member of the World Bank, IFC also delivered wide-ranging advisory service during its most recent fiscal year. 

“IFC’s activities impacted 1.1 million farmers, provided 17 billion US dollars of financing to entrepreneurs, delivered health services to a million patients and improved quality of education for 117,000 students,” read the IFC report.

(READ MORE: World Bank rescues poorest regions facing energy deficits)

IFC’s work in sub-Saharan Africa supported agriculture, power, job creation, health, education and capital markets.

Agriculture accounts for half of Africa’s output and is an increasing priority. 

“IFC’s investments in companies such as Saro Agro-sciences in Nigeria, Malawi Mangoes and the Terra maize farm in DRC increased food production and linked local farmers to global markets,” noted the organisation.

IFC’s total investment in the sector, including support for trade and increased access to finance, reached 723 million US dollars in the 2014 fiscal year.

The organisation’s investment in the region’s 31 countries was in the region of 4.6 billion US dollars.

“In partnership with MIGA [The Multilateral Investment Guarantee Agency], IFC mobilised an additional 343 million US dollars of financing for the private sector and providing more than 4.0 million US dollars in new investments in the continent’s lowest income economies,” teh IFC said.

“New IFC commitments provide 800 million US dollars to countries affected by recent conflicts, including Cote d’Ivoire, Democratic Republic of Congo and Mali.”

African governments enacted over 70 reforms to improve business regulation in the region drawing on support from the World Bank Group.

(READ MORE: World Bank ‘wrong’on Ethiopia’s ranking on ease of doing business: Desalegn)

“The impact of these reforms includes private sector cost savings of 25.5 million US dollars in Ethiopia, thanks to more efficient imports and exports clearing procedures,” read the statement.