Dhaka, Bangladesh, January 13, 2010
—IFC, a member of the World Bank Group, is partnering with Bangladesh’s Energypac Agro-G Ltd to increase production and supply of stress-tolerant rice and vegetables seeds that can withstand the salinity intrusion, drought and submergence resulting from climate change. Such initiatives are critical to ensure national food security and reduce the vulnerability of farmers in stress-prone regions.
The SouthAsia Enterprise Development Facility, managed by IFC, in partnership with the United Kingdom’s Department for International Development and the Norwegian Agency for Development, will provide advisory support to Energypac in the project. The facility aims to build the private sector’s capacity to produce, promote, and distribute better seeds in a timely and cost-efficient manner.
“This collaboration will greatly assist our expansion in the southern belt of Bangladesh and other stress-prone regions,” said S. B. Naseem, Vice President of Energypac. “We expect this will have a positive impact on farmers in affected regions.”
With floods and salinity increasing, Bangladesh faces the risk of losing 17 percent of its land mass, displacing 20 million people, due to climate change. Salinity, floods, and drought have damaged millions of hectares, and crop yield has dropped to as little as 1 metric ton per hectare in affected areas, compared to the average yield of 4.5 metric tons a hectare.
Ian Crosby, Head of IFC Advisory Services in Bangladesh, said, “Farmers are often hardest hit by adverse environmental conditions such as floods and droughts. While this can lead to a dire situation for food security, it also creates business opportunities for companies like Energypac to help respond to the nation’s needs.”
IFC is the only international 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 advising businesses on how to better cope with climate change.
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
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