IFC is scaling up and refocusing its advisory services geared to financial institutions and governments and reform of financial infrastructure:
Access to finance: Growing liquidity pressure means that financial institutions are cutting back most lending activities to consumers, entrepreneurs, and corporates. To speed up the recovery process and limit the credit crunch, IFC is helping financial institutions assess and quantify critical risks, and taking action to mitigate crisis impact. IFC continues to support microfinance and lending to small and medium enterprises. We are also scaling up programs to strengthen financial infrastructure and disseminate good practice.
Business enabling environment: In emerging economies, the financial crisis is likely to lead to a larger number of bankruptcies, lower levels of foreign direct investment, and lower tax revenues for governments. To mitigate this, IFC will expand its advice on regulatory simplification, including assistance on the Doing Business reform agenda, trade logistics, and business tax reform; insolvency; and investor aftercare.
Corporate governance: During the crisis, IFC aims to improve the competence of the boards of directors of corporations in emerging markets through targeted training. In the short term, we will address the immediate needs of boards and train their members in the proper role and function of a board in a crisis situation. Progressively, we will expand our work to provide board leadership training in key emerging markets.
IFC estimates a financing need of at least $40 million over three years.
Last Updated: 10 Aug 2009 |
