Antananarivo, November 28, 2008—
IFC, a member of the World Bank Group, announced today that it will issue guarantees against Bank of Africa-Madagascar’s underlying trade transactions, enabling the bank to better support Madagascar’s importers and exporters and helping increase the country’s international trade.
The $15 million facility is part of an IFC program that guarantees bank risk in emerging markets, enabling banks to expand their trade finance transactions within an extensive network of counterparts and countries.
“Working with IFC will enable BoA-Madagascar’s to better provide our clients with the services they need to expand their businesses and integrate into the global economy,” said BoA-Madagascar’s Chairman Paul Derreumaux. “The agreement builds upon our strong existing relationship with IFC.”
IFC has been a shareholder in BoA-Madagascar since 2000.
“A strong financial system is crucial for developing a well-functioning private sector that generates economic growth, stimulates regional integration and reduces poverty” said IFC Executive Vice President and CEO Lars Thunell. “The trade finance facility with BoA-Madagascar demonstrates IFC’s commitment to supporting our clients amid the current turmoil in global financial markets.”
Thunell was in Madagascar on a three-day visit to highlight IFC’s commitment to the country. His agenda included meetings with key development partners and government officials, including President Marc Ravalomanana; Prime Minister Charles Rabemananjara; Minister of Economy, Trade and Industry Ivohasina Razafimahefa; Minister of Finance and Budget Haja Nirina Razafinjatovo; Minister of Energy and Mining Elysé Razaka.
IFC’s strategy in Madagascar focuses supporting the development of local financial markets; helping develop infrastructure; promoting investments in key economic sectors such as mining, agribusiness, and tourism; and improving the business environment.
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 $16.2 billion in fiscal 2008, a 34 percent increase over the previous year. For more information, visit
Founded in 1999 during the restructuring of the banking sector in Madagascar, BoA-Madagascar is a subsidiary of BoA Group SA. The Bank of Africa brand is present in 11 countries spanning across west, east and southern Africa. As of October 2008, BoA-Madagascar had approximately 790 employees, with 55 branches across Madagascar and total assets of about US$600 million.