IFCA, Central Asia investment facility : Operational report 2010-2011

In 2010 the EU launched the Investment Facility for Central Asia (IFCA) to help address the challenges faced by Central Asian countries in financing key infrastructure mainly in the field of energy, environment and social sectors or to develop and promote private sector activity, especially Small and Medium size Enterprises. IFCA is a financial mechanism based on a mix of grants provided by the EU Development Cooperation Instrument (DCI) and loans provided by European Finance Institutions aiming at encouraging beneficiary governments and public institutions to carry out essential investments. The IFCA was formally adopted in April 2010 and launched officially during the meeting of the First Strategic Board in July 2010. The IFCA contributes to achieving the objectives of the Development Cooperation Instrument and the Regional Strategy for Central Asia, addressing also newly identified challenges such as climate change and its impact on the environment. Pooling resources through IFCA will contribute to improving the coordination and coherence of donor actions and directly contribute to the principles agreed by the Paris Declaration and the Accra Agenda for Action