Kochi, India, November 16, 2009
—IFC, a member of the World Bank Group, will work with the Indian state of Kerala to develop a greenfield port that will create jobs while addressing the state’s trade and transportation capacity needs.
The new port, to be located at Vizhinjam near the state capital of Thiruvananthapuram, is expected to become a national hub for container traffic. Developing this deep water port will build on the natural advantages of the proposed site and its proximity to international shipping routes, providing access to larger ships.
IFC will act as a principal advisor to Vizhinjam International Seaport Limited to structure, market, and implement the project to attract serious investors through an open, transparent, and competitive bidding process. This will help bring international managerial capabilities and best practices and safeguard the interests of all stakeholders.
“Private investors with relevant experience in other parts of the world will bring immense efficiencies to building a port in Kerala,” said Sanjeev Kaushik, Chief Executive Officer of Vizhinjam International Seaport Limited and Secretary of Kerala’s ports department. “By partnering with IFC, we will not only benefit from its global experience in structuring sustainable public-private partnerships but also show the government’s commitment to ensuring a transparent and competitive bidding process.”
Lars Thunell, IFC Executive Vice President and CEO, currently on a visit to India, said, "Improved infrastructure will lead to stronger economic growth in India. We are partnering with Kerala to increase capacity of its port to enable more trade and create jobs."
IFC’s experience in helping state-owned enterprises build and upgrade port facilities includes public-private partnership projects in the port sector in Benin, Brazil, Madagascar, and Mauritius. The goal is to make better use of resources, create economic activity, and create quality services.
This initiative is led by IFC Advisory Services in Infrastructure. Established in 1989, the program has worked on more than 250 projects in 80 countries. IFC is the only multilateral institution to offer advisory services to governments on implementing transactions with private sector participation. For more information, visit
www.ifc.org/infrastructureadvisory
.
IFC is the only financial institution focused exclusively on the private sector, the engine of sustainable development in emerging markets. Along with IBRD, it is currently seeking a capital increase to strengthen its ability to create opportunity for the poor in developing countries—including by supporting infrastructure development in countries like India.
About IFC
IFC, a member of the World Bank Group, creates opportunity for people to escape poverty and improve their lives. We foster sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. Our new investments totaled $ 14.5 billion in fiscal 2009, helping channel capital into developing countries during the financial crisis. For more information, visit
www.ifc.org
.
