Created in 1973, State Bank of Mauritius is a successful universal bank with traditional corporate and retail services, international operations and non-banking services. It is one of the largest financial institutions in Sub-Saharan. With 1,100 employees, it has three branches in India and a wholly owned subsidiary bank in Madagascar. The bank is publicly traded and has been listed on Stock Exchange of Mauritius in 1995.

State Bank of Mauritius is attempting plans to raise $ 200 Million in 5 year term loan. IFC’s share amounts to $ 75 Million in the form of a senior 5 year term loan to be repaid on maturity date.

75.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	75.0
Equity

* These investment figures are indicative

State Bank of Mauritius is headquartered in Port Louis, capital of the Republic of Mauritius. It has branch offices throughout the country, three branches in India and a wholly owned subsidiary in Madagascar with two branches. Loan proceeds will be deployed across the country and nearby region.

The IFC advisory services program and accompanying investment in SBM is expected to deliver a measurable economic (financial) and sustainable (non-financial) development impact by:
1. Funding through SBM, those investments in IFC target areas that are often short of medium-term hard currency funding such as Infrastructure (including sustainable, renewable clean energy), Education, Healthcare, and Agri-business; and
2. Increasing access to finance for SMEs through a proven approach to capacity building and introducing SME credit rating review by linking in the IFC MSME business methodology.

IFC Business Edge Program is a unique replicable tool developed and tested by IFC in other markets with strong relevance to the needs of Mauritius . SBM will leverage IFC experience in the MENA region with similar types of banks to foster greater understanding of SME culture, knowledge, and business methodology. The Project also has a strong demonstration effect as SBM strengthens its SME agenda. Access to medium term foreign exchange through the senior loan will also enhance their regional role and allow for greater investment in infrastructure, health, and education.

This project has been classified as a Category FI project according to IFC’s Environmental and Social Review Procedure. During appraisal, IFC analyzed the FI portfolio for types of transactions, size, tenor and industry sectors and determined as the Applicable Performance Requirements the IFC Exclusion List, the applicable National Social and Environmental Laws and regulations and the IFC Performance Standards. IFC will also appraise the FI’s labor practices according to the IFC’s Performance Standards 2: Labor and Working Conditions and review the capacity of the FI to manage social and environmental risks and to establish and maintain a Social & Environmental Management System (SEMS). If required, IFC will suggest Supplemental Actions to address any gaps in the SEMS. The project will be required to: (i) Develop an, or upgrade, if necessary, any existing Social & Environmental Management System (SEMS), prior to disbursement to the satisfaction of IFC, (ii) Identify responsible, qualified persons to manage and implement the SEMS, (iii) Commit to implement the SEMS, to ensure that its activities are in compliance with the Applicable Performance Requirements, (iv) Demonstrate commitment to applying the labor standards established by the IFC Performance Standard 2: Labor and Working Conditions, and (v) Submit a periodic report to IFC as per a format to be provided by IFC.