Cairo, Egypt, July 9, 2019—IFC,
a member of the World Bank Group, is providing a financing package of up
to $20 million to leading Egyptian snack food manufacturer Edita Food Industries,
to help boost its operations, support cross-border investment, and create
much-needed new jobs.
The financing will help Edita establish a
new production facility in Morocco through a joint venture with a Moroccan
partner, expand in Egypt by introducing new product lines, and potentially
acquire new companies in the sector.
IFC and Edita finalized the partnership today
during a ceremony in Cairo. Sahar Nasr, Egypt’s Minister of Investment
and International Cooperation, attended the event. “We welcome this investment
by IFC in Egypt’s crucial agribusiness sector, which supports the government’s
efforts to encourage private sector growth and help create job opportunities
for Egyptians across the country,” said Nasr.
The investment is expected to help Edita
create up 400 new direct and indirect jobs annually, totaling 2000 during
the duration of the loan.
“This investment supports Edita’s next
investment cycle and growth phase, and regional expansion, and will help
generate sources of foreign currency revenue streams for the company,”
said Hani Berzi, Edita Chairman and Managing Director. “That will help
us meet the region’s growing demand for safe, ready-to-eat food.”
The investment is part of IFC’s strategy
in Egypt to support job creation—Egypt’s unemployment rate remains high
at about 10 percent—and boost inclusive private sector growth. It is also
part of IFC’s broader strategy to support South-South investment by helping
local companies expand in the region.
“Food processing is an important part of
Egypt’s economy,” said Walid Labadi, IFC Country Manager in Egypt, Libya,
and Yemen. “Companies like Edita are testament to the sector’s potential
to create jobs in areas where economic opportunities are very much needed.”
IFC—a sister organization of the World Bank and member of the World Bank
Group—is the largest global development institution focused on the private
sector in emerging markets. We work with more than 2,000 businesses worldwide,
using our capital, expertise, and influence to create markets and opportunities
in the toughest areas of the world. In fiscal year 2018, we delivered more
than $23 billion in long-term financing for developing countries, leveraging
the power of the private sector to end extreme poverty and boost shared
prosperity. For more information, visit www.ifc.org