IFC Partners with Health and Education Networks to Serve Lower-Income Groups

IFC’s recent investments in health and education reflect a strategic priority to support the growth of established companies and networks across countries and regions, especially those that operate in multiple markets. 

This trend has been advanced by industry consolidation, private equity interest, the emergence of strong regional players looking overseas for growth, and policy environments that are more supportive of the private sector’s role.

By enabling larger companies to move down-market to reach lower- and middle-income groups, IFC is increasing access to services in underserved areas. The development of networks also supports best practice and economies of scale. 

“Growing networks across countries and regions enables IFC to develop long-term relationships with key players, share our global knowledge, and create centers of excellence,” says Guy Ellena, Director, Health and Education.

As the largest multilateral investor in private health care and education in emerging markets, IFC aims to support the growth of both sectors in a sustainable and socially responsible way that helps improve the lives of people, many of whom do not have access to basic health care or education services. 

Higher Standards, Increasing Opportunities

In 2008 and 2009, IFC committed about $92 million to Saudi German Hospitals to construct hospitals, specialty clinics, and a nursing school in Cairo, Egypt; a hospital in Sana’a, Yemen, and a hospital in Addis Ababa, Ethiopia. Saudi German is bringing investment and health care services to developing markets in the Middle East and Africa, demonstrating best practice, and creating job opportunities for skilled professionals. 

In 2009, IFC invested $14 million debt and $8 million equity in First Education Holding to promote high-quality primary and secondary education in the Middle East and North Africa. By supporting the acquisition and expansion of school networks, the project increases access to education, implements higher standards, and improves the quality of services.