Washington, D.C., July 5, 2006-
The International Finance Corporation, the private sector financing arm of the World Bank Group, has signed an agreement to provide a $15 million loan to CTI Group Inc. With its regional office in Amman, Jordan, CTI is one of the world’s largest owners of a specialized cement carrier fleet. IFC’s financing will support the company’s strategy to match its long-term assets with long-term financing.
Cement consumption worldwide has been driven by growth in developing countries, leading to increasing volumes of cement being traded across national borders. Transporting cement requires specific handling and storage conditions, hence specialized cement carriers are the preferred method of transportation.
Established in 1990, CTI Group began as a cement and clinker trading company. CTI’s activities now cover all aspects of logistics for the specialized cement trade, including trading, handling, and transport. CTI is embarking on an investment program that will renew and expand its fleet of cement carriers and thereby reduce operating costs, optimize its fleet structure, and expand its operations.
“IFC’s strategy has focused on helping private companies expand their operations regionally and globally in a way that helps improve the integration of economies across the region,” said Michael Essex, IFC’s Director for Middle East and North Africa. “This investment supports a Jordanian-run company that is a leader in the global cement shipping and trading industry.”
“We are pleased to have entered into this agreement with IFC,” said Nader Dajani, Chairman of CTI. “Through this financing package, we will be able to upgrade and renovate our shipping fleet, as well as expand its size to keep pace with the development of new cement markets.”
“IFC is committed to developing infrastructure in the region and helping local firms become global players” said Francisco Tourreilles, Director of IFC's Infrastructure Department. “We are confident that the success of this investment will help encourage local and international banks to provide longer-term financing to private sector companies in the region.”
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 FY05, IFC has committed more than $49 billion of its own funds and arranged $24 billion in syndications for 3,319 companies in 140 developing countries. IFC’s worldwide committed portfolio as of FY05 was $19.3 billion for its own account and $5.3 billion held for participants in loan syndications.
