Washington, July 29, 2016—IFC, a member
of the World Bank Group, has committed up to $200 million to the IFC Emerging
Asia Fund (EAF), which this week reached a first close. IFC is joined by
the Korea Development Bank (KDB) and the Fiji National Provident Fund (FNPF).
Central to the EAF is mobilizing additional capital in emerging markets
of the Asia region, given the scale of investment, innovation, technological
development and employment creation required for sustainable development
in many low and middle income countries in the region falls beyond the
range of the public sector, making the private sector central to finding
and financing the development solutions that are needed.
Investments by the EAF will be aligned to IFC’s strategy for the region,
which includes a focus on addressing the infrastructure deficit, and at
the same time it will also help investee companies raise standards, improve
risk mitigation and generate value.
“We are excited by the equity opportunities we see in emerging Asia and
delivering further development impact through our clients,” said IFC Regional
Director East Asia and Pacific, Vivek Pathak. “We are very pleased that
major institutional investors such as KDB and FNPF are partnering with
us to further IFC’s support of private sector development.”
The new global architecture for international development, the Sustainable
Development Goals, launched at the United Nations in 2015, highlights that
financing sustainable development requires low and middle income countries
tap new sources of capital from both private and public sources, including
leveraging global private capital to most skillful effect.
Two thirds of the world’s poorest people live in emerging Asia and yet
it is the engine room of global growth being the fastest growing region
and the largest continental economy by GDP in the world. This growth is
a function of favorable dynamics such as the continued need for enhanced
infrastructure, the emergence of a rapidly growing middle class and commitments
by many governments in the region to political and economic reform. Combined,
these dynamics have created significant opportunities for investment in
the region including China, India, Indonesia, Philippines and Asian frontier
markets such as Vietnam and Myanmar.
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in emerging markets. Working
with more than 2,000 businesses worldwide, we use our capital, expertise,
and influence, to create opportunity where it’s needed most. In FY15,
our long-term investments in developing countries rose to nearly $18 billion,
helping the private sector play an essential role in the global effort
to end extreme poverty and boost shared prosperity. For more information,