Washington, D.C., 17, 2003—The International
Finance Corporation, the private sector arm of the World Bank Group, will
cofinance a capacity building program for small and medium enterprises
in Mozambique. The program will support the business development of small
enterprises that provide goods and services to Mozal, a $2.1 billion aluminum
smelter in which IFC has invested.
IFC will provide $142,500 in grant financing to the German international
human resources development organization, InWEnt (Internationale Weiterbildung
und Entwicklung gGmbH), which will supervise the program through a partnership
with IFC’s Africa Project Development Facility. GFA Management GmbH,
a German development consulting firm, will implement and manage the training
program. Local Mozambican partners include the Superior Institute
of Sciences and Technology of Mozambique, which will present the training
program in-house, and the local office of PricewaterhouseCoopers, which
will facilitate post training assistance to consultants.
This initiative builds on an existing program supported by the IFC Linkages
Team and Mozal that links
local small businesses to the Mozal Smelter.
IFC recently determined that these enterprises need more outside expertise
in such areas as safety, quality standards, production, and financial management.
There are few local consultants who have the skills to meet these needs.
To improve the skills of local consultants and increase their numbers,
an IFC team of small business experts identified InWEnt as a partner with
a proven track record in training local consultants. InWEnt has developed
a consultant capacity building program under the brand name PROCESS. This
is a modern, highly participative training method with practice-oriented
content that includes the rendering of consulting services as an integral
part of the learning process.
IFC’s grant will finance the startup phase of the PROCESS program in Mozambique.
Activities will include information seminars to stimulate the demand
for small business consulting services; PROCESS courses in which consultants
receive training and become master trainers for future courses; training
of local consultants in areas that Mozambican small businesses, particularly
those linked to Mozal, need most; and diagnostics of Mozal-related small
businesses as part of the consultant training course work.
The program includes both the qualification of business consultants and
increased growth and competitiveness for Mozambican small businesses through
professional consulting services. This effort will improve the capabilities
of small businesses working with Mozal as well as those of other Mozambican
businesses seeking future contracts with foreign investors.
Harold Rosen, director of IFC’s Small and Medium Enterprise Department,
said, “IFC’s commitment to cofinance the project with InWEnt demonstrates
our continued support to Mozambique’s small business sector. The
program builds on the success of our previous work with Mozal in developing
supply-chain links with small businesses, something we have been doing
through the Africa Project Development Facility since 2001.”
The mission of IFC is to promote sustainable private sector investment
in developing countries, helping to reduce poverty and improve people's
lives. IFC finances private sector investments in the developing
world, mobilizes capital in the international financial markets, helps
clients improve social and environmental sustainability, and provides technical
assistance and advice to governments and businesses. From its founding
in 1956 through FY02, IFC has committed more than $34 billion of its own
funds and arranged $21 billion in syndications for 2,825 companies in 140
developing countries. IFC's worldwide committed portfolio as of FY02 was
$15.1 billion for its own account and $6.5 billion held for participants
in loan syndications.
IFC's SME Department Linkages Team works closely with the Corporation's
clients and partners worldwide to expand their local supply and distribution
chains, create more opportunities for smaller businesses, and assist in
sustainable community development efforts.