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TITLE Introduction IFCs vision values and purpose History Governance Membership Services Financial Performance

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ITNRODUCTION

Formation Type Legal status Purpose/focus Headquarters Membership Executive Vice President & CEO Parent organization Website

1956 Development finance institution Treaty Private sector development, Poverty reduction Washington, D.C. 184 countries Jin-Yong Cai World Bank Group ifc.org

The International Finance Corporation (IFC) is an international financial institution which offers investment, advisory, and asset management services to encourage private sector development in developing countries. The IFC is a member of the World Bank Group and is headquartered in Washington, D.C., United States. It was established in 1956 as the private sector arm of the World Bank Group to advance economic development by investing in strictly for-profit and commercial projects which reduce poverty and promote development. The IFC's stated aim is to create opportunities for people to escape poverty and achieve better living standards by mobilizing financial resources for private enterprise, promoting accessible and competitive markets, supporting businesses and other private sector entities, and creating jobs and delivering necessary services to those who are poverty-stricken or otherwise vulnerable. Since 2009, the IFC has focused on a set of development goals which its projects are expected to target. Its goals are to increase sustainable agriculture opportunities, improve health and education, increase access to financing for microfinance and business clients, advance infrastructure, help small businesses grow revenues, and invest in climate health.

The IFC is owned and governed by its member countries, but has its own executive leadership and staff which conduct its normal business operations. It is a corporation whose shareholders are member governments which provide paid-in capital and which have the right to vote on its matters. Originally more financially integrated with the World Bank Group, the IFC was established separately and eventually became authorized to operate as a financially autonomous entity and make independent investment decisions. It offers an array of debt and equity financing services and helps companies face their risk exposures, while refraining from participating in a management capacity. The corporation also offers advice to companies on making decisions, evaluating their impact on the environment and society, and being responsible. It advises governments on building infrastructure and partnerships to further support private sector development.

The corporation is assessed by an independent evaluator each year. In 2011, its evaluation report recognized that its investments performed well and reduced poverty, but recommended that the corporation define poverty and expected outcomes more explicitly to better-understand its effectiveness and approach poverty reduction more strategically. The corporation's total investments in 2011 amounted to $18.66 billion. It committed $820 million to advisory services for 642

projects in 2011, and held $24.5 billion worth of liquid assets. The IFC is in good financial standing and received the highest ratings from two independent credit rating agencies in 2010 and 2011.

IFC'S VISION, VALUES, & PURPOSE


Our vision is that people should have the opportunity to escape poverty and improve their lives. Our values are excellence, commitment, integrity, teamwork, and diversity. Our purpose is to create opportunity for people to escape poverty and improve their lives by:

Mobilizing other sources of finance for private enterprise development Promoting open and competitive markets in developing countries Supporting companies and other private sector partners where there is a gap Helping generate productive jobs and deliver essential services to the poor and the vulnerable

To achieve our purpose, IFC offers development-impact solutions through firmlevel interventions (direct investments, advisory services, and the IFC Asset Management Company); by promoting global collective action; by strengthening governance and standard-setting; and through business-enabling-environment work.

HISTORY

IFC headquarters building, designed by architect Michael Graves The World Bank and International Monetary Fund were designed by delegates at the Bretton Woods conference in 1944 and the World Bank, then consisting of only the International Bank for Reconstruction and Development, became operational in 1946. Robert L. Garner joined the World Bank in 1947 as a senior executive and expressed his view that private business could play an important role in international development. In 1950, Garner and his colleagues proposed establishing a new institution for the purpose of making private investments in the developing countries served by the Bank. The U.S. government encouraged the idea of an international corporation working in tandem with the World Bank to invest in private enterprises without accepting guarantees from governments, without managing those enterprises, and by collaborating with third party investors. When describing the IFC in 1955, World Bank President Eugene R. Black said that the IFC would only invest in private firms, rather than make loans to governments, and it would not manage the projects in which it invests. In 1956 the International Finance Corporation became operational under the leadership of Garner. It initially had 12 staff members and $100 million ($844.9 million in 2012 dollars) in capital. The corporation made its inaugural investment in 1957 by making a $2 million ($16.4 million in 2012 dollars) loan to a Brazilbased affiliate of Siemens & Halske (now Siemens AG).

In 1965, the corporation channeled $600,000 ($4.4 million in 2012 dollars) in capital from Deutsche Bank and other investors to Champion Cellulose, marking the launch of the IFC's Syndicated Loan Program. In the early 1970s, the IFC set up its own Capital Markets Department to bolster the stock markets, banks, and

other financial intermediaries in developing nations and also offered its first advisory services to Indonesia. Afterward, the corporation formalized its advisory services. In the years that followed up until 1977, the IFC decentralized its operations by establishing field offices in its member states. As of 2008, only half of its staff operate from its Washington, D.C. headquarters.

In 1984, the IFC became financially autonomous and was authorized to issue its own bond instruments across international capital markets, thereby ending its reliance on World Bank financial support. The corporation's shareholders approved a capital increase of $1.2 billion ($2.7 billion in 2012 dollars) in order to expand its work in private development. The IFC increasingly invested in private energy from 1966 to 1994, financing 34 projects in the electric power sector worth approximately $7.4 billion USD ($11.5 billion in 2012 dollars). It financed 88 infrastructure projects across 26 member states at a total cost of $15 billion USD ($23.2 billion in 2012 dollars). It had invested in one energy project in 1966 and another in 1981, but in the six years between 1988 and 1994 it invested in a bulk of 32 energy projects.

The IFC adopted its Environmental and Social Standards in 1998 with the intent of prioritizing sustainability in its investment activities. In 2001, the corporation began attempting to implement such concerns into its investments. Critics have questioned the sustainability of some projects funded by the corporation. The IFC approved a $90 million loan in 2007 for the upgrading of a slaughterhouse facility in the Amazon region owned by Brazil's biggest beef producer Bertin, despite opposition from local NGOs, the Sierra Club, and the advisement against by the Bank's Independent Evaluation Group. Six months later in June 2008, the IFC and World Bank ultimately backed out of the investment project and expressed dissatisfaction regarding Bertin's ability to meet its sustainability standards. In 2009, an internal audit by the Office of the Compliance Advisor Ombudsman determined that the IFC ignored its Environmental and Social Standards by approving $200 million worth of loan guarantees to fund the production of palm oil in Indonesia, a country faced with significant environmental risks to its rainforests. In 2010, the Office of the Compliance Advisor Ombudsman channeled a complaint by a collection of NGOs filed against the IFC for its equity and loan investments in an aluminum smelting operation in Mozambique which the NGOs allege could expose local inhabitants to harmful emissions.

The IFC is evaluated annually by the Bank's Independent Evaluation Group. In 2011, the group published an evaluation report titled "Assessing the IFC's Poverty Focus and Results" in which it noted that although the IFC's projects that emphasized inclusive growth patterns performed well and that poverty reduction was an implicit outcome, the IFC neglected to articulate and detail the impacts on poverty of the projects which target economic growth specifically. This circumstance made it difficult for the evaluation group to identify specific opportunities for the poor. The group ultimately recommended that the IFC adopt a more strategic approach to poverty reduction by better defining poverty reduction impacts and poverty itself, and that the IFC establish a framework for greater outside consultation on its understanding, measurement, and reporting on poverty reduction efforts. Response to the 2008 financial crisis The IFC performed a critical function by helping developing countries deal with the aftermath of the 2008 financial crisis. It provided a $16.2 billion line of credit to small and medium businesses (34% more than in 2007) and authorized a $200 million selective capital increase, of which $130 million accounted for new shares which grew the representation of developing countries by 6.07% to a total share of 39.48%.

GOVERNANCE
The IFC is governed by its Board of Governors which meets annually and consists of one governor per member country (most often the country's finance minister or treasury secretary). Each member typically appoints one governor and also one alternate. Although corporate authority rests with the Board of Governors, the governors delegate most of their corporate powers and their authority over daily matters such as lending and business operations to the Board of Directors. The IFC's Board of Directors consists of 25 executive directors which meet regularly and work at the IFC's headquarters, and is chaired by the President of the World Bank Group. The executive directors collectively represent all 184 member countries. When the IFC's Board of Directors votes on matters brought before it, each executive director's vote is weighted according to the total share capital of the member countries represented by that director. The IFC's Executive Vice President and CEO oversees its overall direction and daily operations. As of October 2012, Jin-Yong Cai serves as the Executive Vice President and CEO of the IFC.

President of the World Bank Group Jim Yong Kim appointed Jin-Yong Cai to serve as the new Executive Vice President and CEO of the IFC. Cai is a Chinese citizen who formerly served as a managing director for Goldman Sachs and has over 20 years of financial sector experience.

Although the IFC coordinates its activities in many areas with the other World Bank Group institutions, it generally operates independently as it is a separate entity with legal and financial autonomy, established by its own Articles of Agreement.[15] The corporation operates with a staff of over 3,400 employees, of which half are stationed in field offices across its member nations.

MEMBERSHIP

International Finance Corporation member states

The IFC is owned by its 184 member governments which pay in capital, vote on matters of policy, and approve all of its investing activities. Each member country is a shareholder of the IFC, and the percentage of each member's ownership share is determined by the amount of capital it pays into the IFC. As of 2011, the United States is the IFC's single largest shareholder with a share of 24%. Japan holds a share of 6%, while each of Germany, France, and the United Kingdom hold 5%. The IFC's share capital amounted to approximately $2.4 billion as of 30 June 2011, of which 51% is controlled by the seven largest member governments of the OECD. Membership in the IFC is available only to countries who are members of the World Bank, particularly the International Bank for Reconstruction and Development.

SERVICES
Investment services The IFC's investment services consist of loans, equity, trade finance, syndicated loans, structured and securitized finance, client risk management services, treasury services, and liquidity management. In its fiscal year 2010, the IFC invested $12.7 billion in 528 projects across 103 countries. Of that total investment commitment, approximately 39% ($4.9 billion) was invested into 255 projects across 58 member nations of the World Bank's International Development Association (IDA).

The IFC makes loans to businesses and private projects generally with maturities of seven to twelve years. It determines a suitable repayment schedule and grace period for each loan individually to meet borrowers' currency and cash flow requirements. The IFC may provide longer-term loans or extend grace periods if a project is deemed to warrant it. Leasing companies and financial intermediaries may also receive loans from the IFC. Though loans have traditionally been denominated in hard currencies, the IFC has endeavored to structure loan products in local currencies. Its disbursement portfolio included loans denominated in 25 local currencies in 2010, and 45 local currencies in 2011, funded largely through swap markets. Local financial markets development is one of IFCs strategic focus areas. In line with its AAA rating, it has strict concentration, liquidity, assetliability and other policies. The IFC committed to approximately $5.7 billion in new loans in 2010, and $5 billion in 2011.

Although the IFC's shareholders initially only allowed it to make loans, the IFC was authorized in 1961 to make equity investments, the first of which was made in 1962 by taking a stake in FEMSA, a former manufacturer of auto parts in Spain that is now part of Bosch Spain. The IFC invests in businesses' equity either directly or via private equity funds, generally from five up to twenty percent of a company's total equity. IFCs private equity portfolio currently stands at roughly $3.0 billion committed to about 180 funds. The portfolio is widely distributed across all regions including Africa, East Asia, South Asia, Eastern Europe, Latin America and the Middle East, and recently has invested in Small Enterprise Assistance Funds' (SEAF) Caucasus Growth Fund, Aureos Capital's Kula Fund II

(Papua New Guinea, Fiji, Pacific Islands) and Leopard Capitals Haiti Fund. Other equity investments made by the IFC include preferred equity, convertible loans, and participation loans.[14] The IFC prefers to invest for the long-term, usually for a period of eight to fifteen years, before exiting through the sale of shares on a domestic stock exchange, usually as part of an initial public offering. When the IFC invests in a company, it does not assume an active role in management of the company.

Through its Global Trade Finance Program, the IFC guarantees trade payment obligations of more than 200 approved banks in over 80 countries to mitigate risk for international transactions. The Global Trade Finance Program provides guarantees to cover payment risks for emerging market banks regarding promissory notes, bills of exchange, letters of credit, bid and performance bonds, supplier credit for capital goods imports, and advance payments. The IFC issued $3.46 billion in more than 2,800 guarantees in 2010, of which over 51% targeted IDA member nations. In its fiscal year 2011, the IFC issued $4.6 billion in more than 3,100 guarantees. In 2009, the IFC launched a separate program for crisis response, known as its Global Trade Liquidity Program, which provides liquidity for international trade among developing countries. Since its establishment in 2009, the Global Trade Liquidity Program assisted with over $15 billion in trade in 2011.

The IFC operates a Syndicated Loan Program in an effort to mobilize capital for development goals. The program was created in 1957 and as of 2011 has channeled approximately $38 billion from over 550 financial institutions toward development projects in over 100 different emerging markets. The IFC syndicated a total of $4.7 billion in loans in 2011, twice that of its $2 billion worth of syndications in 2010. Due to banks retrenching from lending across borders in emerging markets, in 2009 the IFC started to syndicate parallel loans to the international financial institutions and other participants.

To service clients without ready access to low-cost financing, the IFC relies on structured or securitized financial products such as partial credit guarantees, portfolio risk transfers, and Islamic finance. The IFC committed $797 million in the form of structured and securitized financing in 2010. For companies that face

difficulty in obtaining financing due to a perception of high credit risk, the IFC securitizes assets with predictable cash flows, such as mortgages, credit cards, loans, corporate debt instruments, and revenue streams, in an effort to enhance those companies' credit.

Financial derivative products are made available to the IFC's clients strictly for hedging interest rate risk, exchange rate risk, and commodity risk exposure. It serves as an intermediary between emerging market businesses and international derivatives market makers to increase access to risk management instruments.

The IFC fulfills a treasury role by borrowing international capital to fund lending activities. It is usually one of the first institutions to issue bonds or to do swaps in emerging markets denominated in those markets' local currencies. The IFC's new international borrowings amounted to $8.8 billion in 2010 and $9.8 billion in 2011. The IFC Treasury actively engages in liquidity management in an effort to maximize returns and assure that funding for its investments is readily available while managing risks to the IFC.

Advisory services

In addition to its investment activities the IFC provides a range of advisory services to support corporate decisionmaking regarding business, environment, social impact, and sustainability. The IFC's corporate advice targets governance, managerial capacity, scalability, and corporate responsibility. It prioritizes the encouragement of reforms that improve the trade friendliness and ease of doing business in an effort to advise countries on fostering a suitable investment climate. It also offers advice to governments on infrastructure development and publicprivate partnerships. The IFC attempts to guide businesses toward more sustainable practices particularly with regards to having good governance, supporting women in business, and proactively combating climate change.

Asset Management Company The IFC established IFC Asset Management Company LLC (IFC AMC) in 2009 as a wholly owned subsidiary to manage all capital funds to be invested in emerging markets. The AMC manages capital mobilized by the IFC as well as by third parties such as sovereign or pension funds, and other development financing organizations. Despite being owned by the IFC, the AMC has investment decision autonomy and is charged with a fiduciary responsibility to the four individual funds under its management. It also aims to mobilize additional capital for IFC investments as it can make certain types of investments which the IFC cannot. As of 2011, the AMC managed the IFC Capitalization Fund (Equity) Fund, L.P., the IFC Capitalization (Subordinated Debt) Fund, L.P., the IFC African, Latin American, and Caribbean Fund, L.P., and the Africa Capitalization Fund, Ltd. The IFC Capitalization (Equity) Fund holds $1.3 billion in equity, while the IFC Capitalization (Subordinated Debt) Fund is valued at $1.7 billion. The IFC African, Latin American, and Caribbean Fund (referred to as the IFC ALAC Fund) was created in 2010 and is worth $1 billion. As of March 2012, the ALAC Fund has invested a total of $349.1 million into twelve businesses. The Africa Capitalization Fund was set up in 2011 to invest in commercial banks in both Northern and Sub-Saharan Africa and its commitments totaled $181.8 million in March 2012. As of 2012, Gavin E.R. Wilson serves as CEO of the AMC.

FINANCIAL PERFORMANCE
The IFC prepares consolidated financial statements in accordance with United States GAAP which are audited by KPMG. It reported income before grants to IDA members of $2.18 billion in fiscal year 2011, up from $1.95 billion in fiscal 2010 and $299 million in fiscal 2009. The increase in income before grants is ascribed to higher earnings from the IFC's investments and also from higher service fees. The IFC reported a partial offset from lower liquid asset trading income, higher administrative costs, and higher advisory service expenses. The IFC made $600 million in grants to IDA countries in fiscal 2011, up from $200 million in fiscal 2010 and $450 million in fiscal 2009. The IFC reported a net income of $1.58 billion in fiscal year 2011. In previous years, the IFC had reported a net loss of $151 million in fiscal 2009 and $1.75 billion in fiscal 2010. The IFC's total capital amounted to $20.3 billion in 2011, of which $2.4 billion was paid-in capital from member countries, $16.4 billion was retained earnings, and $1.5

billion was accumulated other comprehensive income. The IFC held $68.49 billion in total assets in 2011.

The IFC's return on average assets (GAAP basis) decreased from 3.1% in 2010 to 2.4% in 2011. Its return on average capital (GAAP basis) decreased from 10.1% in 2010 to 8.2% in 2011. The IFC's cash and liquid investments accounted for 83% of its estimated net cash requirements for fiscal years 2012 through 2014. Its external funding liquidity level grew from 190% in 2010 to 266% in 2011. It has a 2.6:1 debt-to-equity ratio and holds 6.6% in reserves against losses on loans to its disbursement portfolio. The IFC's deployable strategic capital decreased from 14% in 2010 to 10% in 2011 as a share of its total resources available, which grew from $16.8 billion in 2010 to $17.9 billion in 2011.

In 2011, the IFC reported total funding commitments (consisting of loans, equity, guarantees, and client risk management) of $12.18 billion, slightly lower than its $12.66 billion in commitments in 2010. Its core mobilization, which consists of participation and parallel loans, structured finance, its Asset Management Company funds, and other initiatives, grew from $5.38 billion in 2010 to $6.47 billion in 2011. The IFC's total investment program was reported at a value of $18.66 billion for fiscal year 2011. Its advisory services portfolio included 642 projects valued at $820 million in 2011, compared to 736 projects at $859 million in 2010. The IFC held $24.5 billion in liquid assets in 2011, up from $21 billion in 2010.

The IFC received credit ratings of AAA from Standard & Poor's in December 2012 and Aaa from Moody's Investors Service in November 2012. S&P rated the IFC as having a strong financial standing with adequate capital and liquidity, cautious management policies, a high level of geographic diversification, and anticipated treatment as a preferred creditor given its membership in the World Bank Group. It noted that the IFC faces a weakness relative to other multilateral institutions of having higher risks due to its mandated emphasis on private sector investing and its income heavily affected by equity markets.

About IFC: - What is IFC? What is the difference between IFC and the World Bank? IFC is a member of the World Bank Group, which consists of five closely associated institutions that are owned by member countries. Each plays a distinct role in helping fight poverty and improve lives. IFC promotes economic development through private sector. Working with business partners, IFC invests in sustainable private enterprises in developing countries without the need for government guarantees. This direct lending to businesses is the fundamental contrast between IFC and the World Bank: under their Articles of Agreement, IBRD and IDA can only lend to the governments of member countries. IFC was founded specifically to address this limitation in World Bank lending. IFC also offers advisory services to support private sector development. Most of these activities are funded in partnership with donor countries; many involve close collaboration with the World Bank. - What services does IFC offer? IFC provides a wide range of investment and advisory services that help businesses and entrepreneurs in the developing world meet the challenges they face in the marketplace. Through its investment services, IFC offers innovative financial products to private sector projects in developing countries. These include loans for IFC's own account (also called A-loans), equity financing, quasi-equity financing, syndicated loans (or B-loans), risk management products, and partial credit guarantees. IFC often provides funding to financial intermediaries that on-lend to clients, especially small and medium enterprises. IFC also provides advisory services that help build businesses. Much of IFC's advisory work is conducted by facilities managed by IFC but funded through partnerships with donor governments and other multilateral institutions. Other sources of funding include donor country trust funds and IFC's own resources. IFC can provide a mix of financing and advisory services that is tailored to meet the needs of each project. But the bulk of the funding, as well as leadership and

management responsibility, lies with private sector owners and investors. Learn more about IFC's Products & Services or IFC Financing.

- How many member countries does IFC have to date? As of FY09, IFC has 182 member countries.

- How does a country become a member of IFC? To join IFC, a country must be a member of IBRD; have signed IFC's Articles of Agreement; and have deposited with the World Bank Group's Corporate Secretariat an Instrument of Acceptance of IFC's Articles of Agreement. Learn more...

- Can I obtain a mortgage loan from IFC to buy a property? Or can I open a personal bank account at IFC? No, IFC is a financier of development projects and not a retail bank.

About IFC Financing: - Who can apply for IFC financing? IFC invests in private enterprises: companies, financial institutions, and other businesses that are majority-owned by the private sector and that operate in IFC's developing member countries. IFC does not lend directly to micro, small, and medium enterprises or individual entrepreneurs, but many of our investment clients are financial intermediaries that on-lend to smaller businesses. Many of IFC's investments are provided in combination with advisory services. - What types of financing does IFC provide? In partnership with other investors, IFC provides clients with loans and

intermediary services, loan participations, equity, structured finance, trade finance, risk management products, and subnational finance. IFC is providing a rapidly growing share of its financing in local currency. - Does IFC provide grants to individual companies? IFC provides a limited among of grant funding to business initiatives that innovate in specific practice areas: biodiversity, sustainable energy, and corporate responsibility. Such grants are typically provided in much smaller amounts than IFC's investments, and the funding is intended to help recipients demonstrate the commercial viability of new approaches to sustainability. - I represent a private investor. Can we invest in IFC? IFC seeks partners for joint ventures and raises additional financing by encouraging other institutions to invest in IFC projects. Resource mobilization catalyzing funds from private investors and lenders for private sector projects in developing countriesis one of IFC's most essential functions. The bonds that IFC issues to fund its operations are also an opportunity for investors; see investor information. IFC does not issue stock; it is owned by 181 member countries, each of which provided share capital when joining IFC.

- Are there criteria my project must meet to be eligible for financing? Yes. To be eligible for IFC funding, a project must: - Be located in a developing country that is a member of IFC - Be in the private sector - Be technically sound - Have good prospects of being profitable - Benefit the local economy - Be environmentally and socially sound, satisfying IFC environmental and social standards as well as those of the host country - Which sectors/industries IFC will consider for financing?

Visit the Web sites of IFC's Sector Departments to learn about the industries that qualify for IFC financing. The IFC Exclusion List defines the types of projects that IFC does not finance, including those that are hazardous to the environment or harmful to human health and well-being. - Is my country eligible to receive IFC financing? To receive IFC funding, the project must benefit a developing country that is a member of IFC. Projects in selected sectors, such as information technology, may be located in an industrialized country if the benefits primarily accrue to a developing country or countries. - What is the range of IFC's investments? IFC investments typically range from $1 million to $100 million, with a limited number of investments in the $100,000 to $1 million range. To ensure the participation of investors and lenders from the private sector, IFC typically finances no more than 25 percent of the total estimated project costs. - Are there guidelines for preparing and submitting an investment proposal? There is no standard application form for IFC financing. A company seeking to establish a new venture or expand an existing enterprise can approach IFC directly. This is best done by reading About IFC Financing, and by submitting an investment proposal. - Where do I submit my investment proposal? Proposals can be submitted to IFC's sector/industry departments; regional departments at IFC headquarters in Washington; or the IFC field office closest to the location of the proposed project. To determine the appropriate department to submit the proposal to, read more about IFC's corporate structure and investment operations. IFC's regional field offices contact information:

Sub-Saharan Africa East Asia & the Pacific South Asia

Europe & Central Asia Latin America & the Caribbean Middle East & North Africa

IFC's sector/industry departments contact information:


Agribusiness Global Financial Markets Global Manufacturing & Services Health & Education Information & Communication Technologies Infrastructure Oil, Gas, Mining, & Chemicals Private Equity & Investment Funds Subnational Finance Advisory Services Corporate Governance Environment & Social Development Financial & Private Sector Development Foreign Investment Advisory Service Small & Medium Enterprise Treasury & Resource Mobilization

Offering Services to IFC: - My company would like to offer its services to IFC. How can we do that? IFC does procure consultancy services within its investment and advisory projects. If you would like to make the services of your company available to enterprises involved in IFC or World Bank projects, you must register with the World Bank's DACON Center, a consultant firm registration database. This can be done online at http://www.dgmarket.com/dacon/. Please note, only registered vendors can receive contract awards from IFC, but you do not need to be registered to be eligible to participate in bidding opportunities. Effective April 1, 2009, all bidding opportunities above $50K will be advertised at

dgMarket (http://www.dgmarket.com/). Learn about World Bank Group Procurement...

IFC Publications and Documents: - How do I obtain an IFC publication or document? IFC's "Publications" site is a valuable resource tool where you can find IFC's Annual Reports, the Doing Business report, and other recent corporate publications. Find more data and documents, development literature, book events, information resources, and more at the World Bank InfoShop.

Linking to IFC Web Sites: - Can IFC put a link to my business on its Web site? IFC encourages other organizations to link to our Web site, but do not accept link exchanges that are not related to our core business. External links to UN institutions, organizations, and other development programs are subject to specific legal terms and conditions.

Careers and Recruitment: - How do I apply for a job at IFC? How do I find out what jobs are available? We encourage you to review the career opportunities available at IFC. Opportunity listings are available for all aspects of our operations, including investment, legal, environment and social development, economics, treasury, financial operations, advisory services, and risk management. View current opportunities and apply online at http://www.ifc.org/ifcext/careers.nsf/Content/CurrentOps. - Does IFC have internship programs for high school students and college

graduates? IFC offers a summer internship program. We hire interns each year for a minimum period of four weeks to work on select development projects in Washington, D.C., or in one of IFC's offices worldwide. These are paid positions and are highly competitive. For more information about the program, please visit Summer Internship Web page. IFC does not have any formal internship programs for high school or college students. However, IFC has several other recruitment programs available for prospective hires. These include opportunities for both recent college graduates and mid-career professionals. - Will IFC sponsor an individual's education or learning program? IFC does not offer loans or grants to sponsor individuals in need of financing for education, training, or research.

Fraud and Corruption: - How do I report fraudulent/corruption activities on behalf of IFC? The World Bank's Department of Institutional Integrity (INT) investigates allegations of fraud or corruption in World Bank Group-financed operations, as well as allegations of staff misconduct within the Bank Group. Examples of issues that should be reported to INT for further review include suspected contract irregularities and violations of the Bank's procurement guidelines; bid manipulation; bid collusion; coercive practices; fraudulent bids; fraud in contract performance; fraud in an audit inquiry; product substitution; price manipulation; substandard or inferior parts or materials; cost or labor mischarges; kickbacks, bribery, or acceptance of gratuities; abuse of authority; misuse of Bank Group funds or funds entrusted to the Bank Group; travel-related fraud; theft and embezzlement; benefits and allowance fraud; conflict of interest; misrepresentation; forgery; pr involvement of Bank Group staff in any of the aforementioned.Learn more... - I received an e-mail notifying me that IFC is distributing cash entitlements. Is this true?

No, IFC does not distribute cash entitlements. If you receive a fraudulent e-mail stating that you have won money, a lottery, etc., please do not provide any personal or bank account information, instead notify IFC's General Inquiries and the World Bank's Department of Institutional Integrity. More about fraudulent e-mails or checks...

About IFC Projects: What is an IFC project? The term "IFC project" refers, traditionally, to a commercial investment made by IFC and its partnersa transaction involving a loan, equity investment, guarantee, or other financial product from IFC, in conjunction with funding from other commercial investors. Today, IFC's projects also encompass a growing number of specific technical assistance and advisory activities. Often, IFC provides a combination of financing and technical assistance to a client company. IFC undertakes projects only in client countries: that is, developing countries that are members of IFC. Our membership also includes industrialized countries, whose companies often invest alongside IFC. In addition, many of our industrialized members are donors to our technical assistance and advisory operations, both through trust funds and a network of multidonor facilities operated by IFC. IFC investments typically range in size from $1 million to $100 million. What are project categories? IFC uses "project categories" as a concise way of indicating the level of environmental and social concern posted by a proposed investment. Projects are assigned a category of A, B, or C, in descending order of environmental and social sensitivity, or FI, in the case of financial institutions that on-lend to clients who may present environmental and social concerns. The project category governs how IFC's Disclosure Policy will apply to the proposed investment. For the most sensitive projects, IFC discloses more information and does so farther in advance of the Board discussion that determines whether IFC should provide funding. For more information, see Environmental

and Social Categories. What is the Board's role in an IFC project? IFC's Board of Directors consists of representatives of all member countries, who meet regularly at headquarters in Washington, D.C. Directors review and decide on all investment projects and provide overall guidance to IFC's management. IFC's Disclosure Policy requires that key project documents be publicly disclosed in advance of the Board discussion. No IFC investment can go forward to commitment and disbursement of funds without Board approval. But Board approval does not, in itself, ensure that funds will be committed and disbursed for the approved investment. Learn more... What is an IFC client? An IFC client is a legal entity to which IFC provides financial products or services. A client is usually a company, financial institution, or other private enterprise. A client may be either pre-existing enterprise, or a new company set up as part of the project in which IFC is investing.

What is a project sponsor? A sponsor is a stakeholder or other investor involved in an IFC project. Because IFC is intended to serve as a catalyst for investment from the private sector, we pursue projects in collaboration with other investors or lenders. Does IFC make money on its investments? Yes: in fact, our Articles of Agreement require IFC to operate on commercial terms and to make a profit, which we have done every year since our founding in 1956.

Project Status Definitions: Pending approval: The investment proposal has not yet been reviewed by the IFC Board of Directors. Pending signing: The IFC Board of Directors has approved the investment, but the investment has not yet been committed. In other words, IFC and the project sponsor have not yet signed the deal with a legally binding agreement. Pending disbursement: IFC and the project sponsor have signed an investment agreement, but funds are yet to be disbursed. Active: IFC has started to disburse funds and/or has taken an equity stake in the company. Disbursements may be ongoing or may be completed. The investment is outstanding. Completed: The loan has been repaid or, in the case of an equity investment, IFC has sold its shares in the company. Approved + date: This is the date the IFC Board of Directors approved the investment. It may or may not be the same date as the projected board date, which is often estimated before an actual board date can be scheduled. Signed + date: This is the date IFC and the project sponsor signed the legally binding investment agreement. Invested + date:

This is the date IFC started to disburse funds and/or took an equity stake in the company.

About IFC's Disclosure of Information: What does IFC disclose about its investment projects? Each IFC investment project must be presented for consideration and approval by its Board of Directors. Prior to this, IFC makes publicly available two key documents: the Environmental & Social Review Summary (ESRS) and Summary of Proposed Investment (SPI). Learn more about what IFC discloses. The IFC Exclusion List defines the types of projects that IFC does not finance. How do I see a listing of all IFC projects? In accordance to IFC's public disclosure policy, IFC provides a project database Web site, which displays all projects currently underway. This database allows you to search available projects by specific sector, region, country, or key word. Learn more... For which projects does IFC disclose environmental documents? For Category B projects, IFC prepares a summary of the key findings of the environmental review in an Environmental and Social Review Summary (ESRS). This document includes measures to mitigate, monitor, and manage environmental and social issues. The ESRS is disclosed to the public locally, on IFC's Web site, and at the World Bank InfoShop no later than 30 days before the project is to be considered by IFC's Board of Directors. For Category A projects, the project sponsor prepares an extensive environmental report, including an evaluation of the project's possible environmental and social impacts; measures designed to manage, mitigate, and monitor those impacts; and details of public consultations. No later than 60 days before the project is to be considered by IFC's Board of Directors, the ESRS is disclosed locally, on IFC's Web site, and at the World Bank InfoShop. What is a Summary of Proposed Investment (SPI)?

An SPI summarizes the main elements of a project. It covers information on sponsors, shareholders, project cost, the purpose of the project, and environmental issues. For most projects, the SPI is disclosed to the public on IFC's Web site and in the World Bank InfoShop no later than 30 days before the project is to be considered by IFC's Board of Directors. For a Category A project, the SPI is disclosed to the public no later than 60 days before the project is to be considered by the Board of Directors. What is Environmental and Social Review Summary (ESRS)? For each proposed investment (other than investments expected to have minimal or no social and environmental adverse impacts, or investments in financial intermediary projects), IFC issues a brief summary of its review findings and recommendations: an ESRS. What information does the ESRS provide? The ESRS includes the rationale for IFC's categorization of a project; a description of the main social and environmental risks and impacts of the project; and the key measures identified to mitigate those risks in a manner consistent with the Performance Standards. These measures are included in the client's Action Plan. What is the IFC project (or investment) cycle? The project (or investment) cycle illustrates the stages a business proposal goes through as it becomes an IFC-financed project. Download: IFC Project/Investment Cycle [pdf] What if I am not satisfied with the response I received to a request for disclosure of information? If you believe that your request for information has been unreasonably denied, or that the Policy has been interpreted incorrectly, you may submit a further inquiry to the Disclosure Policy Advisor, who reports directly to IFC's Executive Vice President. The advisor will review your complaint and inform you in writing of his conclusions and reasons for the conclusions. The advisor will endeavor to respond within 30 calendar days of receipt of the further inquiry, unless additional time is

required because of the scope or complexity of the complaint. How do I report complaints regarding social or environmental outcomes of an IFC project? Most inquiries about IFCs projects are requests for disclosure of information, to which IFC responds directly. But if you believe that you are negatively affected by an IFC project, you can instead submit your complaint to the Compliance Advisor/Ombudsman, an independent office that reports directly to the President of the World Bank Group regarding IFC and MIGA projects. Such complaints are addressed by the CAOs office, through a process separate from IFC itself. Environmental & Social Categories: What are project categories A, B, C, and FI? An environmental and social category is assigned to an investment project after appraisal and before public disclosure during the IFC project/investment cycle. Projects are assigned a category of A, B, or C, in descending order of environmental and social sensitivity, or FI, in the case of financial institutions that on-lend to clients who may present environmental and social concerns. Category A projects require a minimum 60-day disclosure period. All other projects require at least 30 days. CATEGORY A Projects expected to have significant adverse social and/or environmental impacts that are diverse, irreversible, or unprecedented. CATEGORY B Projects expected to have limited adverse social and/or environmental impacts that can be readily addressed through mitigation measures. CATEGORY C Projects expected to have minimal or no adverse impacts, including certain financial intermediary projects. CATEGORY FI Investments in financial intermediaries that themselves have no adverse social and/or environmental impacts but that may finance subprojects with potential

impacts. Environmental & Social Review Summary (ESRS): Summary of Proposed Investment (SPI) What is an SPI? SPI stands for Summary of Proposed Investment. Each SPI summarizes the main elements of an IFC project, including information on sponsors, shareholders, project cost, the purpose of the project, and environmental issues. For most projects, the SPI is disclosed to the public on IFC's Web site and in the World Bank InfoShop no later than 30 days before the project is to be considered by IFC's Board of Directors. For a Category A project, the SPI is disclosed to the public no later than 60 days before the project is to be considered by the Board of Directors. What information does the SPI contain? The SPI includes the following information: the identity of the project company; information about the shareholders of the project company; the total project cost, where applicable; the location of the project; a brief description of the project and its purpose; the amount and nature of IFC's investment in the project; the projected date for a decision on the project by IFC's Board of Directors; the project's anticipated development impact; IFC's expected development contribution; IFC's categorization of the project for social and environmental purposes (including, for Category C projects, a brief statement of the rationale for such categorization); and reference to the social and environmental information available for the project, including to any ESRS. Are there any deadlines associated with SPIs? Yes. For most projects, the SPI is disclosed to the public on IFC's Web site and in the World Bank InfoShop no later than 30 days before the project is to be considered by IFC's Board of Directors. For a Category A project, the SPI is disclosed to the public no later than 60 days before the project is to be considered by IFC's Board of Directors.

Where can I find recently approved ESRS or SPI documents? To view the list of recently approved SPI or ESRS documents, please click here. Procurement: Please note that IFC is involved only in the financing of projects, and has no part in the procurement process for any of these projects. The local project company is responsible for all aspects of procurement, such as evaluation of bids and contract awards, and is the contact point for any information regarding the bidding process. The project company is identified in the Summary of Proposed Investment for each project.

Case Study - International Finance Corporation

2010 Mayor's Environmental Excellence Award Winner: Outstanding Achievement by a Large Facility IFC, a member of the World Bank Group, has made a public commitmentIFCs Footprint Commitmentto make sustainability an integral part of its day-to-day work in IFC offices around the world, and to continually improve the environmental performance of IFCs internal operations. IFC headquarters office in Washington, D.C., encompassing 1,138,000 gross square feet and over 2,560 workstations to accommodate staff, consultants, and contractors. The IFC Facilities Management Unit has been leading the way in making important technological and process adjustments in the way the D.C. office functions, saving an estimated 1.6 million kilowatt hours of electricity, 4.1 million gallons of water, and diverting 257 tons of waste/recyclables from the landfill in 2009 alone. In FY09, Facilities Management committed to a 10% electricityreduction target for the D.C. office over the next five years (in addition to the 17.4% reduction achieved since FY02). Since December 2004, IFC has bought renewable energy certificates (RECs) to cover 100% of the electricity use in its D.C. office. In addition, the Unit is leading the effort for LEED certification for the D.C. building (The building received the Energy Star Label for 1999, 2001, and for 2004 through 2008). Examples of other best-practice facilities-based changes are outlined below: Water Water-closet flush valve conversion Lavatory faucets flow reduction Shower-head flow reduction Urinal flow reduction Pantry-faucet flow reduction Savings 3,000,000 gallons 737,375 gallons 151,875 gallons 131,250 gallons 86,250 gallons

Energy Operational hours for central HVAC and lighting systems shortened Variable Frequency Drives (VFDs) installed on large cooling-tower motors 50% of fluorescent bulbs removed on 10 floors in open office areas Replaced incandescent lights with compact florescent light bulbs (CFLs)

Savings 510,000 kWh

303,030 kWh

453,000 kWh

293,000 kWh

Turned off drive lane lighting on parking levels B2, 72,000 kWh B3, B4

Waste & Recycling in FY 20009 IFC small-item Recycling Center

Amounts Collected 160 pounds technotrash, 371 pounds batteries diverted from landfill 24 tons of cardboard diverted from landfill 176 tons of paper 3.6 tons of

Cardboard recycling Paper, glass, plastic and

aluminum recycling efforts

glass, plastic, and aluminum diverted from landfill Estimated 42 tons furniture diverted from landfillPantryfaucet flow reduction Estimated 5 tons of electronic equipment diverted from landfill 48 tons of carpet material diverted from landfill

Sold 600 desk chairs for reuse, and recycled 65,850 pounds of office furniture Recycled 1,031 PCs Recycled 95,700 pounds of carpet

Carbon Footprint Emissions from IFCs D.C. operations represent about half of IFCs overall corporate impact. IFC has been carbon-neutral for all its D.C. operations since 2006.1 This has been achieved through:

Calculating greenhouse-gas emissions from internal business operations, which includes staff air travel, electricity used by the D.C. office, fuel use for vehicles and machinery, and natural gas and refrigerants used. Reducing carbon emissions through familiar and innovative energy-saving measures Purchasing carbon offsets for emissions that cannot be reduced

Food Service The World Bank Groups food service provider, Restaurant Associates, was chosen partly because of their environmentally preferable products and services. This includes greener disposables like potato-based utensils, postconsumer paper containers, and post-consumer fiber cups; fair trade, organic coffee; transfat-free oils; rBGH-free dairy items; seafood purchases based on the Monterey Bay Aquarium Sustainable Seafood Watchlist; cagefree eggs; and organic items, where available. Surplus food is donated to D.C. Central Kitchen. "10-Minute Tune Up"

In 2009, the Footprint Program launched the 10-Minute Tune Up, with the goal of sharing simple ways IFC staff could use resources more efficiently while at workin a quick 10 minutes. The Tune Up is implemented in each department (desk-by-desk) by a team of Footprint Champions, who go through a checklist of succinct, simple suggestions and help staff make easy one-time changes (such activating energy-saving features on their computers). Each Tuned Up staff person receives an emblem for their desk and is entered into a raffle for prizes. In this programs first year, over 800 staff (almost 30%) were Tuned Up, including many senior-level staff. IFC is the first of all UN agencies to be carbon-neutral for all global business operations.

Top row (from left to right):


Maria Fyodorova, Sustainability/CSR Communications Consultant, IFC Footprint Program Chris Potkay, Chief Engineer, Brandywine Realty Trust, IFC Facilities Management Unit Sarah Raposa, Program Officer, IFC Footprint Program Nina Shapiro, Vice President, Finance and Treasurer of IFC and Chair of the IFC Footprint Program Advisory Committee Vanessa Ferragut, CMP, Events & Outreach Consultant, IFC Footprint Program Adam Rubinfield, Sustainability Coordinator, WB Corporate Responsibility Program

Bottom row (from left to right):


Robert Pearlman, Sr. Facilities and Administration Officer, IFC Facilities Management Unit Christine Jones, Property Manager, Brandywine Realty Trust, IFC Facilities Management Unit

Not present:

Bilal Rahill, Manager, Environment and Social Development Department, IFC Elizabeth B. Casqueiro, Manager, IFC Facilities Management Unit Judith Moore, Team Leader, WB Corporate Responsibility Program Monika Kumar, Sustainability Coordinator, WB Corporate Responsibility Program Viki Betancourt, Manager, WBG Community Outreach

1 IFC's carbon footprint accounts for greenhouse gases (GHG) from internal business operations. The total emissionsincluding carbon dioxide, methane, and nitrous oxideare translated into metric tons of carbon dioxide equivalent (tCO2e), so that the total impact can be summed in one figure.

BIBLIOGRAPHY
1. www.wikipedia.com 2. www.ifc.com 3. Google.com.