Washington, D.C., December 1, 2003
—The Royal Government of Bhutan today completed membership formalities to become the 176th member of the International Finance Corporation, the private sector arm of the World Bank Group.
“We welcome Bhutan as a member and look forward to becoming a partner in the development of its private sector,” said Ms. Farida Khambata, IFC Vice President at the signing ceremony. She added, “We share the same vision of a private sector which contributes to development in a sustainable way and look forward to working with domestic and foreign investors to promote growth in tourism, agribusiness, and forestry.”
The Articles of Agreement of IFC were signed on behalf of the Royal Government of Bhutan by His Excellency Mr. Daw Penjo, Ambassador Extraordinary and Plenipotentiary, Permanent Mission of Bhutan to the United Nations.
Ambassador Penjo commented, “I am confident that IFC will play an important role in Bhutan’s development process, particularly in the development of the private sector which is critical for long-term sustained growth.”
The Government of Bhutan is encouraging the development of sustainable private enterprise, which will generate employment and income while protecting the country’s unique heritage as well as its physical and cultural environment.
IFC will initially focus on technical assistance to support the growth of small and medium enterprises through the South Asia Enterprise Development Facility based in Dhaka, Bangladesh, and selective investments alongside foreign investors. The Foreign Investment Advisory Service or FIAS, a joint service of IFC and the World Bank, will continue to work with the government to create a policy and regulatory framework for private investment.
The mission of IFC (
www.ifc.org
) 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.
