Washington, D.C., October 19, 2007 —
IFC Executive Vice President and CEO Lars Thunell and Japan Bank for International Cooperation Governor Koji Tanami today signed a memorandum of understanding to strengthen the collaboration between the two institutions. The agreement will enable them to implement private sector projects more effectively in developing countries and regions, helping improve access to infrastructure and other basic services for poor people while supporting Japanese companies’ activities in these areas.
The memorandum of understanding establishes the principles for enhancing cooperation between IFC and JBIC through shared technical expertise and cofinancing of private sector projects. It will enable the organizations to leverage their relationships with developing country governments, project sponsors, and borrowers so that they can structure projects that deliver the highest development outcomes. The partnership will support Japan’s business development efforts in the private sector of developing countries.
“Millions of people in emerging markets lack water, reliable electricity, and health and education facilities. This is why IFC is working hard to attract private sector financing and expertise for infrastructure projects. With the signing of this agreement, IFC looks forward to collaborating on solutions with JBIC,” said Thunell.
The agreement creates opportunities for IFC and JBIC to address the enormous demand for infrastructure and natural resources projects in developing countries through knowledge-sharing for large-scale endeavors. It will also support efforts to improve the investment climate in frontier countries and implement stronger environmental and social standards in infrastructure development.
About IFC
IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing private capital in local and international financial markets, and providing advisory and risk mitigation services to businesses and governments. IFC’s vision is that poor people have the opportunity to escape poverty and improve their lives. In FY07, IFC committed $8.2 billion and mobilized an additional $3.9 billion through loan participations and structured finance for 299 investments in 69 developing countries. IFC also provided advisory services in 97 countries. For more information, visit
www.ifc.org
.
About the Japan Bank for International Cooperation
JBIC has a statutory mandate to undertake lending and other operations for the promotion of Japanese exports, imports and economic activities overseas. JBIC seeks to foster the stability of the international financial order, economic and social development, and economic stability in developing economies, thereby contributing to the sound development of the Japanese economy as well as the international economy. JBIC operates under the principle that it will not compete with financial institutions in the private sector. In fiscal 2006, JBIC made total commitments of 2,416.5 billion yen in loans, equity participation, and guarantees. JBIC will be realigned on October 1, 2008. For more information, visit http://www.jbic.go.jp/autocontents/english/news/2007/000085/index.htm
