|
|
 |
 |
|
Summary of Project Information (SPI) |
|
| |
| Project number | 8576 |
| Project name | ARAB BANKING CORPORATION ALGERIA |
| Country | Algeria |
| Sector | Finance & Insurance |
| Department | Global Financial Markets Group |
| Company name | Arab Banking Corporation Algeria |
| Environmental category | FI |
| Date disclosed | September 16, 1997 |
| Status | Active |
| Previous Events | Invested: January 16, 1998
Signed: January 12, 1998
Approved: December 11, 1997 |
|
Summary Of Project Information (SPI)
| Project Name | Algeria-Arab Banking Corporation Algeria |
| International Joint Venture Commercial Bank |
| Region | Central Asia, Middle East and North Africa |
Sector
Project No008576
Projected Board DateOctober 16, 1997
Company NameArab Banking Corporation Algeria (ABCA)
Technical Partner and/or Major Shareholders
Arab Banking Corporation(ABC) (70%), headquartered in Bahrain, will be the foreign technical partner.
Algerian financial institutions (20%); IFC (10%).
Project Cost Including proposed IFC investment
Total Project Cost: US$20 million, IFC Equity Investment: US$2 million
Location of project and Description of site
Algeria
Description of Company and Purpose of Project
(include IFC’s Role and Development Impact)
IFC has a strong institution-builing and developmental role in the establishment of this much-needed financial intermediary. IFC has played an important part in attracting and giving comfort to ABCA’s main institional sponsor, Arab Banking Corporation. IFC will play a key role in assisting ABC to find the right local partners in Algeria. IFC has also shared with ABCA’s sponsors its knowledge and experience in setting up similar ventures. Through its position on the Board of ABCA, IFC will ensure that ABCA operates along sound, internationally acceptable standards in accordance with international banking practices and BIS guidelines. In addition to its catalytic role, the involvement of IFC would provide greater comfort to various regulatory and monetary authorities in Algeria.
ABCA will help meet the existing needs of private enterprises and increase the level and efficiency of financial intermediation in Algeria. It is envisaged that ABCA will be a “best practices” model that will disseminate modern banking techniques, upgrade standards and promote competition and increase the efficiency of the banking system in Algeria. ABCA will also seek future funding in the form of credit lines which will be on-lent to private enterprises and address the problem of scarce term funding.
Environmental Category and Issues
This is an FI project according to IFC’s environmental review procedure. For relevant operations, ABCA will be required to implement an environmental risk management system to ensure compliance with local environmental regulations as well as World Bank policies.
| Date SPI sent to PIC | September 16, 1997 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384 |
|
|
|