Multilaterals will become increasingly important in the project finance world in the coming years. As the credit crunch bites and commercial bank liquidity become more constrained, the multilaterals will need to step up to the plate to allow deals to get done.
Multilateral development banks are in demand once again from the project finance community, given the credit crunch. But while the MDBs are gearing up for more business, they are not a panacea for market ills. By Rod Morrison.
When project financings for developing countries declined by 53% from 1997 through to 1999 and, following a recovery in 2000, declined again by 39% from 2000 though to 2002, it was hoped that multilateral development banks (MDBs) would step in to fill the gap left by the exit of commercial banks. By Bob Sheppard, co-chair, Infradev.
Inside a midtown Manhattan high rise office building, a project finance banker discussed the extreme lack of capital, lack of syndications and overall lack of confidence within the financing market. While most of the usual suspects had no money, one source reigned over all: “The IFC is king,” he said. By Alan Gersten.
The Asian Development Bank (ADB) is a child of post-WW2 efforts to rehabilitate and reconstruct a primarily agricultural Asia-Pacific region. By John Arbouw.
China Export Import Bank has been in the news lately, but Sinosure, the insurance provider, has been less active. Minerva Lau writes.
With the European market comprising development banks and export credit agencies from several counties, there is an abundance of initiatives organised by international development finance institutions (IDFIs) to help projects get off the ground in the credit crisis. By Greg Roumeliotis.
The Rabai IPP in Kenya won PFI's African Power Deal of the Year 2008 award for getting a rare project done in a country that sees little project finance activity. Three months later, the same group of West European DFIs reached financial close on the Olkaria III IPP in the same country. By Mark Kolmar.
Millennium Challenge Corp has launched a new effort to help "compact countries" pursue public-private partnerships. By Deirdre Fretz.