WASHINGTON, D.C., November 5, 1998 --- The International Finance Corporation will make an equity investment of US$300,000 in Banco Internacional de Mozambique Investimento (BIM-Investimento), the first full fledged investment bank in Mozambique.
BIM-Investimento will support medium- and long-term investment projects and assist private and public entities through financial advisory services. It will focus on financing for local corporations, underwriting and managing debt and equity issues, and providing short-term financing.
Mr. Jemal-ud-din Kassum, Vice President for Investment Operations, who signed the agreement for IFC, said that the project would help to broaden the rapidly developing financial sector in Mozambique and that the introduction of new financial products and services would raise the standards for competition in the country's banking sector.
Mr. Mario Fernandes da Graca Machungo, who signed the agreement as Chairman of the Board of Banco Internacional de Mozambique and BIM-Investimento, added that the new bank would improve the efficiency of resource allocation through the mobilization and channeling of resources from foreign and domestic sources.
Also present at the signing were Mr. James Coates, Resident Representative of the World Bank in Maputo, Mr. Udayan Waglé, Manager in IFC's Sub-Saharan Africa Department, Mr. Oliveira Juvane, IFC's Representative in Maputo, and Mr. Papa Ndiaye, Investment Officer in IFC's Sub-Saharan Africa Department.
IFC, part of the World Bank Group, encourages economic growth in the developing world by financing private sector investments, mobilizing capital in the international financial markets, and providing technical assistance and advice to governments and businesses.
