How the World Bank Group Is Organized
IFC provides equity, long-term loans, loan guarantees, structured finance and risk management products, and advisory services to its clients. It seeks to reach businesses in regions and countries that otherwise would have limited access to capital. It provides financing in markets deemed too risky by commercial investors in the absence of IFC participation. IFC also supports the projects it finances by providing advice on corporate governance, environmental and social expertise, and advice and technical assistance to businesses and governments. Much of the advisory work is funded by IFC’s donor partners, through trust funds, or through facilities with a regional or thematic focus. IFC continues to seek ways to enhance its development impact. The five key pillars of IFC’s strategy are (1) strengthening the focus on frontier markets; (2) building long-term relationships with emerging global companies based in developing countries; (3) leading through environmental and social sustainability; (4) addressing the constraints to private sector growth in infrastructure, health, and education; and (5) developing financial markets through innovative products and institution building. Project financing
IFC offers an array of financial products and services to companies in its developing member countries, including 䡲 long-term loans in major and local currencies at fixed or variable rates; 䡲 equity investments; 䡲 quasi-equity instruments, such as subordinated loans, preferred stock, income notes, and convertible debt; 䡲 syndicated loans; 䡲 structured finance, such as partial credit guarantees, risk-sharing facilities, and securitizations; 䡲 risk management, such as intermediation of currency and interest rate swaps and provision of hedging facilities; 䡲 intermediary financing; 䡲 subnational financing (for services operated for regional and local governments and government-controlled enterprises); 䡲 trade finance; and 䡲 subnational finance. IFC can provide financial instruments singly or in whatever combination is necessary to ensure that projects are adequately funded from the outset. It
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