The International Finance Corporation, private sector arm of the World Bank, urged Ethiopian businesses to ask for more funding. Very few Ethiopian projects are receiving help from IFC according to Jean Philippe Prosper, IFC director for Eastern and Southern Africa.  

The IFC is interested in investing in agro-industry, primarily coffee, as well as in the areas of banking, mining and leasing he said in a meeting with some of the larger Ethiopian businesses this week. The IFC plans to address concerns, in regards to the long term viability of funding from the IFC, raised by the business community during the discussions said Mr. Prosper.

NIB International bank has obtained 10 million US dollars in funding from the IFC over the two years according to Amerga Kassa, NIB President. He explained that the international organization has provided 75% loan guarantees to coffee producing cooperatives.

The IFC has invested 2.2 US dollars in approximately 95 projects in Africa and is earning 30% return on its investment in Africa according to Mr. Prosper. The investment made by IFC in Ethiopia over the last three years is about 86 million US dollars, with only 20 million invested last year, he said.

In related news, the Ethiopian Chamber of Commerce and Sectorial Association (ECCSA) signed a Memorandum of Understanding (MoU) with IFC. According to this agreement the IFC will provide financial and technical assistance to the Public Private Dialogue Forum of the Ethiopian Chamber.

Source: The Reporter