EIB and IFC aim to improve access to finance for African private sector

Dec 27, 2011

The European Investment Bank (EIB) and the International Finance Corporation (IFC) have signed an agreement to strengthen their collaboration to support small to medium-sized enterprises and the development of the private sector in emerging markets.

The European Investment Bank (EIB) and the International Finance Corporation (IFC) have signed an agreement to strengthen their collaboration to support small to medium-sized enterprises and the development of the private sector in emerging markets.

According to this agreement, projects supported by the IFC and EIB will be able to obtain funds from both institutions with limited additional administrative requirements.

It defines guiding principles covering the application process and allocation of responsibilities between the two institutions to allow the timely completion of investments.

The strengthening of the cooperation between these two institutions should improve the efficiency of project financing in Africa, the Caribbean, the Pacific, the Republic of South Africa and in Mediterranean countries

Philippe Maystadt, President of the EIB, said "This agreement provides a welcome opportunity to reduce duplication of administrative procedures and improve the effectiveness of lending operations in emerging markets."

The IFC and EIB also launched the Microfinance Enhancement Facility to support sound microfinance institutions impacted by the financial crisis and jointly capitalised notable banks throughout Africa through the Africa Capitalisation Fund, Xinhua news agency reports.ADNFCR-2976-ID-801248127-ADNFCR