Latest news with #MakhtarDiop
Free Malaysia Today
07-07-2025
- Business
- Free Malaysia Today
World Bank's IFC ramps up investment amid global uncertainty
IFC managing director Makhtar Diop said many investors are showing interest in opportunities within emerging countries. (EPA Images pic) WASHINGTON : While the world economy faces instability from US President Donald Trump's threats of a global trade war, the International Finance Corporation (IFC) is dramatically ramping up its investment activities. The Washington-based IFC – the World Bank's private sector arm – mobilises private capital and provides financing to support businesses across emerging economies. Though not widely known outside development circles, the organisation plays a crucial role in creating jobs and supporting growth in less developed regions. 'The world economy has been going through a bit of a turbulent time, but what I must say is that even though there is turbulence… we are seeing a lot of interest in investing in emerging countries,' Makhtar Diop, the IFC's managing director, told AFP. This optimism is backed by concrete numbers. In the fiscal year ending June 30, preliminary data shows that the IFC committed over US$71 billion – nearly double its commitment from just three years ago and a significant jump from last year's record of US$56 billion. The investment spans the globe, with more than $20 billion flowing to Latin America, US$17 billion to Asia, and $15.4 billion to Africa. The dramatic increase stems from a deliberate strategic shift. Diop, an economist and former Senegalese finance minister, explained that the IFC has focused on becoming 'simpler, more agile, and delegating decision-making to our teams that are in the field.' This approach abandons the over-centralised structure that previously 'was slowing down our ability to respond and seize new opportunities'. The timing is significant. As Western economies pull back from direct aid to developing countries – constrained by mounting debts, rising defence budgets, and increasingly inward-looking politics – the IFC has accelerated. 'It's totally understandable that they have fewer resources to make available in the form of grants to developing countries,' Diop acknowledges. However, he emphasised that World Bank funding for the world's poorest countries remains fully replenished, calling it 'the most efficient and best way to support countries.' The IFC's expanding role within the World Bank Group is evident. Today, its funding nearly matches the support the bank provides directly to governments, making it an equal partner in development efforts. Dubai to Africa The organisation is also attracting new types of investors. Many co-financing partners now come from regions that traditionally haven't invested outside their home areas. The IFC's largest renewable energy investment in Africa, for example, was completed with a Dubai-based company. These investors trust the IFC not only for its market knowledge but also for the risk-mitigation tools it offers, Diop said. In Africa particularly, the IFC pursues a strategy of identifying and supporting 'national champions' – successful local companies that need help to become more competitive and globally integrated. A significant portion of the IFC's mandate involves sustainability projects, an area where Diop decries debates with false choices between economic development and the environment, especially in electricity projects that form an important part of the agency's portfolio. 'It happens that today, you don't have to make that trade-off because the sustainable solutions are often the cheaper ones, and that's the beauty of what we are seeing,' he said. While fossil fuel generation remains part of the energy mix to ensure grid stability, the economics increasingly favour clean alternatives. Behind all these investments lies an urgent demographic reality: 1.2 billion young people will reach working age in developing countries over the next decade. For the World Bank, creating employment for this massive cohort is paramount. 'The first question of any leader you meet from the developing world is how can you help to create jobs for young people?' Diop observed. Beyond infrastructure development that stimulates broader economic activity, Diop identifies tourism, pharmaceuticals, and agriculture as the most promising sectors for job creation. These industries can offer the scale and growth potential needed to absorb the coming wave of young workers entering the global economy.
Yahoo
03-07-2025
- Business
- Yahoo
World Bank's IFC ramps up investment amid global uncertainty
While the world economy faces instability from US President Donald Trump's threats of a global trade war, the International Finance Corporation (IFC) is dramatically ramping up its investment activities. The Washington-based IFC -- the World Bank's private sector arm -- mobilizes private capital and provides financing to support businesses across emerging economies. Though not widely known outside development circles, the organization plays a crucial role in creating jobs and supporting growth in less developed regions. "The world economy has been going through a bit of a turbulent time, but what I must say is that even though there is turbulence... we are seeing a lot of interest in investing in emerging countries," Makhtar Diop, the IFC's managing director, told AFP. This optimism is backed by concrete numbers. In the fiscal year ending June 30, preliminary data shows that the IFC committed over $71 billion -- nearly double its commitment from just three years ago and a significant jump from last year's record of $56 billion. The investment spans the globe, with more than $20 billion flowing to Latin America, $17 billion to Asia, and $15.4 billion to Africa. The dramatic increase stems from a deliberate strategic shift. Diop, an economist and former Senegalese finance minister, explained that the IFC has focused on becoming "simpler, more agile, and delegating decision-making to our teams that are in the field." This approach abandons the over-centralized structure that previously "was slowing down our ability to respond and seize new opportunities." The timing is significant. As Western economies pull back from direct aid to developing countries -- constrained by mounting debts, rising defense budgets, and increasingly inward-looking politics -- the IFC has accelerated. "It's totally understandable that they have fewer resources to make available in the form of grants to developing countries," Diop acknowledges. However, he emphasized that World Bank funding for the world's poorest countries remains fully replenished, calling it "the most efficient and best way to support countries." The IFC's expanding role within the World Bank Group is evident. Today, its funding nearly matches the support the bank provides directly to governments, making it an equal partner in development efforts. - Dubai to Africa - The organization is also attracting new types of investors. Many co-financing partners now come from regions that traditionally haven't invested outside their home areas. The IFC's largest renewable energy investment in Africa, for example, was completed with a Dubai-based company. These investors trust the IFC not only for its market knowledge but also for the risk-mitigation tools it offers, Diop said. In Africa particularly, the IFC pursues a strategy of identifying and supporting "national champions" -- successful local companies that need help to become more competitive and globally integrated. A significant portion of the IFC's mandate involves sustainability projects, an area where Diop decries debates with false choices between economic development and the environment, especially in electricity projects that form an important part of the agency's portfolio. "It happens that today, you don't have to make that trade-off because the sustainable solutions are often the cheaper ones, and that's the beauty of what we are seeing," he said. While fossil fuel generation remains part of the energy mix to ensure grid stability, the economics increasingly favor clean alternatives. Behind all these investments lies an urgent demographic reality: 1.2 billion young people will reach working age in developing countries over the next decade. For the World Bank, creating employment for this massive cohort is paramount. "The first question of any leader you meet from the developing world is how can you help to create jobs for young people?" Diop observed. Beyond infrastructure development that stimulates broader economic activity, Diop identifies tourism, pharmaceuticals, and agriculture as the most promising sectors for job creation. These industries can offer the scale and growth potential needed to absorb the coming wave of young workers entering the global economy. arp/st
France 24
03-07-2025
- Business
- France 24
World Bank's IFC ramps up investment amid global uncertainty
The Washington-based IFC -- the World Bank's private sector arm -- mobilizes private capital and provides financing to support businesses across emerging economies. Though not widely known outside development circles, the organization plays a crucial role in creating jobs and supporting growth in less developed regions. "The world economy has been going through a bit of a turbulent time, but what I must say is that even though there is turbulence... we are seeing a lot of interest in investing in emerging countries," Makhtar Diop, the IFC's managing director, told AFP. This optimism is backed by concrete numbers. In the fiscal year ending June 30, preliminary data shows that the IFC committed over $71 billion -- nearly double its commitment from just three years ago and a significant jump from last year's record of $56 billion. The investment spans the globe, with more than $20 billion flowing to Latin America, $17 billion to Asia, and $15.4 billion to Africa. The dramatic increase stems from a deliberate strategic shift. Diop, an economist and former Senegalese finance minister, explained that the IFC has focused on becoming "simpler, more agile, and delegating decision-making to our teams that are in the field." This approach abandons the over-centralized structure that previously "was slowing down our ability to respond and seize new opportunities." The timing is significant. As Western economies pull back from direct aid to developing countries -- constrained by mounting debts, rising defense budgets, and increasingly inward-looking politics -- the IFC has accelerated. "It's totally understandable that they have fewer resources to make available in the form of grants to developing countries," Diop acknowledges. However, he emphasized that World Bank funding for the world's poorest countries remains fully replenished, calling it "the most efficient and best way to support countries." The IFC's expanding role within the World Bank Group is evident. Today, its funding nearly matches the support the bank provides directly to governments, making it an equal partner in development efforts. Dubai to Africa The organization is also attracting new types of investors. Many co-financing partners now come from regions that traditionally haven't invested outside their home areas. The IFC's largest renewable energy investment in Africa, for example, was completed with a Dubai-based company. These investors trust the IFC not only for its market knowledge but also for the risk-mitigation tools it offers, Diop said. In Africa particularly, the IFC pursues a strategy of identifying and supporting "national champions" -- successful local companies that need help to become more competitive and globally integrated. A significant portion of the IFC's mandate involves sustainability projects, an area where Diop decries debates with false choices between economic development and the environment, especially in electricity projects that form an important part of the agency's portfolio. "It happens that today, you don't have to make that trade-off because the sustainable solutions are often the cheaper ones, and that's the beauty of what we are seeing," he said. While fossil fuel generation remains part of the energy mix to ensure grid stability, the economics increasingly favor clean alternatives. Behind all these investments lies an urgent demographic reality: 1.2 billion young people will reach working age in developing countries over the next decade. For the World Bank, creating employment for this massive cohort is paramount. "The first question of any leader you meet from the developing world is how can you help to create jobs for young people?" Diop observed. Beyond infrastructure development that stimulates broader economic activity, Diop identifies tourism, pharmaceuticals, and agriculture as the most promising sectors for job creation. These industries can offer the scale and growth potential needed to absorb the coming wave of young workers entering the global economy. © 2025 AFP
Ya Biladi
18-06-2025
- Business
- Ya Biladi
IFC Chief Makhtar Diop meets Morocco's Head of Government, discuss stronger private sector
The Managing Director of the International Finance Corporation (IFC), Makhtar Diop, met on Tuesday with Morocco's Head of Government, Aziz Akhannouch, during a four-day visit to reaffirm IFC's commitment to supporting the country. The visit, running from June 17 to 20, aims to consolidate a long-standing partnership and clarify priorities to stimulate economic growth through a stronger role for the private sector. During their meeting, Diop and Akhannouch discussed «working to build a more dynamic, inclusive, and resilient private sector, rich in opportunities for Moroccans». Très heureux de m'être entretenu avec M. Aziz Akhannouch, Chef du gouvernement du #Maroc, pour réaffirmer l'engagement d' @IFC_fr à intensifier son appui au pays. Ensemble, nous œuvrons à bâtir un secteur privé plus dynamique, inclusif et résilient, riche en opportunités pour les… — Makhtar Diop (@Diop_IFC) June 17, 2025 On the same day, Diop also held talks with Saham Group chairman Moulay Hafid Elalamy. «Many avenues for collaboration were identified, with a strong desire to strengthen our partnership, particularly in the financial sector, both in Morocco and across the continent», he wrote on X. Diop, accompanied by Ethiopis Tafara, IFC's Vice President for Africa, will also meet other key officials, including Finance Minister Nadia Fettah and Bank Al-Maghrib Governor Abdellatif Jouahri. The discussions will emphasize investment in high-potential sectors such as sustainable agriculture, manufacturing, infrastructure, services, and cultural industries, as well as advancing regional integration to reinforce Morocco's role as a hub for connectivity and innovation in Africa, according to a press release. He is also expected to sign an agreement to accelerate Morocco's digital transformation, a crucial driver for boosting economic opportunities and inclusive growth.
ME Construction
17-06-2025
- Business
- ME Construction
AMEA Power announces financial close of first utility-scale BESS project in Egypt
Energy AMEA Power announces financial close of first utility-scale BESS project in Egypt By The milestone is said to mark a significant step forward in the strategic partnership between AMEA Power and IFC AMEA Power has announced the financial close of the first-ever utility-scale Battery Energy Storage System (BESS) project in Egypt. The 300MWh BESS Project is an extension of AMEA Power's existing operational 500MW solar PV plant in Aswan Governorate, Egypt, which was commissioned in December 2024. To facilitate the integration of the project into the operational 500MW solar PV plant, the 300MWh BESS Project will receive a substantial US $72mn debt package from the International Finance Corporation (IFC). The signing ceremony, held between Samir Nacef, Chief Executive Officer of AMEA Power Egypt, and Cheick-Oumar, IFC Director for North Africa and the Horn of Africa, was attended by several Egyptian officials, including Mostafa Madbouly, Prime Minister of Egypt, Dr. Mahmoud Esmat, Minister of Electricity and Renewable Energy of Egypt, Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation of Egypt, and Makhtar Diop, Managing Director of IFC. The milestone is said to mark a significant step forward in the strategic partnership between AMEA Power and IFC. The partnership encompasses not only the recently commissioned 500MW Amunet Wind Farm in Ras Ghareb, Egypt, but also extends beyond Egypt to projects such as the 120MWp solar PV plant in Metbassta, Tunisia. The integration of the BESS represents a pivotal moment in Egypt's accelerated 4GW Emergency Renewable Energy Program. This government-led initiative aims to address rising electricity demand by leveraging affordable, clean energy solutions and reducing reliance on imported natural gas, said a statement from the firm. Hussain Al Nowais, Chairman of AMEA Power said, 'At AMEA Power, we are committed to transforming the energy landscape through innovation, speed, and local collaboration. Achieving financial close for Egypt's first utility-scale BESS project following the successful launch of our 500MW wind farm in Egypt—is a clear demonstration of our ability to deliver large scale renewable energy projects. We are proud to play a leading role in supporting Egypt's energy transition and grid resilience.' Makhtar Diop, IFC's Managing Director added, 'Meeting Egypt's rising energy demand – especially in the summer – requires bold solutions, and we are proud to deepen our collaboration with a ready-to-scale partner like AMEA Power. This investment delivers sustainable infrastructure that strengthens the grid today while laying the foundation for a cleaner, more resilient energy future in Egypt. This is modelling efficient transition – one that brings value for the country through advanced technologies and skills.' As Egypt embarks on its journey towards renewable energy, projects like this utility-scale battery storage system play a crucial role in maintaining grid stability, enhancing the integration of renewable energy sources, and contributing to the country's decarbonisation efforts, the statement concluded.
