UK agency makes £420m profit in poor countries

03 Jul 2015
Financial Nigeria

Summary

According to CDC, the value of assets in its portfolio grew from £2.9 billion in 2013 to £3.4 billion in 2014.

Picture from CDC's case study project

The United Kingdom’s development finance institution, CDC Group plc, said last month that it helped create 1.3 million new jobs in Africa and Asia in 2014, while turning a profit of £420.2m. Announcing its latest results, the development agency said it has fulfilled two key pillars of its mandate by delivering development impact in poor countries while being financially sustainable.

According to CDC, the value of assets in its portfolio grew from £2.9 billion in 2013 to £3.4 billion, from 19 new investment commitments it made last year, totalling £296.5m. The 2014 profit is significantly higher than 2013’s £117.3m profit.

The agency reported that businesses in CDC’s Africa and South Asia portfolio directly employed 533,000 workers and were responsible for a further 10.8 million people when indirect employment effects, such as their supply chains, wages and increased access to power and financial services were taken into account.

Diana Noble, CDC’s chief executive, said: “I am hugely encouraged by our new analysis that suggests CDC’s portfolio of companies in Africa and South Asia contributed to the creation of nearly 1.3 million new direct and indirect jobs last year.”


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