Washington, D.C., May 5, 2004—
The International Finance Corporation, the private sector arm of the World Bank Group, has signed an agreement to provide a 20.0 million Euro loan to Drujba A.D. in Bulgaria. Drujba is a subsidiary of the largest glass container manufacturer in the Balkans, Yioula S.A..
IFC’s loan helps Drujba finance a 47.0 million Euro investment program which includes the construction of a furnace with an output of 130,000 metric tonnes per year, the installation of six production lines, and the establishment of a small mold manufacturing facility. In addition, Drujba will refurbish two warehouses for storage of finished goods and refinance a portion of its short-term debt.
Khosrow Zamani, IFC’s director for Southern Europe and Central Asia said, “This project is an example of IFC’s commitment to Bulgarian companies that are increasing efficiency and striving to set high standards in environmental, social, and governance practices. Our investment demonstrates the success of Bulgaria’s privatization and modernization efforts and shows that the country is an attractive location for foreign direct investment.”
The mission of IFC (
) is to promote sustainable private sector investment in developing countries, helping to reduce poverty and improve people’s lives. IFC finances private sector investments in the developing world, mobilizes capital in the international financial markets, helps clients improve social and environmental sustainability, and provides technical assistance and advice to governments and businesses. From its founding in 1956 through FY03, IFC has committed more than $37 billion of its own funds and arranged $22 billion in syndications for 2,990 companies in 140 developing countries. IFC’s worldwide committed portfolio as of FY03 was $16.8 billion for its own account and $6.6 billion held for participants in loan syndications.