1. Investment, Trade & Transport Facilitation
ACMECS
Bangkok
March 13, 2007

2. I. Who is IFC and what do we do
II. IFC in Vietnam, Cambodia, Laos
III. How to work with the IFC

3. OVERVIEW OF IFC
One of the largest and most knowledgeable investors in the Emerging Markets
Global private sector investor
The world’s largest loan and equity investor in private sector companies & projects
in the Emerging Markets
Established track record
US$56 Bn invested in over 3,500 companies across all sectors in 140 Emerging Market countries
US$25 Bn syndicated to commercial banks and other lending institutions
US$27 Bn of current porftfolio (includes $5 Bn in syndicated loans)
AAA credit rating; no loss years since inception in 1956
Global reach and expertise
Over 2,900 staff; over 1,400 in the field
Relationship with market leaders in key industries
In-house industry, government, financial, environmental expertise
Part of the World Bank Group
Premier global development institution with mandate to reduce poverty
178 countries as shareholders; US, EU, Japan are the largest

4. IFC Products and Services
To assist private enterprise in developing countries, IFC:
Provide loans and equity for viable projects
Mobilizes capital from other sources
Provide technical assistance & advisory services
IFC Corporate Information
Slide No. 4
The goal of all members of the World Bank Group is to alleviate poverty and raise living standards by promoting sustainable economic development and by channeling resources from developed nations to developing countries. In addition, each World Bank institution has a distinct developmental role:
IBRD, the main lending arm of the World Bank Group, lends to
governments of middle-income developing countries.
IDA lends on concessional or “soft” terms to governments of the
poorest developing countries.
MIGA provides guarantees to foreign investors against non-
commercial risk.

5. IFC Defining Characteristics
Participates only in private sector ventures
Shares same risks as other investors
Invests in equity
Has market pricing policies
Does not accept government guarantees
Is profit oriented
IFC Corporate Information
Slide No. 5
As a rule, the enterprises we finance must be majority private sector owned and controlled. Like other private sector investors and commercial lenders, we seek profitable returns, price our finance and services in line with the market, and share full project risks with our partners. Even though we do not accept any government guarantees for our financing, our work often requires close cooperation with government agencies in developing countries.

6. IFC’s Beneficial Role
IFC’s presence reassures foreign investors, local partners, governments
Reputation and standing to help negotiations
Measure of political risk cover
Catalyst for other investors and lenders
IFC Corporate Information
Slide No. 6
As a rule, the enterprises we finance must be majority private sector owned and controlled. Like other private sector investors and commercial lenders, we seek profitable returns, price our finance and services in line with the market, and share full project risks with our partners. Even though we do not accept any government guarantees for our financing, our work often requires close cooperation with government agencies in developing countries.

7. IFC in Vietnam
IFC has been active in Vietnam since 1992, commencing with a technical assistance, and its first investment in 1994.
Todate approved investments $500m in > 25 companies
Expect to ramp up in future: $ m per year
Focus on financial sector and infrastructure
Active advisory program, mainly through Mekong Private Sector Development Facility (MPDF)
IFC Corporate Information
Slide No. 7
IFC provides no standard application form for financing. An entrepreneur can approach us directly. After initial contacts and a preliminary review, we request a feasibility study or business plan to determine whether to appraise the project. An appraisal team evaluates the project’s technical, financial, economic, and environmental aspects. The process entails visits to the proposed site and discussions with sponsors.
The team then submits its recommendations to senior management. If financing is approved, IFC’s legal department drafts the core investment documents. Outstanding issues are negotiated with the sponsor, and the project is submitted to IFC’s Board of Directors for approval. Following Board approval, legal documents are signed, a syndication (if applicable) is negotiated and closed, and disbursements are made. We supervise investments closely, send our field missions to the project, and require quarterly progress reports and annual financial statements audited by independent public accountants.
Once projects have reached early operating maturity, we evaluate the emerging outcomes, assign performance ratings for internal accountability reporting, and identify lessons for improving future operations.

8. IFC in Cambodia and Laos
Given the nascent private sector, focus is on capacity building, business enabling environment
Effort spearheaded by MPDF
Selective investments in financial sector, infrastructure, tourism, manufacturing
Desire to do more, especially in agribusiness
IFC Corporate Information
Slide No. 8
IFC provides no standard application form for financing. An entrepreneur can approach us directly. After initial contacts and a preliminary review, we request a feasibility study or business plan to determine whether to appraise the project. An appraisal team evaluates the project’s technical, financial, economic, and environmental aspects. The process entails visits to the proposed site and discussions with sponsors.
The team then submits its recommendations to senior management. If financing is approved, IFC’s legal department drafts the core investment documents. Outstanding issues are negotiated with the sponsor, and the project is submitted to IFC’s Board of Directors for approval. Following Board approval, legal documents are signed, a syndication (if applicable) is negotiated and closed, and disbursements are made. We supervise investments closely, send our field missions to the project, and require quarterly progress reports and annual financial statements audited by independent public accountants.
Once projects have reached early operating maturity, we evaluate the emerging outcomes, assign performance ratings for internal accountability reporting, and identify lessons for improving future operations.

9. Supervision/Evaluation
How to work with the IFC
As Seen by Client
Internal to IFC
Initial Discussions
Initial Review
& Authorization
to Appraise
Mandate Letter
Appraisal
Financing Negotiations
Management Approval
Info. Memo and Syndication
Legal Documentation
Disbursement
Board Approval
Supervision/Evaluation

10. For inquiries, please contact:
Mr. SIN FOONG WONG, Country Manager, IFC Vietnam, Cambodia, Laos
3rd Floor, 63 Ly Thai To
Hanoi, Vietnam
Tel: (04)
Fax: (04)
Cell:
Web:

11. THANK YOU