IFC established an office in Manila in 1977 and has been investing in the Philippines for more than 40 years. As of June 2008, the country ranked second among IFC’s exposures in the East Asia and Pacific Region, with about $898 million in 32 projects. In order to focus on the lagging regions in the country, IFC opened an office in Davao City, Mindanao in 2006.
IFC supports a key plank of the government’s energy reform agenda under the Electric Power Industry Reform Act. In FY2007, IFC supported the winning bidders of the power generation privatizations of the Magat, Masinloc and Ambuklao-Binga plants. On the advisory side, IFC is bringing to bear its global experience in the energy-efficiency financing and rural electrification sectors. As transaction advisor to the National Power Corporation, IFC helped government attract private sector capital to power generation in the remote provinces of Tablas, Romblon, Marinduque and Masbate that are not connected to the main power grid.
IFC is also helping local banks explore energy efficiency financing as part of its response to climate change. Through its SME Banking Initiative, IFC is also forging strategic partnerships with local banks to allow small and medium enterprises greater access to credit. To assist agribusiness development in the Philippines which remains mainly an agricultural economy, IFC has identified several focus areas and is looking to adopt a value chain approach in developing appropriate investment and advisory support to relevant stakeholders along the value chain.
