Commercial Bank of Zimbabwe

completed

Summary Of Project Information (SPI)Project NameZimbabwe-Commercial Bank of ZimbabweRegionSub-Saharan AfricaSectorProject No008907Projected Board DateJune 30, 1998Company NameCommercial Bank of Zimbabwe LimitedTechnical Partner and/or Major Shareholders Local institutional investors and shareholders      Project Cost Including Proposed IFC Investment US$22.5 million including a US$7.5 million IFC equity investment and US$15 million IFC ‘A’ Loan.Location of Project and Description of Site throughout Zimbabwe Description of Company and Purpose of Project The project is intended to support the privatization of CBZ, the largest GoZ owned bank and the third largest financial institution in Zimbabwe, through the participation of IFC and a reputed technical partner as well as the provision by IFC of forex term-finance resources. IFC will play a very important catalytic role in this project as its participation is critical for completing the privatization of CBZ. Similarly, the project has a number of developmental benefits. First, the partial divestment of IFC’s shareholding to CBZ’s staff will empower local Zimbabweans. Second, the proposed IFC loan would channel much needed foreign exchange term-finance to private sector Zimbabwean enterprises.     Environmental Category and Issues This is a Financial Intermediary (FI) category project according to IFC''s environmental review procedure. CBZ will be required to undertake an environmental review of eligible borrower''s environmental performance and each sub-project''s compliance with the Government of (country) environmental, health and safety laws, regulations and standards as well as applicable World Bank policies and guidelines. In addition, IFC will assess CBZ''s capability to carry out environmental reviews.            Date SPI sent to InfoShop      February 20, 1998“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