Press release number: IFAD GC/05

Rome, 22 February 2001. The 24th session of the Governing Council of the International Fund for Agricultural Development (IFAD), a specialised agency of the United Nations, has elected Mr Lennart Båge from Sweden as its President for a four-year term. He will be the first President of IFAD from an OECD country. Mr Båge, who takes over from Mr Fawzi H. Al-Sultan on 1st of April 2001, is presently Head of the Department of International Co-operation, Ministry of Foreign Affairs, Sweden. He has also served as Ambassador and as Assistant Under Secretary at the Ministry of Foreign Affairs.

Mr Båge has 25 years of experience in development co-operation, including rural development, on project programme and policy levels. He has been involved in the activities of the IFAD for 10 years. Mr Båge headed more than 70 Swedish delegations to bilateral and multilateral meetings around the globe and represented Sweden in several international resource mobilisation negotiations of IFAD and International Development Association of the World Bank. He also has a longstanding and active involvement in the United Nations system and multilateral finance institutions such as the Inter-American Development Bank, Asian Development Bank and the African Development Bank.

Mr Båge was one of the four candidates who had been officially nominated by the governments of Iran, Nepal, Sweden and the United Kingdom. The three other candidates in surname alphabetical order were Mr. Anthony Beattie of the UK, Ms Chandni Joshi of the Kingdom of Nepal and Dr Seyed Mohammad Saeid Noori Naeini of the Islamic Republic of Iran. The election of Mr Båge was announced Thursday by the Chair of the Governing Council, Ms Kirsti Lintonen, Ambassador of the Republic of Finland.

The Governing Council is IFAD's highest decision-making authority, comprising of 162 Member States. A Governor and an Alternate Governor represent each Member State. The Governing Council determines the Executive Board, which is responsible for overseeing the general operations of IFAD and for approving loans and grants. Votes in the Governing Council are comprised of original votes and replenishment votes.

In line with the Fund’s special focus on the alleviation of rural poverty in developing countries, the bulk of its resources are made available to low-income countries on highly concessional terms, repayable over 40 years, including a grace period of ten years and a 0.75 percent service charge per annum. Loans may also be provided on intermediate and ordinary terms, which are less concessional. Since its establishment, IFAD has financed 578 projects in 115 countries and independent territories, to which it has committed USD 6.93 billion in grants and loans.

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IFAD is a specialised agency of the United Nations with the specific mandate of combating hunger and poverty in the most disadvantaged regions of the world. Since 1978 IFAD has financed 578 projects in 114 countries, allocating almost US$ 7 billion in the form of loans and grants. Through these projects, about 250 million rural people have had a chance to move out of poverty.

IFAD makes the greater part of its resources available to low-income countries on very favourable terms, with up to 40 years for repayment and including a grace period of up to ten years and a service charge of 0.75% per year.