A core part of what IFC offers offers governments and businesses is advisory services, in the form of training, advice, dialogue, and problem solving. This support helps improve business standards, creates attractive business environments, and removes legal and technical obstacles that hamper private sector growth.
Directly investing in projects with high developmental impact is one way IFC is supporting the efforts of governments, businesses, and other stakeholders to build strong private sectors in Africa. Advisory services have become an equally important part of IFC's business.
IFC often combines its investments and advisory work, especially on infrastructure projects, to provide a comprehensive and integrated support package that maximizes our developmental impact.
“IFC’s advisory services programs are really about making it easier, more transparent, and, in many cases, safer for businesses to do business in emerging markets,” said Bernard Chidzero, General Manager of IFC’s Private Enterprise Partnership for Africa. “IFC is helping African countries create environments that pave the way for private sector growth.”
Doing Business
Africa is rich in natural resources, and boasts a dynamic and growing population, but many countries on the continent remain mired in poverty. Millions live on only a few dollars per day, while a lack of skills and financial support constrain countless entrepreneurs.
African economies consistently lurk near the bottom of the World Bank’s annual Doing Business Report, a study of regulations that enhance – and constrain – business activity. In the 2009 report, nine of the bottom 10 ranked countries (and 17 of the bottom 20) were from Africa.
While many factors, including a colonial past, have held back Africa’s economic development, countries across the continent are uniformly constrained by weakly developed private sectors.
IFC’s advisory services programs, organized into five distinct but cross-cutting business lines, are supporting efforts by African countries to overhaul the legal and regulatory foundations of their economies.
IFC helps national and local governments improve the investment climate, strengthen basic infrastructure, and raise social and environmental standards. We also help investment clients sharpen their competitive edge, improve corporate governance, and become more sustainable.
Access to Finance
IFC’s access to finance advisory work helps increase the availability and affordability of financial services, focusing on micro, small, and medium enterprise clients. Increasing access to finance is critical in Africa, where few benefit from even basic banking and other financial services.
Business Enabling Environment
IFC is helping client countries create a more robust and attractive investment climate by supporting regulatory changes that simplify and clarify business processes. African economies, often tangled in red tape or without clear legislation for even basic business practices, are benefiting from IFC’s global expertise.
Corporate Advice
IFC helps its clients strengthen their board and management practices to become more competitive. We help large corporations incorporate smaller firms into their supply chains (in ‘linkages’ programs). Our healthcare work helps companies devise plans to tackle the scourge of HIV/AIDS and other diseases among employees and their families.
Environment & Social Sustainability
IFC is helping African businesses introduce innovative and cost effective methods of promoting sustainable energy, clean air, clean water, biodiversity, higher labor standards, and equal opportunities for women.
Infrastructure
Businesses and economies in Africa suffer because of a lack of reliable power, water, and transport. IFC is advising governments on how to structure and implement large public-private projects in areas critical to social and economic development. The goal is to deepen the involvement of the private sector to improve access to basic services in transport, telecoms, water and energy utilities, health, and education. |
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The Financial Crisis
IFC’s advisory work is especially critical during the deepening financial crisis, which has pummeled economies and financial institutions in the first world and is now threatening growth prospects in emerging markets.
In response to the crisis, which is drying up liquidity and forcing many firms into bankruptcy, IFC’s advisory teams are:
- Helping financial institutions assess and quantify critical risks, and taking action to mitigate crisis impact.
- Scaling up programs to strengthen financial infrastructure and disseminate good practice.
- Expanding its advice on regulatory simplification, including assistance on the Doing Business reform agenda, trade logistics, and business tax reform; insolvency; and investor aftercare.
- Addressing the immediate needs of boards and training their members in the proper role and function of a board in a crisis situation.
Donor Partners |
| IFC’s advisory work is supported by the generous backing of donor governments, corporations, and other partners. These donors share our vision that people should have the opportunity to escape poverty and improve their lives. |
For more information contact:
Jason Hopps
Communications Officer
Johannesburg, South Africa
Phone: +27 11 731 3120
E-mail: jhopps@ifc.org
