* 30 jobs to be created in new pasta production
Washington DC, November 12, 2001—The International Finance Corporation,
the private sector arm of the World Bank Group, today announced a US$2.4
million investment in Akun Joint-Stock Company, a Turkish-Kyrgyz joint
venture which produces flour on the outskirts of Bishkek, the Kyrgyz Republic.
The investment supports the Kyrgyz Republic’s efforts to strengthen the
local private sector and attract new foreign direct investment.
The IFC loan will help Akun establish a high-quality pasta production plant,
that will facilitate the creation of thirty new jobs. The investment
will enhance Akun’s competitive position by introducing a higher value-added
product through the establishment of a state-of the art production facility.
Akun will also benefit from the subsequent transfer of new skills
to its employees.
Mr. Khosrow Zamani, Director of IFC’s Southern Europe and Central Asia
Department, said that the project will promote investor confidence as the
country continues its transition to a market economy. “The investment
is a clear signal of IFC’s continued commitment to develop the country’s
private sector despite current economic challenges. The new financing
directly addresses the Kyrgyz industrial sector’s critical need for long-term
investments,” Mr. Zamani said.
The project will also result in additional foreign exchange savings, by
replacing imported products with high-quality, value-added locally produced
pasta. Akun’s plant will comply with the World Bank Group’s stringent
environmental, health, and safety guidelines.
IFC’s mission 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, and provides technical
assistance and advice to governments and businesses. Since its founding
in 1956, IFC has committed more than $31 billion of its own funds and arranged
$20 billion in syndications for 2,636 companies in 140 developing countries.
IFC’s committed portfolio at the end of FY01 was $14.3 billion.