Makhtar Diop, former Senegal finance minister, becomes first African to head IFC

The World Bank has appointed Makhtar Diop, former Senegal minister of economy and finance, as managing director and executive president to head the International Finance Corporation (IFC), with effect from March 1, 2021.

This was announced on Thursday, in a statement by David Malpass, president of World Bank Group.

The job of IFC chief has traditionally gone to a European, however, this makes it the first time someone from Africa will head World Bank’s private sector unit.

Diop’s appointment follows that of Ngozi Okonjo-Iweala who was recently elected as director-general of the World Trade Organization (WTO).

Speaking on Diop’s appointment, Malpass said: “He has deep development and finance experience and a career of energetic leadership and service to developing countries in both public and private sectors.”

“Diop’s skills at IFC will help the World Bank Group continue our rapid response to the global crisis and help build a green, resilient, inclusive recovery.

“We need business climates and thriving businesses that attract investment, create jobs and foster the scaling up of low carbon electricity and transportation, clean water, infrastructure, digital services, and the wide range of development success that are key to our mission of poverty reduction and shared prosperity.”

According to the statement, Diop’s key responsibilities will be to deepen and energize IFC’s 3.0 strategy of proactively creating markets and mobilizing private capital at significant scale; deliver on the IFC capital package policy commitments including increased climate and gender investments and support countries facing fragility, conflict and violence (FCV).

World Bank said he will also strengthen the linkages between IFC, World Bank, and Multilateral Investment Guarantee Agency (MIGA) as the bank accelerates efforts aimed at boosting good development outcomes in client countries.

Diop is currently serving as the World Bank vice president for infrastructure, where he leads the bank’s global efforts to build effective infrastructure in developing and emerging markets that supports inclusive and sustainable growth.

In his current role, he also oversees the bank’s critical work across energy and transport sectors, digital development, and our efforts to bring more quality infrastructure services to communities through public-private partnerships.

Diop replaces Philippe Le Houerou, who stepped down in September 2020 after more than four years as the IFC’s CEO.