Addis Ababa, July 17, 2014—IFC, a member
of the World Bank Group, Natixis and Standard Bank Group today announced
that they have participated in a $500 million trade finance facility, arranged
and lead by Natixis, to finance Ethiopia’s import of refined petroleum
products. The facility supports the supply of critical energy products
in Ethiopia, powering the country’s economic growth.
Under the agreement closed in June 2014, IFC, Natixis and Standard Bank
Group are helping finance Independent Petroleum Group’s sales of petroleum
products to Ethiopia over one year. Independent Petroleum Group maintains
a strong relationship with Ethiopia Petroleum Supply Enterprise, being
one of the main suppliers of petroleum products to the country for the
last four years. Independent Petroleum Group secured the 2014 annual tender
to supply over half of Ethiopia’s imports of refined petroleum products.
The second-most populous country in sub Saharan Africa, Ethiopia imports
all of its petroleum products, which are critical for transportation, industrial
and household uses.
“Natixis has a longstanding experience with Ethiopia for over 30 years”,
said Felipe Lopez Cruz, Natixis Regional Head of Global Energy & Commodities
Dubai branch. “Our expertise in commodities, our presence in the Middle
East, as well as the partnership with IFC and Standard Bank Group has allowed
Natixis to finance Ethiopian oil imports successfully. We are proud of
this achievement given the strategic nature of this flow to Ethiopia and
to our client, Independent Petroleum Group”.
“The established facility will provide flexibility and support to the
Ethiopian Petroleum Supplier Enterprise by extending the credit period
for importing petroleum products and introducing new financial institutions
and banks to the country", said Abdullah Al-Khandari, the Chief Financial
Officer of IPG.
Ethiopia’s economy has experienced strong GDP growth over the past decade,
reaching 7% in 2013. Still, almost 30% of the country’s population continues
to live below the poverty line of $1.25 per day. A landlocked country,
Ethiopia relies on road transport to move critical goods such as construction
materials and agricultural commodities. Imports of petroleum products are
thus crucial for several key sectors of the economy.
Oumar Seydi, IFC Director for East and Southern Africa said, “Ethiopia
depends on imported petroleum products to meet its infrastructure, agriculture
and energy needs. IFC is committed to encouraging trade that supports economic
growth and job creation in Ethiopia.”
IFC’s strategy in Ethiopia involves working closely with the private sector
to support infrastructure, agriculture and entrepreneurs.
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
Natixis is the corporate, investment and financial
services arm of Groupe BPCE, the 2nd-largest banking group in France with
21% of total bank deposits and 36 million clients spread over two networks,
Banque Populaire and Caisse d’Epargne.
With around 15,000 employees (excl. financial
stakes), Natixis has a number of areas of expertise which are organized
in three main business lines: Wholesale Banking, Investment Solutions and
Specialized Financial Services.
A global player, Natixis has its own client
base of companies, financial institutions and institutional investors as
well as the client base of individuals, professionals and small and medium-size
businesses of Groupe BPCE’s two retail banking networks.
Listed on the Paris stock exchange, it has
a solid financial base with a CET1 capital under Basel 3 (1)
of €12.7 billion, a Basel 3 CET1 Ratio(1) of 10.6% and quality
long-term ratings (Standard & Poor’s: A / Moody’s: A2 / Fitch Ratings:
(1) Based on CRR-CRD4 rules
published on June 26, 2013, including the danish compromise - no phase-in
except for DTAs on loss carry forwards
Figures as at March 31, 2014
About Standard Bank Group
Standard Bank Group is the largest African bank by assets and earnings.
Our strategy is to build the leading Africa-focused financial services
organisation using all our competitive advantages to the
We will focus on delivering superior sustainable shareholder value by serving
the needs of our customers through first-class, on-the-ground operations
in chosen countries in Africa. We will also connect other selected emerging
markets to Africa and to each other, applying our sector expertise, particularly
in natural resources, globally. We operate in 20 countries on the African
continent, including South Africa.
Standard Bank has a 152-year history in South Africa and started building
a franchise outside southern Africa in the early 1990s. Africa is at our
core and we will continue to build first-class on-the-ground banks.
The group’s nearly 49 000 employees in all regions deliver a complete
range of services across personal and business banking, corporate and investment
banking and wealth management. Standard Bank's Corporate & Investment
Banking division offers its clients banking, trading, investment, risk
management and advisory services to connect selected emerging markets to
Africa and to each other. It has strong offerings in mining and metals;
oil, gas and renewables; power and infrastructure; agribusiness; telecommunications
and media; and financial institutions.
Normalised headline earnings for 2013 were R17.2 billion (about USD 1.8
billion) and total assets were R1 694 billion (about USD 162 billion).
Standard Bank’s market capitalisation at 31 December 2013 was R209.4 billion
(about USD20 billion).
The group’s largest shareholder is Industrial and Commercial Bank of China
(ICBC), the world’s largest bank, with a 20,1% shareholding. In addition,
Standard Bank Group and ICBC share a strategic partnership that facilitates
trade and deal flow between Africa, China and select emerging markets.
For further information go to www.standardbank.com