IFC, Top Private Equity Investor in Emerging Markets

IFC, a member of the World Bank Group, has become one of the largest development institutions investing in private equity in Africa, with a current portfolio of $1.7 billion. 

The investments have been designed to support job creation, improve infrastructure development, and increase cross-border trade. They have been supporting 500 companies employing 140,000 people, including over 30,000 women and helping them creating nearly 30,000 new jobs Data as of December 31, 2015 across the continent. 

IFC participated in the 15th annual conference of the African Private Equity and Venture Capital Association (AVCA), taking place this year on April 23 and 24 in the city of Marrakech, to actively promote, develop, and stimulate private equity investment in Africa. 

At this conference, Maria Kozloski, IFC Private Equity Funds Global Head and Chief Investment Officer, gave a presentation on the status, challenges, and future of private equity funds in Africa. Jamal Isa, IFC Investment Officer, took part in an IFC-sponsored panel focused on private equity in fragile and conflict-affected situations. 

“IFC total portfolio comprises of over 300 funds globally and over $5.6 billion of committed capital,” said Kozloski. “The larger part of it is invested in Sub-Saharan Africa, with 60 funds representing over $1.3 billion in commitments.” 

IFC invested in AfricInvest the first equity fund in Morocco in 1998. Morocco is an increasingly attractive investment destination and serves as a financial hub in the region. The country accounts for the largest share of private equity investments in North Africa. 

“Small businesses are the backbone of the economy of emerging market countries,” said Xavier Reille, IFC Country Manager for the Maghreb region. “Giving them access to alternate sources of financing such as venture capital and private equity is critical for their development, which in turn will lead to job creation and economic growth.” 

Over the last 12 years, IFC has invested $256 million in 17 private equity funds to support economic growth and job creation in the MENA Region. 

About IFC 
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 FY17, we delivered a record $19.3 billion in long-term financing for developing countries, leveraging the power of the private sector to help end poverty and boost shared prosperity. For more information, visit www.ifc.org