The Nation Newspaper

Tag: IFC

  • IFC, firm partner to boost market access for women entrepreneurs

    WEConnect International, a global network of corporations committed to sourcing goods and services from women suppliers, has signed an agreement to boost access to markets for women-owned small and medium enterprises in emerging markets. The agreement was IFC’s first active partnership supported by the Women Entrepreneurs Finance Initiative ( We-Fi).

    Under the agreement, IFC and WEConnect International will increase the number of companies that source from women-owned businesses, with an emphasis on Asia, sub-Saharan Africa, and Latin America. Activities will include peer-learning sessions for companies on the business case for sourcing from women and highlight approaches from corporations with diverse and inclusive global value chains. Topics will address strategies that companies can adopt to identify and support women suppliers as well as emerging practices in improving access to working capital.

  • IFC, other DFIs raise $1.2b to support $9b projects

    The International Finance Corporation (IFC), a member of the World Bank Group, in collaboration with other Development Finance Institutions (DFIs), pulled together about $1.2 billion in concessional funds to support nearly $9 billion in private investment projects in emerging markets, a new DFI report, has revealed.

    The report, released by the DFI Working Group on Blended Concessional Finance for Private Sector Projects,

    The report was released on the sidelines of the Tri Hita Karana (THK) Forum on Sustainable Development at the 2018 Annual  Meetings in Bali, Indonesia, offered an extensive set of data on the extent to which blended concessional finance is used by DFIs—including where and in what sectors, and how much private finance was mobilised.

    It reflected data from IFC and 22 other DFIs—including the African Development Bank (AfDB), the Asian Development Bank (AsDB), the Asia Infrastructure Investment Bank (AIIB), the European Bank for Reconstruction and Development (EBRD), European Development Finance Institutions (EDFI), the European Investment Bank (EIB), the Inter-American Development Bank Group (IDBG) and the Islamic Corporation for the Development of the Private Sector (ICD).

    IFC’s Vice President, Hans Peter Lankes, said  the data in the report was important in helping “us track the effective use of concessional resources,”  pointing out that it is critical to use these funds in a responsible and disciplined way.

    Last year, the DFI Working Group adopted Enhanced Principles on blended concessional finance to ensure concessional funds were used to the minimum extent needed and to crowd in other investors as much as possible and when justified by market failures, demonstration effects in pioneering projects, important affordability considerations, or other economic factors.

    Lankes said: “As we address the opportunities and challenges we face with our partners in the working group, we encourage other partners—including donors—to adopt the Enhanced Principles and join the working group to share best practices in the use of concessional funds.”

    Blended concessional finance involves combining concessional funds and commercial financing from DFIs and the private sector. It allows DFIs to support private sector projects beyond what they would normally be able to engage in, particularly in higher-risk countries. For example, the report showed that of the nearly $9 billion in project financing unlocked by blended finance, more than $3.3 billion came from private lenders and investors.

     

     

    DFIs are increasingly leveraging financing of this type to channel private investment into challenging markets—particularly in Sub-Saharan Africa and in low- and lower-middle-income countries. IFC, for example, used blended finance to support more than 40 percent of its operations in lower-income and fragile and conflict-affected areas between July 2016 and June 2017.

    The report showed that in 2017 projects financed by DFIs, using concessional finance included innovative renewable energy projects in Africa and the Pacific, new technologies in Latin America and North Africa, innovative projects to mobilize finance for housing, guarantees for financial intermediaries to stimulate small and medium-sized enterprises (SMEs) development, and projects to develop agribusiness.

    The report also noted best practices and improvements in governance, decision-making processes, documentation, training, and effective monitoring to ensure concessional funds, are used efficiently.

  • IFC: Nigeria contributes to $42.6tr emerging market bank assets

    Global Progress Report on Sustainable Banking Network says Nigeria remains a major contributor to the $42.6 trillion bank assets by 34 emerging markets.

    The report released by the International Finance Corporation (IFC) of the World Bank Group, said the figure represented more than 85 per cent of the total bank assets in emerging markets in the world.

    It named Nigeria a major force in its support towards development and fights against climate change, in line with objectives of the Sustainable Development Goals.

    “Some of the 34 countries are wealthier than others, but all of them have made progress in advancing sustainable finance reforms. Eight countries include Bangladesh, Brazil, China, Colombia, Indonesia, Mongolia, Nigeria and Vietnam reached an advanced stage. “This is because they have implemented large-scale reforms and put in place systems for results measurement,’’ it stated.

    The report further mentioned that there were practical indicators for countries to apply such reforms to their own domestic markets, regardless of their size or stage of development.

    The IFC commended the endorsement of the Nigerian Sustainable Banking Principles by the Central Bank of Nigeria, to ensure a strong level of involvement from 34 national and international banks.

    The report suggested that to continue to advance in growth of sustainable finance, the country’s banking principles should integrate guidelines related to green financial flows and provide financial or non-financial incentives.

  • AXA Mansard, IFC, others mull new investment in healthcare sector

    AXA Mansard Insurance Plc is leading a group of other Nigerian and interna-tional investors including the International Finance Corporation (IFC) to launch a new multi-billion Naira investment in the Nigerian healthcare sector.

    Preliminary discussions on the proposed investment indicate that IFC, a member of the World Bank Group and a couple of other companies are considering a partnership with AXA Mansard on the possibility of investing in a hospital project.

    The proposed investment is a greenfield integrated medical facility comprising of a 150-bed multi-specialty hospital and two 10-bed primary health centres and polyclinics.

    The project, once approved, will be managed and operated by Healthshare Health Solutions Limited, an experienced hospital management company with headquarters in South Africa.

    However, the discussions are still at preliminary stage of discussions and none of the boards of the companies involved has pass final resolutions approving the investment.

    AXA, the world’s largest insurance company, had in 2014 completed the acquisition of majority equity stake in the former Mansard Insurance and rebranded the company as AXA Mansard Insurance. AXA bought 77 per cent majority equity stake in Mansard Insurance, in a major market-entry push that promised to profoundly impact the Nigerian insurance industry. AXA already had a substantial presence in Africa including Cameroon, Gabon, Ivory Coast, Morocco, Senegal and Algeria.

    Mansard Insurance had in 2013 also acquired the entire issued share capital of Procare Health Plan Nigeria Limited as it sought to consolidate its health insurance business.

  • IFC, SEC to implement corporate governance scorecard

    IFC, SEC to implement corporate governance scorecard

    Securities and Exchange Commission (SEC) and the International Finance Corporation (IFC), a member of the World Bank Group, will begin the implementation of the Nigerian Corporate Governance Scorecard in January 2017.

    In 2014, IFC and SEC partnered to develop the Nigerian Corporate Governance Scorecard which was launched in November 2015. Following the launch, both institutions have jointly trained various stakeholders to prepare for implementation. These stakeholders include chief finance officers, company secretaries, audit committee and board chairpersons. The training sessions generated awareness for the new disclosure requirements of SEC. These disclosures will be used annually to assess corporate governance practices of listed companies in the country.

    Both SEC and IFC at the weekend confirmed that the implementation of the Nigerian Corporate Governance Scorecard will start in January 2017.

    Director-General, Securities and Exchange Commission (SEC), Mounir Gwarzo said a major focus of the apex capital regulator is to provide regulatory oversight to ensure public companies comply with best practices in corporate governance and boost their performance.

    “Having built considerable market awareness for the scorecard with IFC’s support, we hope that as companies comply, they will improve their performance and contribute to growth in the nation’s economy,” Gwarzo said.

    According to him, the scorecard will identify strong performers through enhanced disclosure, strengthen investor confidence and encourage foreign investments in the country.

    Country Manager, Nigeria, International Finance Corporation (IFC) Eme Essien Lore noted that IFC works with firms to attract and retain investment by promoting the adoption of good corporate governance practices and standards.

    “We have partnered with SEC over the last two years, developing the corporate governance scorecard and sensitising stakeholders. We hope that as implementation begins in January 2017, the trained officials would translate progress made into ongoing processes that boost performance, attract investments and help the economy grow,” Essien Lore said.

    Corporate governance refers to the structures and processes by which companies are directed and controlled. Companies become more accountable and transparent to investors, which encourages new investments, boosts economic growth, and provides employment opportunities.

    Corporate governance scorecards are quantitative tools used to measure the level of observance of a code or standard of corporate governance. The scorecard was developed using indicators from the SEC code of corporate governance and will assess individual, sectorial and market-wide level of compliance with standards of best practices.

    IFC’s Africa corporate governance programme is funded by the State Secretariat for Economic Affairs (SECO), Switzerland. IFC is the implementing partner for the programme.

  • Why IFC is backing govt’s power aspiration

    The International Finance Corporation (IFC) said its decision to invest in Nigeria’s power sector was based on the new thinking at the government’s circles.

    Also, the body said it would discuss with communities on how to prevent pollution and other environment hazards, resulting from the use of renewable energy sources such as solar, biomass, coal and others.

    IFC’s Country Manager, Eme-Essien Lore, in an interview with The Nation in Lagos, said the agency decided to invest in the country following the decision of the leaders to evolve a new way of thinking, by trying to explore both the conventional and renewable sources to generate power.

    She said: “The Federal Government has evolved a new way of thinking, by not solely relying on the two traditional methods of generating electricity—hydro and gas. The government is now implementing renewable energy projects such as solar, biomass and others. “Based on this, IFC decided to invest in the nation’s electricity sector to help improve power supply.

    “A combination of hydro, gas, solar, coal and biomass sources of generating power is used by many countries across the world.

    “This is the reason behind the decision of IFC to invest in traditional and renewable energy sources in Nigeria and other African countries.’’

    According to her, the Federal Government has provided IFC and other institutions with varying measures of developing power in the country, by implementing both the traditional and renewable programes in the country.

    She said efforts are in place to ensure that the two methods are effective and free of environmental hazards.

    “Different solutions were brought to Nigeria by foreign institutions in order to improve power supply. There are cases where batteries that were used in generating solar electricity produce dangerous odour.

    “Also, there is the issue of emission of chemicals coming from the use of biomass generating plant. We would engage communities and other relevant stakeholders in order to provide standards on the issue,” she said.

    The Federal Government in 2009 advocated a diversified energy sources to improve power supply. This made the federal and states government to try and implement renewable energy sources such as solar and biomass to complement traditional power generating sourcessuch asthermal and hydro.

  • IFC, others plan solar power for SMEs

    Thousands of Small and Medium Enterprises (SMEs) in Nigeria would benefit from solar energy programme being put together by the International Finance Corporation (IFC), the Department for International Development (DFID) and local financial institutions.

    The Country Manager, IFC, Eme Essien Lore, in an interview with The Nation in Lagos, said the IFC was partnering DFID and banks in Nigeria to achieve this goal.

    She said IFC through its off-grid and embedded solar market development and finance programme, would provide solar power to willing SME owners.

    She added that the programme ensures that IFC, the Department for International Department (DFID), and banks in Nigeria partnered to provide technical and financial support for owners of SMEs that are interested in accessing solar power for operation.

    According to her, the banks, through their Energy or Oil and Gas units, would disburse loans to SMEs, in order that they could  access solar electricity for their operation.

    She told The Nation that some selected local financial institutions would be used by the IFC to provide technical and monetary supports to owners of small and medium scale enterprises in the country, adding that the Corporation was undertaking the programme for SMEs owners because it was cheaper and easy to install when compared with coal, biomass, wind and other renewable energy sources.

    Lore said IFC was working with the Department for International Development to improve access to electricity and further contribute to the growth of the Nigerian economy.

    “IFC plans are to provide thousands of SMEs with solar energy, improve economies and create employment opportunities in Nigeria and Africa in the next 10 years. We intend to make use of the abundant Sun light in Africa to achieve our goal of providing off-grid electricity through solar energy. IFC has provided about $3.5billion for renewable energy projects such as biomass, hydro, solar and wind, globally and wants to do more.

    “Through solar energy, people produce electricity they need and reduce transmission losses to a great extent. In the grid method of power generation electricity there are huge transmission losses due to weak facilities and to avert the losses, a lot of money and expertise are required.”

    Also, the DFID’s representative in Nigeria, Ben Mellor, said the government of United Kingdom (UK) was interested in improving off-grid electricity in Nigeria to promote growth. He said off-grid electricity serves as a viable option to meet the needs of people in the low income segment of the economy, stressing that solar and other off-grid electricity would help in improving businesses in such areas when deployed.

    “Access to energy is one of the most critical needs in Africa and particularly Nigeria. Based on this, the UK Department for International Development is determined to assist in bringing solar technology financing solutions to smaller businesses and corporates and we are working with IFC to achieve this goal,” he said.

  • IFC, DFID partner to improve SMEs’ access to electricity

    International Finance Corporation (IFC), a member of the World Bank Group and United Kingdom’s Department for International Development (DFID) are partnering to facilitate the deployment of off-grid and embedded solar systems in commercial and industrial sectors of Nigeria.

    According to an official of IFC, Ejura Audu,  the ultimate goal was to help corporate organisations and small and medium scale entrepreneurs (SMEs) to have better and more reliable access to electricity, utilising the country’s abundant solar resources.  He added that this would contribute to Nigeria’s economic growth and greenhouse gas emission reduction.

    Through this deal, IFC’s Off-Grid and Embedded Solar Market Development and Finance Programme, and DFID’s Solar Nigeria Programme will launch a new programme for solar market development and finance.

    One of the major components of the partnership is the provision of technical support and financial instruments to financial institutions.This will help them develop business solutions for the emerging solar market, especially solar PV technology investments in Nigeria.

    The programme is being launched at a workshop that will share market study findings, present the key components of the programme implementation phase, and collect feedback from stakeholders.

    DFID Nigeria’s Head of Office, Ben Mellor, said: “The UK Government is committed to helping to increase investment in off-grid energy and accelerating the delivery of solar energy systems that will help improve access to energy for more businesses. As access to energy is one of the most critical business needs in Africa, particularly Nigeria, the UK’s Department for International Development is determined to assist in bringing solar technology financing solutions to smaller businesses and corporates,  and we are working with IFC to help implement these solutions.

    “IFC has been at the fore, creating and facilitating solutions to help increase access to energy at the home and corporate levels in Nigeria,” said Eme Essien Lore, IFC Country Manager for Nigeria.

    “The solar market has the potential for quick wins in bringing access to electricity for more businesses as it takes less time to install. It also enables production of electricity at the point of need, which eliminates transmission losses to a great extent. We are working with DFID to accelerate access to electricity for more businesses and help contribute to economic growth in the country,” she added.

    The programme is part of the World Bank Group’s Energy Business Plan for Nigeria where each institution in the World Bank Group (IFC, IBRD and MIGA) will leverage their competencies and products to provide solutions for projects and sustain the power sector.

    Over the past three years, the IFC has financed close to $3.5 billion in renewable energy projects worldwide, including biomass, geothermal, hydro, solar, and wind.

  • IFC, DFID partner to improve access to electricity by SMEs

    International Finance Corporation (IFC), a member of the World Bank Group and United Kingdom’s Department for International Development (DFID), have partnered to facilitate the deployment of off-grid and embedded solar systems in commercial and industrial sectors of Nigeria.

    According to Ejura Audu, an official of IFC, the ultimate goal is to help corporates and small and medium scale enterprises (SMEs) to have better and more reliable access to electricity, utilising the country’s abundant solar resources, and thus contributing to Nigeria’s sustainable economic growth and greenhouse gas emission reduction objectives.

    Through this partnership, IFC’s Off-Grid and Embedded Solar Market Development and Finance Program, and DFID’s Solar Nigeria Programme are launching a new programme in Nigeria for solar market development and finance. One of its major components will be to provide technical support and possibly financial instruments to local financial institutions. This will help them develop business solutions for the emerging solar market especially solar PV technology investments in Nigeria. The programme is being launched at a workshop that will share market study findings, present the key components of the programme implementation phase, and collect feedback from stakeholders.

    Ben Mellor, DFID Nigeria’s Head of Office, said: “The UK Government is committed to helping to increase investment in off-grid energy and accelerating the delivery of solar energy systems that will help improve access to energy for more businesses. As access to energy is one of the most critical business needs in Africa and particularly Nigeria, the UK’s Department for International Development is determined to assist in bringing solar technology financing solutions to smaller businesses and corporates and we are working with IFC to help implement these solutions.”

    “IFC has been at the fore, creating and facilitating solutions to help increase access to energy at the home and corporate levels in Nigeria,” said, Eme Essien Lore, IFC Country Manager for Nigeria.

    “The Solar market has the potential for quick wins in bringing access to electricity for more businesses as it takes less time to install. It also enables production of electricity at the point of need, which eliminates transmission losses to a great extent. We are working with DFID to accelerate access to electricity for more businesses and help contribute to economic growth in the country,” she added.

    This programme is part of the World Bank Group’s Energy Business Plan for Nigeria where each World Bank Group institution (IFC, IBRD, and MIGA) leverage their competencies and products to provide solutions for projects that encourage the viability and contribute to the sustainability of the power sector.

    Over the past three years, IFC has financed close to $3.5 billion in renewable energy projects worldwide, including biomass, geothermal, hydro, solar, and wind.

     

  • IFC, DFID partner to improve SMEs’ access to electricity

    International Finance Corporation (IFC), a member of the World Bank Group and United Kingdom’s Department for International Development (DFID), are partnering to facilitate the deployment of off-grid and embedded solar systems in commercial and industrial sectors of Nigeria.

    According to Ejura Audu, an official of IFC, the ultimate goal is to help corporate organisations and small and medium scale entrepreneurs (SMEs) to have better and more reliable access to electricity, utilising the country’s abundant solar resources, adding that this would contribute to Nigeria’s economic growth and greenhouse gas emission reduction.

    Through this deal, IFC’s Off-Grid and Embedded Solar Market Development and Finance Programme, and DFID’s Solar Nigeria Programme will launch a new programme for solar market development and finance.

    One of the major components of the partnership is the provision of technical support and financial instruments to financial institutions.This will help them develop business solutions for the emerging solar market, especially solar PV technology investments in Nigeria.

    The programme is being launched at a workshop that will share market study findings, present the key components of the programme implementation phase, and collect feedback from stakeholders.

    DFID Nigeria’s Head of Office, Ben Mellor, said: “The UK Government is committed to helping to increase investment in off-grid energy and accelerating the delivery of solar energy systems that will help improve access to energy for more businesses. As access to energy is one of the most critical business needs in Africa, particularly Nigeria, the UK’s Department for International Development is determined to assist in bringing solar technology financing solutions to smaller businesses and corporates and we are working with IFC to help implement these solutions.

    “IFC has been at the fore, creating and facilitating solutions to help increase access to energy at the home and corporate levels in Nigeria,” said Eme Essien Lore, IFC Country Manager for Nigeria.

    “The solar market has the potential for quick wins in bringing access to electricity for more businesses as it takes less time to install. It also enables production of electricity at the point of need, which eliminates transmission losses to a great extent. We are working with DFID to accelerate access to electricity for more businesses and help contribute to economic growth in the country,” she added.

    The programme is part of the World Bank Group’s Energy Business Plan for Nigeria where each World Bank Group institution (IFC, IBRD and MIGA) will leverage their competencies and products to provide solutions for projects and sustain the power sector.

    Over the past three years, IFC has financed close to $3.5 billion in renewable energy projects worldwide, including biomass, geothermal, hydro, solar, and wind.