sprang out of conversations started at the IFC following the 2013 Rana Plaza factory
collapse in Bangladesh, which left more than 1,100 dead and prompted
new scrutiny of international fashion brands’ supply chains.
disaster, the IFC started offering low-interest loans to improve safety
conditions in factories in Bangladesh, the world’s second-largest supplier to
the garment industry behind China.
initiative is intended to provide even greater incentives to improve conditions
by offering better-performing contractors the chance to reduce their cost of
IFC, Levi Strauss suppliers will have access to cheaper capital than they would
otherwise in their home countries. But Olaf Schmidt, who heads the IFC’s global
retail practice, said those suppliers that did best on labour, safety and environmental
standards would get a further discount of up to 50 basis points on the interest