Dhaka, Bangladesh, February 12, 2014–IFC,
a member of the World Bank Group, has invested $10.5 million in the DBL
Group to help expand the group’s state-of-the-art dyeing facility while
creating 850 direct jobs. IFC is also assisting in developing a corporate
governance framework to strengthen the group’s board, enhance accountability
In addition to its own investment, IFC mobilized an additional $10.5 million
from FMO, the Netherlands-based development bank.
IFC’s Advisory group will conduct corporate governance assessments for
seven DBL Group companies to help them implement a corporate governance
improvement plan. DBL Group is an integrated knit garments manufacturer
with facilities for spinning, fabric knitting, dyeing and finishing, washing,
packaging, and printing.
“With Bangladesh aspiring to become a middle income country by 2020, the
significance of solid corporate governance cannot be underestimated, especially
in the case of family-run enterprises,” said Abdur Rahim, CEO and Vice-Chairman,
Promoting good governance for private sector development is one of IFC’s
major priorities. IFC’s global methodology to evaluate corporate governance
risks under its ‘Corporate Governance Development Framework’ has been
adopted by 31 development finance institutions including FMO, DEG and ADB.
“Effective implementation of corporate governance in Bangladesh will send
a strong signal to the international community that Bangladesh is an attractive
business destination,” said Kyle F. Kelhofer, IFC Country Manager for
Bangladesh. Good corporate governance helps companies improve board structure,
enable effective board functioning, increase accountability to shareholders,
and ensure transparency.
IFC’s total investment in Bangladesh for fiscal 2012-2013 was around $770
million. Since 2011, IFC has launched a corporate governance program in
Bangladesh to assist companies in developing and adopting good corporate
governance practices. Globally, IFC’s corporate governance improvement
programs have benefitted over 1200 companies, and facilitated $3.4 billion
in new financing to them over the last five years.
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