ARAB INSURANCE GROUP

completed

Summary Of Project Information (SPI)Project NameBahrain-Arab Insurance Group (ARIG)Capital Restructuring & PrivatizationRegionCentral Asia, Middle East and North AfricaSectorProject No008556Projected Board DateOctober 8, 1997Company NameArab Insurance GroupTechnical Partner and/or Major Shareholders The company, prior to its privatization, is currently owned one-third each by the governments of the U.A.E., Kuwait and Libya.Project Cost Including proposed IFC investment Total Project Cost: US$250 million, IFC Investment: US$10 million (equity). Underwriting of up to US$7.5 million.Location of project and Description of site BahrainDescription of Company and Purpose of Project(include IFC’s Role and Development Impact) The project involves assisting ARIG with a US$250 million capital increase to meet growing business opportunities provided by the liberalization of the insurance sector in the Arab world. The project involves the privatization of a leading financial institution whose objective is to promote insurance in a region where this sector is underdeveloped.Environmental Category and Issues This is a category C project according to IFC’s environmental review procedure. No further review is necessaryDate SPI sent to PIC      September 8, 1997“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384