Lusaka, October 3, 2013—IFC VP and Treasurer
Jingdong Hua visited Lusaka this week to reaffirm IFC’s commitment to
private sector development in Zambia. Hua also thanked the Zambian authorities
for their support to IFC’s Zambezi bond. The bond is the first local-currency
bond issued by a non-resident in Zambia. It raised 150 million kwacha to
support IFC’s private sector development lending program in the country.
The IFC Zambezi bond is the first bond issued
under the IFC Pan-African Domestic Medium-Term Note Programme, launched
in May 2012 to facilitate regular bond issuances by IFC in the region.
The program currently includes Botswana, Ghana, Kenya, Namibia, Nigeria,
Rwanda, South Africa, Uganda, and Zambia.
In July, IFC received approval to set up
the Programme in Zambia. Under the program IFC can issue bonds of up to
2.5 billion Zambian kwachas (approximately $460 million).
“The IFC Zambezi bond is a landmark transaction
for IFC and for Zambia,” said Hua. “It sends a strong signal that Zambia’s
domestic capital markets are open for business—and the strong response
from domestic and international investors confirms that Zambia is an attractive
opportunity. As the first bond issued under the IFC Pan-African bond program
we hope that it will also promote greater focus on capital market development
in the region.”
Highlights of Hua’s visit included a bell
ringing ceremony at the Lusaka stock exchange and meetings with the Zambian
Minister of Finance, Bank of Zambia, and the Securities and Exchange Commission.
Hua also met with a number of IFC clients to discuss business opportunities.
In Zambia, IFC works together with the World
Bank to help address key development challenges such as improving the investment
climate; diversifying the economy by promoting industries such as agribusiness;
expanding access to financial services for small and medium enterprises;
and promoting dialogue between the government and the private sector, particularly
in infrastructure and health.
“Through our support to private sector investment
in Zambia, we can help ensure that the opportunities that exist today create
even greater opportunities for the long-term,” said Sylvain Kakou, IFC
Senior Investment Officer and representative in Zambia. “Deepening access
to local-currency finance and expanding financing alternatives are essential
to support a thriving private sector and a priority for IFC in Zambia.”
IFC’s committed portfolio in Zambia stands
at $62 million as of 30 June, 2013.
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 www.ifc.org