IFC as implementing entity of the GAFSP Local Currency Pilot (GAFSP LC Pilot) facility is expected to provide approximately US$0.55 million in the form of a concessional swap rate buydown (SRB) to support the financing of the Project in local currency, allowing for an all-in target rate that meet the client’s needs. Without the support from GAFSP, the additionality and development impact associated with the Project would not be achievable due to the participation constraint faced by IFC caused by the high cost associated with long-term local currency financing in Senegal. IFC is open to engaging with other players in the poultry farming and processing sector on similar structures to achieve development impact in the region. The level of concessionality (i.e., “subsidy”) provided by the blended concessional finance co-investment is estimated to be approximately 5.5% of the total project cost. The total cost of the project is approximately US$10.12 million. This estimate is based on the difference between (i) a “reference return” (either a market return if available; the return calculated using IFC’s return model, which comprises three main elements: risk, cost and profit; or a negotiated return) and (ii) the “concessional return” being obtained by the blended concessional finance co-investment. Furthermore, subject to client appetite and considering the project’s gender flag, a gender-lens performance-based incentive (PBI) instrument potentially through the IFC-Canada Facility for Resilient Food Systems (FRFS) may be considered. As is the case with all of IFC’s blended concessional finance co-investments, this project has been assessed against the Enhanced Blended Concessional Finance Principles for DFI Private Sector Operations adopted by IFC and more than 20 other DFIs in 2017. Further information on these Enhanced Principles, IFC’s blended finance approach and governance, and historical information on estimated subsidy levels in IFC’s blended finance portfolio can also be found at: www.ifc.org/blendedfinance.

5.68 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	5.68
Equity

* These investment figures are indicative

The proposed investment is aligned with IFC’s strategic approach to Agribusiness. It will enhance food and nutrition security by improving access to poultry products in Senegal. The Project is also expected to contribute to the surrounding community through the new jobs created to operate the expanded facilities and along the poultry supply chain. Project level outcomes: (i) Stakeholder (farmers) - increased farmer’s access to poultry inputs such as DOCs and feeds to improve productivity; (ii) Stakeholder (consumers) - contribute to food security by increasing the volume of protein-rich poultry products sold to consumers and improving dietary diversity of households in Senegal and (iii) Economy wide effects - increased value addition and direct job creation along the poultry value chain. Beyond the Project, IFC expects the investment to contribute to increasing competitiveness of the sector in Senegal.

Financial Additionality: Financing structure: IFC offers long term financing on terms that are otherwise not available in Senegal (8 years tenor with 3 years grace), and GAFSP LCF that adds value by mitigating the risks of currency depreciation, convertibility/transferability and provide a viable local currency rate. Over the past 12 months, the total face value of Euro syndicated loans was 0.11 billion. However, there were no Euro corporate bond issued during the period. Further, there were neither EUR syndicated loans nor corporate bonds issued in Agribusiness sector. Non-financial Additionality: Knowledge, innovation and capacity building: IFC, through advisory services, will help strengthen COUVOIR AMAR biosecurity at the poultry farms and hatchery, and food safety at the feed mill. Additionally, IFC assessment will help strengthen the Company’s E&S management system, in line with international standards.

Indicator	Metrics	Comments	Calendar Year 2022	Calendar Year 2023	Calendar Year 2024
Farmers Reached : (target group)	individuals		Not Available	Not Available	Not Available
Farmers Reached : financial assistance	number		Not Available	Not Available	Not Available
Farmers Reached : technical assistance	individuals		Not Available	Not Available	Not Available
Female Farmers Reached : (women)	individuals		Not Available	Not Available	Not Available
Direct Employment (#) Operations And Maintenance	individuals		Not Available	Not Available	Not Available

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.