DAKAR, SENEGAL—October 27, 1999 — The
International Finance Corporation through its Small Enterprise Fund (under
Extending IFC's Reach Initiative) is supporting the private sector in West
Africa with four investments totaling about US$2.5 million in small and
medium projects, including a quarry, a printing and publishing factory,
a seaside resort club, and a modern butchery.
Mr. Souleymane Traoré, IFC's Regional Coordinator based in Dakar, Senegal,
said the new investments are in line with IFC's recently announced strategy
in sub-Saharan Africa, which gives priority to small and medium enterprises.
He added that IFC's financing will help to overcome the scarcity of long-term
sources of funding in the region, be regarded as a positive signal to other
investors and financing institutions, and assist in the building of the
Extending IFC's Reach Initiative is a program to expand the geographic
range of IFC's activities to developing countries that face challenging
conditions, limited flows of foreign investment, and other constraints
to private sector growth. The $40 million Small Enterprise Fund was created
under the Initiative to target small investments costing less than $5 million.
The mission of IFC, part of the World Bank Group, is to promote private
sector investment in developing countries, which will reduce poverty and
improve people's lives. IFC finances private sector investments in the
developing world, mobilizes capital in the international financial markets,
and provides technical assistance and advice to governments and businesses.
Stone Crushing Company in Cape Verde Receives $1.5 Million Investment
IFC will invest $1.5 million in Central de Britagem, a stone crushing company
in Praia, Cape Verde that will produce sand, gravel, and concrete blocks.
IFC's investment will help the company acquire stone crushing equipment
to produce up to 1.2 million tons per year of gravel, sand, and concrete
blocks. The plant will use basalt rock as its main raw material. Besides
adding value to abundant natural resources, the project will contribute
to the protection of beach sand, which is currently being over extracted,
create 42 jobs, and reduce the need for imports.
Printing and Publishing Company in Mali Receives $434,000 Investment
IFC has approved a guarantee that will allow Imprim Color, a printing and
publishing company in Bamako, Mali, to obtain a local currency loan of
CFAF 260,400,000 ($434,000). Imprim Color will expand and upgrade its production
capacity to meet the growing demand for school books. Creating facilities
for the local printing and publishing of school books will have a positive
impact on Mali's educational system by making books readily and cheaply
available and improve the country's literacy rate. The project will also
result in substantial foreign currency savings.
Tourist Complex in Mauritania Receives $400,000 Investment
An IFC loan of $400,000 to Lemhar in Mauritania will be used for the construction
of a seaside resort club, 30 km from Nouakchott. The project will exploit
the country's potential for tourism and meet the growing demand for resort
hotels. Besides developing the tourism sector, the hotel will also provide
employment and generate foreign exchange.
Butchery in Senegal Receives $140,000 Investment
IFC approved a guarantee for SADIA in Senegal to obtain a local currency
loan of CFAF 84,000,000 ($140,000). The company will construct a modern
butchery, including a retail outlet, storage and refrigeration facilities,
and offices. The butchery will provide good quality affordable meat to
consumers. By establishing the project in an expanding residential area
of Dakar, the company will diversify and broaden its client base. The investment
will also be in line with the government's strategy to sustain growth through
larger private sector participation.