Submitted by: Kartik Gupta 18-MBA-10

INTERNATIONAL FINANCE CORPORATION

International Finance Corporation is the member of the World Bank Group and is headquartered in Washington DC. It shares the primary objective To improve the quality of the lives of people in its developing member countries. IFC offers private and public sector clients an array of financial and advisory products and services designed to manage risk and broaden access to foreign and domestic capital markets. IFC is the largest multilateral source of loan and equity financing for private sector projects in the developing world.

MEMBER COUNTRIES

IFC has 182 member countries. To join IFC, a country must: 1. Be a member of the World Bank (IBRD). 2. Have signed IFCs Articles of Agreement. 3. Have deposited with the World Bank Groups Corporate Secretariat an Instrument of Acceptance of IFCs Articles of Agreement.

IFC'S VISION, VALUES, & PURPOSE

Vision is that people should have the opportunity to escape poverty and improve their lives. Values are excellence, commitment, integrity, teamwork, and diversity. Purpose is to create opportunity for people to escape poverty and improve their lives. IFC, as a member of the World Bank Group, shares its mission to reduce global poverty.

HISTORY

A daring new idea when created in the 1950s, IFC is the largest organization of its kind in the world. Holding a $48.8 billion portfolio touching almost every major industry, we now reach millions of people in more than 180 countries, creating jobs, raising living standards, and building a better future. 1950- Idea of IFC 1951- Growing Support 1956- IFC Created 1961- New Powers 1965- First Syndication 1982- First Advisory Facility

CONTD

1984- Financial Autonomy 2001- Sustainability Initiative 2003- Equator Principles 2007- IDA Focus

FUNCTIONS OF IFC

IFC Investment Services. Advisory Services. IFC Asset Management Company.

IFC INVESTMENT SERVICES

IFC continues to develop new financial products that enable companies to manage risk and broaden their access to foreign and domestic capital markets. In FY11, IFC invested $12.2 billion in 518 projects, of which $4.9 billion went to the poorest countries eligible to borrow from the World Banks International Development Association.

CONTD

IFC Financial Products and Investment Services Include: Loans Syndicated Loans Equity Finance Structured Finance Risk Management Products Local Currency Financing Trade Finance

ADVISORY SERVICES

To help the private sector in emerging markets, IFC provides advice, problem solving, and training to companies, industries, and governments. Experience shows that companies need more than financial investment to thrivethey need a regulatory environment that enables entrepreneurship, and advice on business best practices. IFC offer advice through nearly 1,100 Advisory Services staff in 85 offices across 73 countries. Funding comes from donor partners, IFC, and client contributions. In FY11, advisory services project expenditures totaled $206.7 million.

IFC ASSET MANAGEMENT COMPANY

IFC Asset Management Company mobilizes and manages funds on behalf of a wide variety of institutional investorsincluding sovereign funds, pension funds, and development finance institutions. It raises funds targeted at large institutional investors who are looking to increase their exposure to emerging markets and who are interested in accessing IFCs transaction pipeline, investment approach, and track record of superior returns. As of June 30, 2011, IFC Asset Management Company had approximately $4.1 billion in assets under management.

IFC ASSET MANAGEMENT COMPANY FUNDS

IFC Capitalization Fund: The $3 billion fund consists of an equity fund of about $1.3 billion and a subordinated debt fund of about $1.7 billion. Since its inception in 2009 through the end of FY11, the capitalization fund made investments totaling $960.1 million in nine commercial banks in Bahrain, Honduras, Malawi, Papua New Guinea, Paraguay, the Philippines, Serbia, Vietnam, and in one regional African Bank.

CONTD

IFC African, Latin American, and Caribbean Fund Since 2010, the $1 billion fund made investments totaling $172.4 million in Brazil, Mexico, Nigeria, Trinidad and Tobago, and in two regional African companiesone in cement and one in banking. The African Capitalization Fund Established in FY11 the fund invests in systemically important commercial banking institutions in northern and Sub-Saharan Africa. As of the end of FY11, it had made one investment in Malawi.

IFC IN INDIA

Since 1956, IFC has invested in 264 companies in India, providing over $7 billion in financing for its own account and $2.1 billion in mobilization from external resources. With a portfolio of $3.6 billion (as of January 2011) makes India IFC's largest country of operations. In recent years, IFC have grown its business substantially in India, with largest commitments of $1.8 billion in FY10.