Dakar, Senegal, March 23, 2010—IFC,
a member of the World Bank Group, and ADEPME, Senegal’s agency for developing
small and medium-sized businesses, are helping smaller businesses in Senegal
better understand the benefits of leasing, an alternative financial instrument
that will help them more easily acquire the equipment or vehicles they
need to grow.
IFC and ADEPME organized a two-day leasing
forum in Dakar that was attended by about 1,200 smaller businesses, financial
institutions, regional leasing companies, and government officials. The
forum sought to explain leasing to smaller businesses and to help increase
its availability in Senegal’s economy, where it supports broad economic
Minister of State, Director of the Cabinet
for the President of the Republic of Senegal, Habib Sy, said at the forum,
“I thank IFC and ADEPME for helping train 1,200 SMEs to understand the
leasing mechanism. It is necessary for financial institutions to provide
more credit to SMEs so that they may act as our country’s engine of growth.”
Eme Essien, IFC Manager SME Initiatives
for Africa, said, “IFC Advisory Services has invested more than US$1 billion
in more than 100 leasing companies in 58 countries and has advised local
authorities on the law of leasing in more than 50 countries. Our partnership
with ADEPME is offering us the opportunity to replicate this success and
use that same experience in Senegal.”
The leasing forum is providing a unique
platform for small businesses to meet financial institutions face-to-face
and describe the types of equipment they need to grow. Financial institutions
will be able to better understand the financing needs of small businesses
and to work towards new solutions.
IFC is supporting Senegal’s efforts
to expand the availability of leasing for smaller businesses in the country,
which often lack the capital they need to purchase new equipment. IFC also
helped develop the strategy and vision for enhancing the country's leasing
market and has received a mandate from Senegal’s government to draft its
new leasing law.
ADEPME Director, Marie Thérèse Diedhiou,
said, “This forum is an occasion thanks to the support of IFC to bring
together SMEs, and urge them to create relationships with financial institutions
in Senegal. ADEPME recognizes the role leasing can play in improving access
to finance for our SMEs.”
IFC is the only international financial
institution focused exclusively on the private sector, the engine of sustainable
development in emerging markets. It is currently seeking a capital increase
to strengthen its ability to create opportunity for the poor in developing
countries -- including supporting the growth of small businesses.
IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. We foster sustainable economic
growth in developing countries by supporting private sector development,
mobilizing private capital, and providing advisory and risk mitigation
services to businesses and governments. Our new investments totaled $14.5
billion in fiscal 2009, helping channel capital into developing countries
during the financial crisis. For more information, visit www.ifc.org.
ADEPME, Senegal’s agency for developing
and training small and medium enterprises, is the focal point of the technical
support system for businesses in Senegal. In recent years it has mentored
some 2300 SMEs in the food, construction, tourism and handicraft industries.
For more information, please visit http://www.adepme.sn/.