Zain Malawi Dist

completed

IFC will provide a partial credit guarantee as part of a risk sharing facility of approximately MK2 billion with Standard Bank Malawi Limited (“Standard Bank” or the “Bank”), which will provide local lending to small and medium enterprises (SMEs) that distribute mobile telephone air time for Zain Malawi Limited (“Zain”). The proposed risk-sharing facility will enable Zain’s distributors to access financing from Standard Bank on favorable terms than currently available. The Project aims to: (i) provide Zain’s distributors with better access to financing on favorable terms; (ii) allow Standard Bank to expand its lending to this sector with lower risk of loss; and (iii) improve the ability of Zain to reach previously underserved market segments in Malawi. In addition to facilitating funding, IFC, in collaboration with our Advisory Services Unit, will provide a training and capacity building program for Zain’s distributors to help improve their management skills and credit profile.