WASHINGTON, D.C., January 20 - The Executive Vice President of the International Finance Corporation (IFC), Sir William Ryrie, today announced that IFC is to develop new projects in El Salvador's private sector through various measures designed to boost economic recovery. This announcement was made at a press conference held on the occasion of his visit to this country for a meeting tomorrow with the President of the Republic, Mr. Alfredo F. Cristiani. The International Finance Corporation (IFC), the private sector arm of the World Bank Group, is the principal source of financing for private sector projects in the developing countries. Ryrie said that IFC has introduced a number of new mechanisms to enable a larger number of Latin American companies to have access to international capital markets and to facilitate greater diversification of project financing sources. The Corporation continues to support businesses in their operational and financial restructuring programs. IFC also furnishes advice and financi
ng for the privatization of government-owned enterprises. Ryrie noted that IFC has set up a new Division to deal exclusively with projects in Central America and the Caribbean. The main areas in which projects are currently being studied are industry and agroindustry, electricity generation, and support for small and medium-scale enterprises through lines of credit. "Conditions in Central America are becoming very favorable for the development of private sector projects. We believe we can play an important role in contributing to the region's economic recovery, and this is precisely the issue that I wish to discuss tomorrow with the President," said Ryrie. On January 18, a new Central American office of the Business Advisory Service will be opened in San JosÈ, to be known as the Central American Business Advisory Service.
IFC has been active in Latin America since its creation in 1956. To date, IFC has granted $3,360 million in investment financing for 458 projects in the region. Helmut Paul, Director of the Latin America and Caribbean Department, says that as the countries' macroeconomic situation becomes more stable, conditions are becoming more favorable for private sector development. "IFC's goal of promoting the economic growth of its member countries by supporting private sector development is especially appropriate in the context of the market-oriented policy changes now taking place in Latin America," said Paul. (30)
