The International Finance Corporation (IFC), a member of the World Bank Group, and the Mayor’s Office of the City of Almaty on February 25 signed an agreement by which IFC will be supporting the municipality to access long-term capital and ramp up its investments in critical infrastructure.
Almaty is the largest city in Kazakhstan with a fast-growing population of 1.8 million. IFC will help identify long-term private finance solutions to support the city’s ambitious infrastructure program. This includes expanding basic services available to the population such as urban transportation, water and waste management, as well as affordable housing. Furthermore, IFC will provide advice on obtaining a credit rating from one of the major international ratings agencies, a step that would also help the city to attract long-term commercial investment.
“IFC has vast international experience in supporting the sustainable development of urban infrastructure projects through public-private partnerships and in helping cities access long-term financing,” said Bauyrzhan Baybek, the mayor of Almaty. “IFC’s expertise will help make the city’s infrastructure projects more attractive to investors, mobilizing foreign investment and improving essential services.”
Almaty is also Kazakhstan’s business, financial and cultural center, accounting for about 20% of the country’s gross domestic product.
Georgina Baker, IFC Vice President for Latin America and the Caribbean, Europe, and Central Asia, said: “Today’s announcement is only a first step in building a long-term strategic partnership with the City of Almaty. Our objective is to help spur investments and support Almaty in expanding services to more of its residents.”
This collaboration is part of IFC’s Cities Initiative, an innovative approach to problem-solving for urban centers that creates markets and opportunities for investment.
