News

World Bank, IFC approves $14B to help nations, companies respond to COVID-19

The World Bank and the International Finance Committee (IFC) approved a $14 billion financing package to assist companies and countries in their efforts to respond to the spread of COVID-19.

About $8 billion of that is from IFC, which is a member of the World Bank Group. It will increase its COVID-19 related financing availability to $8 billion from a previously announced $6 billion. The funding will be used to support private companies and their employees hurt by the spread of COVID-19. Specifically, most of the IFC financing will go to financial institutions to help them to continue to offer trade financing, working-capital support, and medium-term financing to private companies struggling with disruptions in supply chains.

The funding will also go toward its member companies in economic sectors directly affected by the pandemic–such as tourism and manufacturing—to help them pay their bills. Further, it is also targeted at companies responding to the pandemic, including those in the healthcare sector.

“It’s essential that we shorten the time to recovery. This package provides urgent support to businesses and their workers to reduce the financial and economic impact of the spread of COVID-19,” David Malpass, president of the World Bank Group, said. “The World Bank Group is committed to a fast, flexible response based on the needs of developing countries. Support operations are already underway, and the expanded funding tools approved today will help sustain economies, companies, and jobs.”

IFC has a successful track record of implementing response initiatives to address global and regional crises, responding quickly to the 2008 global financial crisis and the Western African Ebola virus epidemic.

“Not only is this pandemic costing lives, but its impact on economies and living standards will likely outlive the health emergency phase. By ensuring our clients sustain their operations during this time, we hope the private sector in the developing world will be better equipped to help economies recover more quickly,” IFC CEO Philippe Le Houérou said. “In turn, this will help vulnerable groups to more quickly recover their livelihoods and continue to invest in the future.”

IFC is the largest global development institution focused on the private sector in emerging markets. It works with more than 2,000 businesses worldwide, using its capital, expertise, and influence to create markets and opportunities where they are needed most.

Dave Kovaleski

Recent Posts

House lawmakers press DoD to accelerate weapon deliveries, training for Ukraine

Amid ramped up assaults by Russian forces on Ukraine, a group of U.S. Congress members…

1 day ago

DHS establishes Homeland Intelligence Advisory Council to oversee, advise

A new entity under the U.S. Department of Homeland Security (DHS) will advise it on…

1 day ago

Eastern Shipbuilding Group announces Phase II for Nelson Street infrastructure projects

The second phase of work on Eastern Shipbuilding Group’s (ESG) Nelson Street government shipbuilding facility…

2 days ago

Bipartisan Recruit and Retain Act to bolster U.S. police force heads for president’s signature

With its passage through the House last week, the Recruit and Retain Act (S. 546)…

2 days ago

House advances Israel Security Assistance Support Act

The House of Representatives last week voted through the Israel Security Assistance Support Act (H.R.…

3 days ago

Effort to equip female DHS officers with better tailored body armor advances through Senate committee

A bill from U.S. Sens. Gary Peters (D-MI) and Katie Britt (R-AL) to get next…

3 days ago

This website uses cookies.