Washington, D.C., June 10, 2014—
IFC, a member of the World Bank Group, and the Hungarian Export-Import Bank today agreed to streamline their collaboration to provide much-needed financing to private companies and help boost growth and jobs in emerging markets.
The Hungarian Export-Import Bank is the 21st development finance institution to sign IFC´s Master Cooperation Agreement (MCA), which standardizes steps that lenders take when co-financing projects with IFC. This streamlined approach saves time and money for borrowers—private companies in emerging markets—and lenders. IFC has syndicated over $4.4 billion in parallel loans for clients since the establishment of MCA, 50 percent of which has come from MCA signatories.
IFC created the MCA in response to calls by the Group of 20 for official finance institutions to collaborate more closely to help meet shortfalls in private sector financing during the global financial crisis.
“Our mission is to expand Hungary’s export sector and facilitate trade with foreign markets in order to support jobs and growth,” said Roland Nátrán, CEO of the Hungarian Export- Import Bank. “Through closer collaboration with IFC we will be able to explore new channels for interacting with economies in Europe and beyond, while supporting private sector investment and development.”
“The agreement with the Hungarian Export-Import Bank marks the addition of another important partner to our network of MCA signatories,” said Stefania Berla, IFC Director for Syndicated Loans and Management. “We are looking forward to expanding our relationship with Hungary, beyond their support of IFC's Advisory Services, to building a productive relationship with HEIB on the debt-financing side, as we work together for the benefit of clients in regions of mutual interest."
Hungary became an IFC shareholder in 1985. Since then, IFC has invested over $438 million in private sector projects, and mobilized $70 million from commercial banks to support private sector development in Hungary. In March 2014, Hungarian Export-Import Bank pledged $20 million to IFC to help the private sector in Asia, the Middle East and North Africa, and the Balkans tackle some of the world’s most pressing development challenges.
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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