Zain Iraq II (IFC-39715)

Countries
  • Iraq
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
ATHEER TELECOM IRAQ LIMITED
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Communications
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 300.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 348.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ IFC website

Updated in EWS Jul 12, 2018

Disclosed by Bank Jan 24, 2018

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

The proposed investment will be mainly used to support the investment program of the company throughout 2019, including the expansion of the 3G network and enhancement of capacity and quality of the 3G network, which is the only means to access to broadband for many of the Iraq population. The roll-out program will partially involve transformation of existing 2G sites to 3G by installing radio equipment on existing towers, development of new rooftop sites and greenfield tower sites, network and power modernization through software investments and license applications. The company is also considering expanding its fiber-optic network installation.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The total project cost is US$ 348 million to be funded with IFC syndicated facility of US$300 million and internal cash generation of US$ 48 million. 

 

The proposed investment of up to US$300 million consists of an IFC A Loan of up to US$100 million, a loan of up to US$75 million from the Managed Co-Lending Portfolio Program (“MCPP”), and B/parallel loans of up to US$125 million.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

Zain Iraq is 76% owned by Mobile Telecommunications Company K.S.C. of Kuwait (“Zain Group” or the “Group”). The remaining shares in Zain Iraq (24%) are owned by Mr. M. AlCharchafji, an Iraqi national and one of the founding shareholders. 

 

Zain Group is a Kuwait based telecommunications group, with operations in 9 countries in Middle East and Africa. The Group owns majority stake in the businesses in Kuwait (100%), Iraq (76%), Sudan & South Sudan (100%), Jordan (96%), Bahrain (55%), minority stakes in Saudi Arabia and Morocco and has a management contract in Lebanon. Zain Group is listed on the Kuwait Stock Exchange. Kuwait Investment Authority (“KIA”) owns 24.6%, Omantel Telecommunications recently acquired 21.9% and the remaining 53.5% shares are owned by public shareholders. KIA is a sovereign wealth fund of Kuwait.         

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Atheer Telecom Iraq Limited Client -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

ATHEER TELECOM IRAQ LIMITED
SAMER MUSLEH
CHIEF FINANCIAL OFFICER
+964 780 296 9854
Samer.musleh@zain.com
Bldg. 47, Str. 14,District 605 Hay Al Mutanabi, Al Mansoor, Baghdad, Iraq
www.zain.com

 

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

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How it works