Announcement of IFC Supports Philippine Small Business Development on April 23, 1980

International Finance Corporation • 1818 H Street, N.W. Washington, DC. 20433, U.S.A . 202-477-1234 IFC Press Release No. 80/23 Wednesday, April 23, 1980 IFC Supports Philippine Small Business Development Ventures in Industry and Business Er,terprises, Inc. (VIBES), a Philippine financial institution assisting small and medium-scale enterprises, will expand its operations with the assistRnce of the International Finance Corporation (IFC). The more than 45,000 smaller enterprises in the Philippines are an important factor in the economy but many are hampered by inadequate capital and insuffi- cient business experience. VIBES' objective is to assist these ventures by providing equity and quasi-equity financing and by offering business advisory services. In order to expand its operations, VIBES is increasing its capital from •• $680,000 at present to $1.15 million in 1980 and to $1.36 million in 1981. is supporting the increase by investing $277,400 in the Company's share capital. VIBES offers several forms of assistance to small and medium-scale enter- IFC prises: direct equity and equity-type investments; working capital on a profit- sharing basis; arranging for additional finance from institutional sources;. financial, administrative and organizational advisory services; and bulk raw material procurement programs. The Company, in its operations, gives priority to small and medium-scale enterprises which are engaged in export-oriented activities, are labor intensive and use indigenous raw materials. VIBES was organized by a group of prominent Philippine institutions in order to further economic development. The sponsors are the Philippine Commercial and Industrial Bank, the Land Bank of the Philippines, First Philippine Holdings Corporation and the Development Academy of the Philippines . • [Any inquiries strictly relating to IFC's participation in this project should be directed to the IFC Information Office, 1818 H Street, N. W., Washington, '). C. 20433, Telephone (202) 676-0394.]