IFC and Portugal
Partners in Private Sector Development

OVERVIEW
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector inemerging markets. Working in more than 100 countries, IFC committed a record $43.7 billion in own-account investments
and mobilization from third parties to private companies and financial institutions in developing countries in fiscal year
2023 (FY23).* IFC partners with Portuguese multinationals and mid-sized firms interested in investing in emerging
markets. As of June 2023, IFC had a long-term committed investment portfolio of $218 million with Portuguese partners
in the Manufacturing, Agribusiness and Services sector, spread across Africa and Latin America and the Caribbean.

IFC’s Long-Term Investment Portfolio with Portuguese Sponsors
As of FY23, IFC’s long-term investment portfolio with Portuguese sponsors amounted to $218 million. Portuguese private
sector companies have benefited from co-investments with IFC, while making notable contributions to development.
IFC Long-Term Investment Portfolio as of June 2023
by Industry with Portuguese Sponsors ($218 million)

IFC Committed Exposure by Sector
as of June 2023 (Dollar Amounts in Millions)•IFC Long-Term Investment Portfolio as of June 2023
by Region with Portuguese Sponsors ($218 million)

Global Trade Finance Program (GTFP): As of June 2023, IFC had issued
1285 guarantees amounting cumulatively to $363 million for Portuguesebanks since the GTFP began in 2005. The most active confirming bankhas been BANCO BPI SA.

*The World Bank Group fiscal year runs from July 1 to June 30 of the following
calendar year.

PARTNERSHIP WITH THE GOVERNMENT AND THE DEVELOPMENTFINANCE INSTITUTION
In 2019, IFC and SOFID, the Portuguese development finance institution,
signed a Memorandum of Understanding (MoU) to support sustainable
tourism investments in emerging markets as an engine for growth and job
creation in Lusophone African countries, with an initial focus on São Tomée Príncipe.
IFC signed an MoU with the Portuguese Ministry of Finance in 2015 toreinforce cooperation and promote the financing of investment projects byPortuguese companies in emerging markets.
In 2021, IFC became the first institutional partner to the Lusophone Compact, a partnership between Africa Development
Bank, Portugal and six Portuguese-speaking countries of Africa. The Lusophone Compact promotes private sector
development by providing risk mitigation, financing instruments, and technical assistance to encourage businesses inmember countries. Its goals are closely aligned with IFC’s Creating Markets strategy to unlock opportunities for private
sector investment through private sector diagnostic work, risk mitigation and financing of viable projects.

Examples of Successful Cooperation
Jerónimo Martins, Colombia
IFC committed a $95 million loan in 2020 and a $93 million loan in 2019 in Colombian Pesos to AraTiendas, a Colombian food store chain, to finance expansion of its retail stores as well as working
capital. Ara Tiendas is a subsidiary of Jerónimo Martins, one of the largest European food retailers basedin Portugal. IFC’s investment in Ara Tiendas, a soft discount retailer, increases access to good quality
food and staple goods in a modern retail environment at affordable prices, including in underserved
areas in intermediate cities. With 1241 stores in operation in the country, of which 27 percent wereestablished in the last 12 months, Ara Tiendas’ growth has also created significant employment (12.5kemployees 2022) and lead to the development of a local supply network.

CONTACT

Sadia Sajjad
Tel: +44 20 7592 8417
E-mail: ssajjad@ifc.org

BRUSSELSFRANKFURTLONDONPARIS

17 avenue Marnix

Bockenheimer

66 avenue d’Iéna

2nd Floor

Landstrasse 43

1000 Brussels, Belgium

60325 Frankfurt amMain

1 Tudor Street
6th Floor
EC4Y 0AH London, UK
Tel: +44 207 592 8400

Tel: +32 2 522 00 39

Germany
Tel: +49 69 743 48230

September 2023

75116 Paris, France
Tel: +33 1 40 69 30 60