WASHINGTON, D.C., Jan. 31 -- The International Finance Corporation (IFC) and the Government of Switzerland have signed a new agreement to finance technical assistance activities in developing countries. The purpose of this new agreement is to provide an additional contribution of US$1 million to the trust fund originally established on June 30, 1989. The Government of Switzerland has so far contributed a total of U$2.3 million to this trust fund, including the new contribution. The agreement was signed by Ambassador N. Imboden for the Department of Public Economy, Federal Office for Foreign Economic Affairs of the Government of Switzerland and Mr. Alakadri K. Bose, Manager of IFC's Technical Assistance and Trust Funds Program. The new agreement reinforces the existing strong collaboration between the Government of Switzerland and the IFC. The fund will finance, amongst other activies, pre-feasibility and feasibility studies, training and technology transfer, and the establishment of pilot projects, Projects supported by the first Swiss/IFC Technical Assistance Trust Fund include a feasibility study for a hydroelectricity project in Costa Rica; a pilot operation to assess the feasibility of producing electric cars for city use in China; environmental work on a cement plant in the Philippines; establishing an environmental fund and management company in the Mediterranean region; a study in the Asia region on the denim and jeanswear market; the modernization and expansion of a cement plant in Mali; and, a multi-region study on sustainable paper cycle aimed at identifying options for promoting environmentally sound and cost-effective utilization of resources. IFC initiated the Technical Assistance Trust Funds Program in 1988 in an effort to identify viable business projects in developing countries at an early stage. The program provides technical assistance and funding to help entrepreneurs prepare projects and design proposals that meet the criteria of prospective investors, including IFC. Since its inception, the program has supported nearly 300 technical assistance projects in a broad range of sectors. It also supports some of IFC's privatization advisory services and capital markets activities aimed at strengthening private sector institutions. IFC is a member of the World Bank Group and is the largest multilateral source of equity and loan financing for private sector projects in developing countries.
