Johannesburg, South Africa, June 30, 2020— IFC, a member of the World Bank Group, today announced a $185 million loan to The Standard Bank of South Africa Limited (SBSA) to help it expand its COVID-19 lending program to small and medium-sized enterprises (SMEs) and corporates affected by the pandemic.
IFC’s loan will help eligible SBSA clients to finance immediate COVID-19 relief and long-term investments, including the purchase and production of goods and services needed to cope with the effects of the pandemic and lockdown in South Africa.
Lungisa Fuzile, CEO of SBSA, said, “We take our responsibility as a corporate citizen seriously and value the ongoing collaboration with IFC. This transaction reflects Standard Bank’s commitment to supporting our clients through this pandemic.”
Adamou Labara, IFC’s Country Manager for South Africa, said, “This is an unprecedented crisis, with devastating health, economic and social consequences. Our experience from past shocks has taught us that keeping companies solvent is key to saving jobs and limiting the economic damage. That’s why it’s critical to work with institutions like Standard Bank to help companies access finance that will enable them to continue to operate during this time.”
The economic and social impact of the COVID-19 pandemic is expected to be substantial in South Africa, where many businesses are struggling as regional and global activities are disrupted across the tourism, manufacturing, agriculture, and other sectors.
IFC works with financial institutions in South Africa to help increase access to finance for SMEs, which play a critical role creating jobs.
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2019, we invested more than $19 billion in private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity. For more information, visit www.ifc.org.
About Standard Bank Group
Standard Bank Group is the largest African bank by assets with a footprint across 20 African countries. Headquartered in Johannesburg, South Africa, the bank is listed on the Johannesburg Stock Exchange and the Namibian Stock Exchange. The group has more than 53,000 employees, approximately 1,200 branches and over 9,000 ATMs on the African continent, which enable it to deliver a complete range of banking and related financial services.
June 30, 2020