Your Climate-Smart Business Partner in Latin America and the Caribbean IFC OFFERS ITS CLIENTS GLOBAL PERSPECTIVE, LOCAL PRESENCE, AND INDUSTRY EXPERTISE IN SUSTAINABLE BUSINESS. GLOBAL PERSPECTIVE LOCAL PRESENCE IN LAC IFC’S CLIMATE-RELATED PROJECTS IN LAC IFC, a member of the World Bank Group, is the In Latin America and the Caribbean, IFC largest global development institution focused on invested $624 million in 21 climate-related the private sector. IFC began investing in firms projects in FY11. This represented 20% of in developing countries in 1956, and currently WCAPH EQ IFC LAC’s $3 billion investments from its has a committed portfolio of US$55.2 billion. City Santa Fe Optima Energia own account. All told, IFC LAC has commit- WCAP Loan Vertice ted $1.6 billion to 94 climate-related projects We operate from over 100 offices in 94 countries. Artha Capital Cemar-Maranhao City Monterrey since the program’s inception in 2005, and Sunpreme Silicon Banco BHD IFC started formal environmental and social Comemsa Calidra EDF La Ventosa Banco Gyt JPS Co II Basic Energy increased its climate commitments by 750% screening of its investments in the early nineties EURUS Lapco GCP Bioethnol Pantaleon La Vegona JEP II through FY11. and became the acknowledged world leader on TACA Airlines Infra V-El Salto Dinanat Banco de Finanzas Simplemente Termo ores TCL Group these issues when the Equator Principles were Dinanat Promerica Pando Montelirio City Costa Rica Century Hydros IFC has consistently expanded its sustainable launched in 2004. BANCOSEF Riopalia Avianca development investments in the region over CAME CPLP City Colombia the years. This reflects the fact that Latin Today, climate-smart business is a core priority Pronaca Favorita WC Carvajal America and the Caribbean have abundant for IFC in both its investment and advisory Favorita Fruit Cemar-Maranhao renewable energy resources, and that these Rio de Fogo work, where we help clients position themselves BBVA Continental TAM Airlines Bauducco resources are expected to be impacted by in a new green economy. We support sustainable Cheves Hydro Energia Florestal climate changes in the future. These realities DESO BRL Loan finance, clean energy, resource efficiency, sustain- Laredo Expansion create opportunities for clients to strengthen able agriculture, and adaptation to climate SLV USJ their operations and infrastructure and posi- change. Vale do Parana Itambe Banco Continental Comgas MRS tion themselves in the new green economy. Banco Regional BBVA Paraguay Banco Real Capital invested from IFC’s own account in UABL II Unibanco climate-related projects grew from $221 million San Miguel Estre Ambiental The region has already enjoyed decades of Vonpar Alimentos in FY05 to $1.7 billion in FY11, representing Norvind S.A. growth with clean power thanks to its low use 14% of IFC’s total commitments. Yet, com- Hidromaule AGD Orion of coal-fired plants and reliance on hydro- Banco Galicia mercial investing is just one facet of IFC’s La Con uencia La Higuera Arcor Group electricity. IFC is building on these successes work, which also includes concessional funding, and expanding into areas such as wind, solar, technical assistance, primary research on the geothermal, biomass, resource efficiency, commercial risks of climate change, and building recycling, cleaner production lines, carbon consensus for standard setting. Across these sequestration, avoided deforestation, climate fields, IFC committed $5.3 billion to 91 sustain- change funds, and funding to local financial able development projects in FY11. institutions to lend to an array of climate- friendly projects. INDUSTRY EXPERTISE IN SUSTAINABLE BUSINESS IFC applies its investment, advisory, and asset-management services across four areas of expertise in sustainable development: Sustainable Finance Clean Energy Resource Efficiency Sustainable Agriculture • IFC provides financing and • IFC invests in venture and • IFC finances the implementation • IFC promotes sustainable mobilization capacity to encourage growth-stage clean energy com- of energy, water, and other resource standards in agribusiness financial institutions to lend and panies in wind, solar, geothermal, efficiency initiatives across sectors through investments that help invest in sustainable projects. biomass, and hydro industries. by supporting solution-providers raise corporate environmental and buyers. standards. • IFC has executed more than 60 • In FY11, we committed $428 sustainable finance projects in 29 million worldwide to renewable • We have been active in sectors • We are experts in helping countries with an IFC investment energy projects, which represented such as cement, metals, pulp, agriculture companies grow, cut amount of $1.8 billion, and over 70% of all IFC power capacity chemicals, food processing, green costs, reduce waste and emis- $2.5 billion in private capital. investments. buildings, and water and energy sions, and plan for climate risks. distribution. PROJECT HIGHLIGHTS GLOBAL EXPERTISE LOCAL PRESENCE IN LAC IFC LAC Climate Commitments by Year (US$ Millions) Bank of Philippine Islands BBVA Banco Continental, Peru 700 $624m IFC supported the Bank of Philippine Islands Sustainable IFC provided a credit line and technical 600 with an aggregate of US$58m in risk-shar- assistance to BBVA Banco Continental in Finance ing facilities and advisory services to grow 500 2006 for energy efficiency and renewable BPI’s capacity to assess and supervise energy loans. BBVA has disbursed 69 loans $393m energy-efficiency and renewable-energy 400 investments, such as low-carbon transport. with a total value of $34 million. 300 Azure Power Private Ltd., India San Jacinto Geothermal, Nicaragua $189m 200 In FY10, IFC took a $10 million stake in IFC provided a $50m loan and mobilized Clean Azure Power Private ltd., which developed 100 $140m to support the construction of Energy India’s first 2 MW, utility-scale solar plant, Nicaragua’s largest greenfield geothermal 0 powering 32 villages in Punjab. And in FY12, power project in over 25 years - promoting FY09 FY10 FY11 Azure opened a 5 MW plant on its way to a renewable energy, electricfication, and nationwide goal of 100 MW. energy independence for the country. IFC LAC Climate Commitments by Industry (Since June 2005) Mriya Agroholding, Ukraine Optima Energia, Mexico Agriculture, Building & IFC’s Clean Production Lending Facility IFC’s $10 million loan to Optima Energia Forestry, Water E ciency loaned $5 million to Mriya Agroholding, a helped support the company’s balance sheet $25m, 2% Resource $132m, 8% Efficiency successful Ukrainian agro producer, to so it could increase the energy efficiency of Trade Manufacturing boost its operational processess and hotel clients in Mexico, cutting energy and $506m, $102m, 6% reduce energy consumption, water use, water costs by 40%. The company has saved 32% Transport and C02 emissions. its clients over $14 million per year. $130m, 8% Climate-resistant seeds, Bangladesh ItaFos, Brazil Through its advisory services program, IFC is A $40m loan and $35m investment in MBAC supporting Bangladesh’s seed supply chain Sustainable Sustainable fertilizer project ItaFos to expand sustain- Finance by working with four of the country’s largest able agricultural production in Northeast $190m, Agriculture private seed companies (Energypac Agro-G, Hydro 12% Brazil. The project was supported by IFC’s Supreme Seed, ACI, and Lal Teer) to produce $273m, and market stress-tolerant seeds and train Environment and Social Review Process and 17% Cleantech $243m, 15% farmers in using them. Amazon Initiative. INVESTMENT PRODUCTS IN SUSTAINABLE BUSINESS ADVISORY SERVICES IN SUSTAINABLE BUSINESS IFC offers a number of sustainable-business investment products to help compa- IFC’s Advisory Services help ensure that clients’ projects are sustainable. We provide nies grow, increase efficiencies, manage risk, and broaden their access to foreign the following solutions to sustainable businesses and industries: and domestic capital markets. Resource efficiency and cleaner production advice: IFC helps clients optimize Our financial products include: Our sustainable investments target: project/process designs and identify retrofit opportunities to achieve greater ef- ficiency in energy, water, and other resources. • Loans from IFC’s account • Water and energy efficiency • Syndicated loans • Renewable energy generation Clean energy scale-up and energy-access initiatives: IFC supports scale-up of grid-tied and off-grid clean energy with regulatory advice, improved access to finance, • Equity investments • Sustainable agriculture and by addressing informational barriers to market development. • Quasi-equity investments • Sustainable industry supply chain Climate risk assessments: IFC performs risk assessments with clients in hydropower, • Equity & debt funds • Carbon sequestration agribusiness, insfrastructure, manufacturing, and finance. And it develops analytical • Trade finance • Avoided deforestation tools to help clients plan for adaptation to climate change. • Risk management products • Banks investing in clean energy Standard setting: IFC works with clients to meet our Environmental and Social • Local currency financing • Venture & growth-stage companies Performance Standards, which are widely applied by commercial banks via the Equator Principles. These standards help companies bolster their brands. • Subnational finance • Climate change funds • Carbon finance and credits • Climate-proofing infrastructure • Concessional finance Contact IFC LAC: Go to www.ifc.org/lac to contact an IFC LAC officer by email or phone and learn how IFC can help grow your sustainable business.