Chisinau, Moldova, September 11,
2014 — IFC, a member of the World Bank Group, has extended financing
to Trans-Oil to promote its agricultural export activities in Moldova and
help raise the incomes of local farmers.
The $155 million short-term pre-export
finance facility, arranged by Societe Generale Corporate & Investment
Banking and partly financed by IFC, will help Trans-Oil, a leading integrated
agro-industrial group in Moldova, meet increased trade finance needs during
the harvest season, given its strong growth in recent years. IFC is committing
up to $30 million, working with Societe Generale CIB and a syndicate of
other banks and alternative investors.
Up to 15,000 farmers that supply Trans-Oil
with grains and oil seeds will benefit from opportunities for additional
revenue and increased integration into international markets.
“This facility will support new opportunities
for Moldova’s farmers to participate in global agricultural value chains,”
said Georgina Baker, IFC Global Head of Trade and Supply Chain Solutions,
“Increased exports will grow the agricultural sector, creating jobs and
ensuring that farmers have enough income to support their families.”
The facility is an evolution of IFC’s
Critical Commodity Finance Program, launched in 2012 to facilitate imports
of agriculture and energy-related goods in the world’s poorest countries.
The total commodity trade supported by IFC in this program has exceeded
The food and agribusiness sector accounts
for half of Moldova’s exports and employs more than one-quarter of its
workforce. Trans-Oil is the country’s largest trader of grains and processor
of vegetable oil.
Development of the agribusiness sector
is a core part of IFC's strategy in Moldova. IFC investments and advice
are building on more than a decade of experience in this sector to enhance
the entire agribusiness value chain, develop competitive local agribusinesses,
promote export opportunities, and foster food security.
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. Working with private enterprises in more than 100 countries,
we use our capital, expertise, and influence to help eliminate extreme
poverty and promote shared prosperity. In FY13, our investments climbed
to an all-time high of nearly $25 billion, leveraging the power of the
private sector to create jobs and tackle the world’s most pressing development
challenges. For more information, visit www.ifc.org.