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International Finance Corporation: We’re Very Ambitious about India

International Finance Corporation: We’re Very Ambitious about India

Makhtar Diop the managing director of the International Finance Corporation (IFC) — a member of the World Bank Group headquartered in Washington, D.C.was interviewed by journalists from the Economic Times regarding IFC’s largest program,  India.
Makhtar Diop, IFC’s Managing Director
A lightly edited summary of the interview follows:
ET Interviewers: India is already IFC’s largest program. What kind of exposure are you looking at and what are the key areas of interest?
Diop: IFC would and should be doing more in terms of financial commitment because India’s economy is at a stage where we can bring in more. India can take advantage of supply chain evolution to localize supply chains.
On the manufacturing side, India has a good opportunity now to bring in FDI. Renewable energy and energy transition also present an opportunity. IFC will extend financing to MSMEs to build capacity and contribute to India’s efforts to become a manufacturing hub.
ET Interviewers: Is there enough private investment opportunity in the market?
Diop: There is an emphasis in India to be a significant part of global supply chains. There is also an opportunity to be a part of the semiconductor supply chain, as also in healthcare and pharmaceuticals, from traditional drugs to vaccines of the future, to genomics.

Over 20% of our portfolio here is in disruptive technology because we see an opportunity to combine the research and innovations in India with digitalization to play an important role in devising newer types of medicines that are more targeted, based on genomics, and tailored to diverse populations.

In India, we are looking at renewables. We will also look at frontier states. How we can help them to attract more private investments. We are very ambitious about India. We are looking to double our commitments to $1.3 to 2.5-3 billion over the next two years. India needs to continue investing in renewable energy supply chain, health, as well as logistics.

ET Interviewers: India will be taking over the presidency of the G20. What kind of agenda would you like to see?

Diop: India can play a bigger role in the energy transition. Increasing south-south investment. Raising foreign investments in fragile countries and supply chains in renewables should also be stressed. India can have a bigger role in mobilizing resources in the health sector in view of the pandemic, as well as in the social sector.
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