Summary of Proposed Investment
Project Number
3698
Company Name
Uganda Leasing Company
Date SPI Disclosed
Jan 22, 1996
Country
Uganda
Industry
Financial Markets
Status
Completed
Sector
Leasing Services
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : Aug 11, 1994
Signed : Dec 19, 1994
Invested : Apr 4, 1995
Project Description
Summary Of Project Information (SPI)
| Project Name | Uganda:Uganda Leasing Company |
| Region | Sub-Saharan Africa |
Sector
Project No003698
Projected Board DateFebruary 26, 1996
Company NameUganda Leasing Company (UL)
Technical Partner and/or Major Shareholders
Development Finance Company of Uganda (DFCU) was the project sponsor and is the largest shareholder with 35% of the equity. IFC is a 18.75% shareholder in UL and a 25% shareholder in DFCU.
Project Cost Including proposed IFC investment
US$2 million
Location of project and Description of site
Kampala, Uganda
Description of Company and Purpose of Project
UL started operations in mid-1995 as the first dedicated leasing company in the country, with a capital of US$1.5 million equivalent. To enable it to undertake foreign currency denominated leases it requires term funding. Given that it has no credit history, and the shortage of such funding from local institutions in Uganda, it is necessary that UL raise loans from its shareholders, and in due course from overseas lenders. The proposed loan from IFC will enable UL to write foreign currency denominated leases for export oriented companies in Uganda.
Environmental Category and Issues
This is a financial intermediary(FI)) category project according to IFC’s environmental review procedures. The Company is required to undertake an environmental review of each eligible lessee’s compliance with Government of Uganda’s environmental and occupational health and safety laws, regulations and standards as well as World Bank policies. In addition, IFC will assess UL’s capability to carry out environmental reviews.
| Date SPI sent to PIC | January 22, 1996 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Sponsor / Cost / Location
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