Juba, South Sudan, June 6, 2013 – IFC,
a member of the World Bank Group, announced today the launch of its Africa
Leasing Facility in South Sudan, which will work to lay the foundation
for small business owners to grow their businesses through an increased
ability to lease essential equipment.
Leasing is an innovative financing solution
for Sub-Saharan Africa’s small enterprises which often lack the credit
history or sufficient collateral required by most banks to finance the
necessary equipment to heighten productivity.
Oumar Seydi, IFC Director for Eastern and
Southern Africa, said, “Countries looking to rebuild their economies stand
to benefit greatly when equipment is more accessible to its small business
owners, especially in the agricultural, health and infrastructure sectors.
With the necessary financial tools available to them, South Sudan’s entrepreneurs
have the capacity to make a tremendous impact on the economy and play an
important role in the country’s future development.”
The announcement comes at a ceremony commemorating
the signing of a Memorandum of Understanding to begin work with the Bank
of South Sudan and relevant parties to help facilitate leasing in South
Bank of South Sudan Governor Kornelio Koriom
Mayiek said, “A commercial banking system should not only be relevant
to large businesses, but approachable to viable small business owners as
well. Alternative financing options, such as leasing, must therefore be
made available. Our partnership with IFC will help us lay the foundation
for a sustainable leasing industry in South Sudan.”
IFC’s Africa Leasing Facility works to create
a legislative and regulatory environment favorable for leasing, build capacity
of leasing stakeholders, and mobilize investment in the continent’s leasing
Over the past five years, IFC’s Africa Leasing
Facility has trained more than 10,000 small business owners through almost
250 training sessions, assisted in the passage of 16 leasing legal, regulatory
and tax laws and mobilized investment in five leasing projects worth almost
$27 million. Previously active in 15 countries on the continent, the Facility
will focus in the coming months and years on nine countries recovering
from conflict, such as South Sudan.
Since 2013, the ALF has been implemented
in partnership with Ireland, Netherlands, Norway, Switzerland and Sweden.
Previous donor partners also include Austria, Denmark and Japan. For more
information on IFC’s Africa Leasing Facility, please visit: www.ifc.org/africaleasing.
South Sudan is one of eight countries supported
by IFC’s Conflict Affected States in Africa Initiative, which is helping
drive private sector growth, job creation, and increased investment in
countries recovering from conflict. CASA is backed by donor partners Ireland,
the Netherlands, Norway, and Denmark.
IFC, a member of the World Bank Group, is
the largest global development institution focused exclusively on the private
sector. We help developing countries achieve sustainable growth by financing
investment, mobilizing capital in international financial markets, and
providing advisory services to businesses and governments. In FY12, our
investments reached an all-time high of more than $20 billion, leveraging
the power of the private sector to create jobs, spark innovation, and tackle
the world’s most pressing development challenges. For more information,