Our mandate is to encourage foreign direct investment to developing countries by providing noncommercial guarantees (that is, political risk insurance, credit enhancement products, and trade finance guarantees) to investors and lenders.
In fiscal year 2024 (FY24), the Multilateral Investment Guarantee Agency (MIGA) issued a record $8.2 billion in new guarantees across 40 projects. Through these projects, MIGA remained focused on encouraging private investment to facilitate economic development in host countries by helping clients manage and mitigate noncommercial risks. In FY24, 95 percent of the 40 projects supported at least one of MIGA’s strategic priority areas: Its commitment to International Development Association (IDA)–eligible countries was substantial, supporting 26 projects (65 percent of total projects supported). MIGA’s engagement in fragile and conflict-affected situations (FCS) was also notable, supporting 10 projects, representing 25 percent of the total projects supported. And climate finance initiatives were a significant focus this year, with MIGA issuing guarantees for 30 projects (representing 75 percent of the total projects).
As a result, the FY24 issuances are expected to achieve the following:
Provide 2.2 million people with access to mobile internet
Add 12.2 million new subscribers to mobile money services
Generate $657.8 million in tax revenue per year to host governments
Avoid more than 647,000 metric tons of carbon dioxide (CO2) emissions annually
In February, the World Bank Group announced that beginning on July 1, 2024, a new one-stop guarantee platform would bring together guarantee experts and products from across the organization. The platform is housed at MIGA, making it easier for clients to do business with the Bank Group.
An institution of the Bank Group, MIGA is committed to creating strong development impact and supporting projects that are economically, environmentally, and socially sustainable. MIGA helps investors mitigate the risks of restrictions on currency conversion and transfer, breach of contract by governments, expropriation, and war and civil disturbance. It also offers trade finance guarantees, as well as credit enhancement on obligations of sovereigns, sub-sovereigns, state-owned enterprises, and regional development banks.
