HIGHLIGHTS FROM
THE 2022 IFC ANNUAL REPORT
In fiscal year 2022, IFC committed a record $32.8 billion
to private companies and financial institutions indeveloping countries, leveraging the power of theprivate sector to end extreme poverty and boost
shared prosperity as economies grapple with theimpacts of global compounding crises.

LETTER FROM MAKHTAR DIOPIFC Managing Director

Global Challenges
The slow vaccination rates in the developing world andthe emergence of new variants prolonged the impacts ofthe COVID-19 pandemic. The war in Ukraine unleashed ahumanitarian crisis in the region, triggered a global foodcrisis, and further disrupted global supply chains. Soaring
inflation worsened poverty and threatened essential
investments in emerging markets. More frequent andintense climate events provided an ominous glimpse at
the consequences of a continued disregard for the planet.
Taken together, these challenges point toward a singulartruth: there is no going back to where we were before.
We have entered a new normal, one that will require newpartnerships and creative mindsets to pave the way for amore sustainable, resilient, and inclusive future.

Stepping up in a time of uncertainty.
The title of our Annual Report reflects our determination to step
forward, with a sense of urgency, when the world needs us most.
In an environment fraught with uncertainties, confronting mounting
challenges with decisiveness and resolve is the only way forward.

What does the new normal demand from IFC? This topic
has weighed heavily on my mind this year. I am incredibly
proud of what our team has accomplished in the face of
unprecedented uncertainty and growing fragility aroundthe world. Fiscal Year 2022 was another record-setting
year, with total investment commitments of $32.8 billion.
These investments created regional manufacturing hubsthat can produce vaccines and other essential goods,
helped commerce flow in fragile and conflict-affectedareas, and kept climate projects on track amid economic
anxiety that could have derailed them.
When I step back and reflect on the totality of IFC’s
accomplishments, a common thread emerges: IFC’s ability
to defy uncertainty and drive outcomes that change
lives. Our ability to step up in the most challengingcircumstances and bring others along. Our willingness
to take risks and seize opportunities.

Building Resilience
Countries around the world are carrying the weight ofconverging crises. They are feeling the pull to turn inward,
shore up resources, and focus on national concerns. Butstrong nations and close global ties are not and should not
be mutually exclusive goals.
To keep trade flowing across borders in turbulent times,
IFC committed record amounts in trade financing support
to emerging markets, especially low-income countries.

Another example of what is possible is building medicalsupply chains to address the pandemic. Since March 2020,
IFC has invested and mobilized more than $2.2 billion to
help get vaccines, personal protective equipment, andmedical supplies into emerging markets, with a special
focus on regional facilities and distribution channels in
Africa that can serve local populations long after theCOVID-19 crisis subsides.
The potential implications of this approach go far beyond
healthcare. We envision similar opportunities to build
resilient ecosystems in areas like agriculture — andtherefore food security — and housing. In fact, we plan touse our Global Health Platform as a model for addressing
food insecurity and targeting assistance to farmers,
food processors, and fertilizer distributors in developing
countries.
We will also continue to support opportunities thatconnect individuals with training, digital resources, andcapital to launch businesses. These investments are key
to driving the economic engines of emerging markets
and promoting the kinds of innovation that can reshape
the world.

Multidimensional Development
Consider the energy crisis in the developing world, where
600 million people in Africa alone still live without accessto electricity. The need to address this issue is not up
for debate. Yet the ever-worsening impacts of climatechange mean we cannot do it in the same way we always
have. We need to find a new path forward: one thatcombines advancements in sustainable technologies,
massive investments in adaptation with innovativetrade agreements and financing tools. This is the only
way we are going to succeed in powering Africa — while
decarbonizing an industry that is one of the world’s largest
contributors to greenhouse gas emissions — and helping
middle income countries through their energy transition.
This is just one example of multidimensional development,
but there are countless others. We need to both expand
capital access for small businesses and invite in more
women and underrepresented minorities to take part. We
need to both build affordable housing and invest in moresustainable building materials.

It is hard to understate the power of these opportunities.
They have the potential to create true win-win scenariosthat benefit businesses, nations, and the entire globalcommunity. But they will also require sustained effort,
new partnerships, and close collaboration between thepublic and private sectors and international development
organizations like IFC.

Creating a Stronger IFC
In the new normal, we all have to get comfortable taking
on more challenges, which means taking more risks andbeing willing to push the envelope. We have to want more
for the future of the world, do more to achieve it, and be
more like the best versions of ourselves.
IFC has already taken so many important steps forward
to meet the demands of the moment. We continue toincrease our climate-related commitments, and we are ontrack for all direct investments to be aligned with the Paris
Agreement by 2025. We are also building on our legacy ofsetting global standards, launching new green taxonomies
for climate-friendly projects or issuing guidelines for blue
finance to promote the blue economy and save
our oceans.
We continue to build out our capacity for taking on boldrisks in a prudent manner. We know how important ourwillingness to push into challenging markets is, and weremain committed to charting paths that will encourageothers to follow. We intend to grow our use of blended
finance tools to help rebalance risks for private investors,
and we will keep taking chances on game-changing ideas
and innovations. We know not every investment is goingto pan out, but the potential impact of the ones that do
far outweigh the costs.
I am especially excited about the growth of our Upstream
program, which has truly gone mainstream and becomea central part of our operations. Now we’re shifting ourfocus to execute on a robust pipeline of commercially
viable projects and convert these ideas into investmentsthat move the needle and create new or expand existing
markets including in fragile countries.
But even with all these initiatives, there is still more wecan and must take on. That is why we are proactively“In an environment fraught
with uncertainties,
confronting mounting
challenges withdecisiveness and resolve
is the only way forward.”
improving how our organization works around the world.
We are implementing changes to IFC’s organizational
structure and decision-making frameworks that willremove silos, foster greater collaboration, and streamline
decision-making so that frontline staff, who know onthe-ground conditions best, can respond quickly andeffectively to clients.
My hope is that these changes will help optimize IFC
for the future. I want us to be an organization thatembraces change and nurtures talent. I want us tohave a culture that is diverse, lively, and inclusive. Put
simply, I want us to be nothing short of the very best in
global development — for our clients, for the people andcommunities we serve, and for ourselves.
The new normal is not something we should fear. It issomething that should inspire our work toward a better,brighter tomorrow.

Makhtar Diop
Managing Director

IFC OPERATIONAL HIGHLIGHTS
Dollars in millions, for the years ended June 30

Investment Commitments1

2022

2021

2020

2019

2018

$32,825$ 31,500$ 28,430$ 24,890$ 30,699

Long-Term Investment Commitments
FOR IFC’S OWN ACCOUNT$ 12,569$ 12,474$ 11,135$ 8,920$ 11,629

Number of projects

296		

313		

282		

269		

366

Number of countries

68		71		

67		

65		

74

$ 10,596$ 10,831$ 10,826$ 10,206$ 11,671

Syndicated loans$ 3,475$ 3,647$ 4,989$ 5,824$ 7,745

IFC initiatives & other$ 3,311$ 3,693$ 3,370$ 2,857$ 2,619

Asset Management Company (AMC) Funds

$$$

$

$

Advisory Mobilization3$ 3,562$ 3,246$ 2,417$ 1,137$ 1,044$ 23,166$ 23,305$ 21,961$ 19,126$ 23,301$ 9,659$ 8,195$ 6,469$ 5,764$ 7,398

For IFC’s account$ 13,198$ 11,438$ 10,518$ 9,074$ 11,149

Syndicated loans$ 2,589$ 1,309$ 2,231$ 2,510$ 1,984

TOTAL INVESTMENT DISBURSEMENTS$ 15,787$ 12,747$ 12,749$ 11,584$ 13,133

Number of firms

1,848		 1,822		 1,880		 1,930		 1,977

For IFC’s account$ 63,763$ 64,092$ 58,650$ 58,847$ 57,173

Syndicated loans$ 15,235$ 15,658$ 16,161$ 15,787$ 16,210

TOTAL PORTFOLIO EXPOSURE$ 78,998$ 79,750$ 74,811$ 74,635$ 73,383$ 250.6$ 244.0$ 274.4$ 295.1$ 273.4

MOBILIZATION2TOTAL LONG-TERM INVESTMENT COMMITMENTS

248244

50

388

263

Short-Term Investment Commitments
Annual Commitments4

Investment Disbursements

Portfolio Exposure5

Advisory ServicesAdvisory Services program expenditures
Share of program in IDA countries651% 		54% 		57% 		59% 		57%

1. Investment Commitments include Long-Term Investment Commitments and Short-Term Investment Commitments.
2. Defined as “core mobilization” — Non-IFC financing or risk sharing arranged on commercial terms due to the active and direct involvement of IFC for the benefit of a client. Excludes $895 million ofunfunded risk transfers that are accounted for under IFC’s own account.
3. Advisory Mobilization includes third-party private financing that has been mobilized for Public Private Partnerships, as a result of IFC’s role as lead transaction advisor. It also includes Corporate
Finance Services, for projects in which IFC has provided transaction advisory services to help private sector clients expand into new markets, diversify and restructure operations or bring in newequity investors.
4. FY20 Annual Report reflected Short Term Finance (“STF”) Average Outstanding Balance for FY17-FY19. FY21 Annual Report used Short-Term Investment commitment for FY17-FY21. In FY20 AnnualReport, Short-Term Investment commitment was reported as $6,473 million; the figure has been revised to $6,469 million. Short-Term Finance includes Global Trade Finance Program (GTFP) and Global
Trade Supplier Finance Program (GTSF).
5. Portfolio exposure is defined as the sum of the (i) committed exposure for IFC’s debt investments, (ii) fair market value of IFC’s equity investments, and (iii) total undisbursed equity commitments.
Effective July 1, 2018, to accommodate change in accounting standards impacting how IFC reports its equity holdings, IFC has introduced the new term “Portfolio Exposure,” which, instead ofdisbursed and outstanding balance, uses the fair market value of IFC’s equity investments. Therefore, FY19 onwards Portfolio Exposure For IFC’s account and prior years are not directly comparable.
6. All references to percentages of advisory program expenditures in IDA countries and fragile and conflict-affected areas exclude global projects.

FY22 RESULTS

Financial Highlights

FY22 Advisory Services Program Expenditures

Dollars in millions, as of and for the years ended June 30

Dollar amounts in millions

2022Net (loss) income

1Grants to IDA(Loss) income before grants to IDA

$2021

2020

4,209

$ (1,672)– 		213–(464)

$

2019
$

93

2018
$

1,280

– 		 80		(464) 		4,422 		(1,672) 		 93 		1,360

Total assets$ 99,010$ 105,264$ 95,800$ 99,257$ 94,272

Investments		44,093

44,991

41,13843,46242,264100%

Key Ratios

TotalAfrica
GlobalEast Asia and the Pacific
Latin America and the Caribbean
South Asia
EuropeMiddle East
Central Asia and Türkiye

Overall liquidity ratio

111%

114%

96%

104%

1.6

2.1

2.2

2.2

2.5

Capital available ($ in billions)

32.5

30.7

28.2

27.824.7

Capital required ($ in billions)

20.1

20.5

20.3

21.8

20.1

Total reserve against losses on loans tototal disbursed portfolio

By Business Area

4.4%

4.9%

6.3%

4.7%

5.1%

IFC Industries
Financial Institutions Group
Manufacturing, Agribusiness & Services
Transaction Advisory
Infrastructure & Natural Resources
Disruptive Technologies & Funds
Other Advisory, including Environment, Social & Governance
Creating Markets Regional Advisory“WE HAVE ENTERED A NEW NORMAL, ONE THAT WILLREQUIRE NEW PARTNERSHIPS AND CREATIVE MINDSETSTO PAVE THE WAY FOR A MORE SUSTAINABLE, RESILIENT,AND INCLUSIVE FUTURE.”
MAKHTAR DIOP, IFC MANAGING DIRECTOR

100%$ 98.7$ 31.2$ 28.9$ 26.1$ 20.0$ 19.9$ 14.9$ 10.9

39%
12%
12%
10%
8%
8%
6%
4%

$ 169.7		62.3		
44.0		
35.1		
22.6		5.7

68%
25%
18%
14%
9%
2%

$ 28.9$ 52.012%
21%

By Region

Debt-to-equity ratio

1.	Financial results are not directly comparable due to the adoption of ASU 2016-01 on July 1, 2019, which resulted in all unrealized
gains and losses on equity investments being reported in Net Income since the fiscal year 2019.

$ 250.6

FY22 Long-Term Commitments

FY22 Portfolio Exposure4

Dollar amounts in millions, for IFC’s own account as of June 30, 2022
Total

Dollar amounts in millions, for IFC’s own account as of June 30, 2022
$ 12,569

100.00%By Industry
Financial Markets
Infrastructure
Manufacturing
Health & Education
Funds
Agribusiness & Forestry
Telecommunications & Information Technology
Tourism, Retail & Property
Natural Resources 1$ 6,189$ 1,596$ 1,093
$ 809
$ 765
$ 706
$ 656
$ 655
$ 100

49.24%
12.70%
8.69%
6.44%
6.09%
5.62%
5.22%
5.21%
0.80%

$ 3,164$ 2,965$ 2,643$ 1,605$ 1,024
$ 906
$ 254
$
8

25.17%
23.59%
21.02%
12.77%
8.15%
7.20%
2.02%
0.07%

$ 10,190$ 1,622$ 720$
3881.07%
12.90%
5.72%
0.30%

By Product
Loans2Equity3
Guarantees
Risk-management products$ 63,763

100%$ 24,312$ 9,058$ 6,605$ 4,471$ 4,037$ 3,951$ 3,826$ 3,406$ 2,644$ 1,451

38%
14%
10%
7%
6%
6%
6%
5%
4%
2%

$ 13,345$ 12,956$ 12,593$ 8,637$ 5,641$ 4,357$ 3,620$ 2,614

21%
20%
20%
14%
9%
7%
6%
4%

$ 44,011$ 14,504$ 4,883
$ 364

69%
23%
8%
1%

By Industry

By Region
Latin America and the Caribbean
East Asia and the Pacific
AfricaSouth Asia
Central Asia and Türkiye
EuropeMiddle East
GlobalTotal

1. Includes IFC’s activities in oil, gas, and mining. ­2. Includes loan-type, quasi-loan products.
3. Includes equity-type, quasi-equity products.

Financial Markets
Infrastructure
Funds
Manufacturing
Health & Education
Agribusiness & Forestry
Tourism, Retail & Property
Trade FinanceTelecommunications & Information Technology
Natural Resources 1

By Region5
AfricaLatin America and the Caribbean
East Asia and the PacificSouth Asia
GlobalCentral Asia and Türkiye
EuropeMiddle East

By Product
Loans2Equity3
Guarantees
Risk-management products

4. Portfolio exposure is defined as the sum of the (i) committed exposure for IFC’s debt investments, (ii) fair market value ofIFC’s equity investments, and (iii) total undisbursed equity commitments.
5. Excludes individual country shares of regional and global projects.

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