UST Hospital (IFC-49706)

Countries
  • Yemen
Geographic location where the impacts of the investment may be experienced.
Specific Location
University of Science and Technology Main Campus, Al-Shaab Street, Inma City, Aden, Yemen
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
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
Approved
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."
Voting Date
Jul 18, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Al-Mawarid International Company for Educational and Health Services
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Education and Health
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)
$ 22.00 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)
$ 60.00 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 22, 2024

Disclosed by Bank May 28, 2024

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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.

According to the Bank’s website, Al-Mawarid International Company for Educational and Health Services (“Al-Mawarid International”, the “Company”) is a leading education and healthcare providers in Yemen operating under the University of Science and Technology (“UST”) brand name. The Company was established in 1992 and relocated its headquarters to Aden in 2020 after withdrawing active management from its northern Yemen operations which are currently under a different management unrelated to Al-Mawarid International.Through the proposed investment, IFC will support Al-Mawarid international to establish a 250-bed teaching hospital, including a potential 1–2-megawatt captive solar plant, adjacent to UST's medical college at its headquarters in Aden (the “Project”). The Project will be executed in two phases with the target to complete the first phase in 2024, aiming to delivering a 68-bed inpatient department, ancillary unites, and specialized outpatient clinics.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

This is a category B project according to IFC’s Policy on Environmental and Social Sustainability (2012). The proposed project will have limited adverse environmental and social (E&S) impacts that are few, site specific, largely reversible and readily addressed through existing mitigation measures and good international industry practices (GIIP).

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

The total cost of the Project is estimated at about US$55-60 million. The proposed IFC investment is a US$22 million A loan for IFC’s own account and is expected to be committed in tranches.

The Project may be supported by the IDA20 Private Sector Window Blended Finance Facility (IDA PSW BFF), subject to obtaining the necessary internal approvals, as described in the Blended Finance section.

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.

Al-Mawarid International Company for Educational and Health Services is a closed shareholding company. The Company is majority owned by (i) Prof. Dr. Abdulaziz Ahmed Al-Kebab: 25.5%; (ii) Sheikh Omar Saleh Babakir: 13.3%; (iii) Sheikh Salem Saleh Baazim: 12.0%; and (iv) Thabet Investment Company: 7.0%.  

The Project will be implemented by The Development Company for Education and Health Services Ltd (“OpCo”) a subsidiary of the Al-Mawarid International. This entity is 52.2% owned by the Company and was established in 2023 with the sole aim of building and operating UST’s new teaching hospital in Aden. Other major shareholders in the OpCo includes: (i) Dar Al Wafaa Contracting: 20.4%’ (ii) Khaleej Haqqat Services Company Limited: 8.1%; and (iii) Ezz El-Din Othman Ghanem: 6.3%.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Al-Mawarid International Company for Educational and Health Services 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.

Al-Mawarid International Company for Educational and Health Services
Mr. Mohammed Mutohher
Chief Financial Officer
+96702368633
info@ust.edu
Al-Shaab Street, Inma City, Aden, Yemen
www.ust.edu/en/

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

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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