Chisinau, Moldova, September 11, 2014 —
IFC, a member of the World Bank Group, has extended financing to Trans-Oil to promote its agricultural export activities in Moldova and help raise the incomes of local farmers.
The $155 million short-term pre-export finance facility, arranged by Societe Generale Corporate & Investment Banking and partly financed by IFC, will help Trans-Oil, a leading integrated agro-industrial group in Moldova, meet increased trade finance needs during the harvest season, given its strong growth in recent years. IFC is committing up to $30 million, working with Societe Generale CIB and a syndicate of other banks and alternative investors.
Up to 15,000 farmers that supply Trans-Oil with grains and oil seeds will benefit from opportunities for additional revenue and increased integration into international markets.
“This facility will support new opportunities for Moldova’s farmers to participate in global agricultural value chains,” said Georgina Baker, IFC Global Head of Trade and Supply Chain Solutions, “Increased exports will grow the agricultural sector, creating jobs and ensuring that farmers have enough income to support their families.”
The facility is an evolution of IFC’s Critical Commodity Finance Program, launched in 2012 to facilitate imports of agriculture and energy-related goods in the world’s poorest countries. The total commodity trade supported by IFC in this program has exceeded $20 billion.
The food and agribusiness sector accounts for half of Moldova’s exports and employs more than one-quarter of its workforce. Trans-Oil is the country’s largest trader of grains and processor of vegetable oil.
Development of the agribusiness sector is a core part of IFC's strategy in Moldova. IFC investments and advice are building on more than a decade of experience in this sector to enhance the entire agribusiness value chain, develop competitive local agribusinesses, promote export opportunities, and foster food security.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. Working with private enterprises in more than 100 countries, we use our capital, expertise, and influence to help eliminate extreme poverty and promote shared prosperity. In FY13, our investments climbed to an all-time high of nearly $25 billion, leveraging the power of the private sector to create jobs and tackle the world’s most pressing development challenges. For more information, visit
www.ifc.org
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