Guarantee Platform
World Bank Group Guarantees
This coverage represents an irrevocable commitment to cover a portion or all of a loan's outstanding principal in case of borrower default, reducing lender risk and enabling increased credit exposure.
This credit enhancement guarantee covers corporate bonds by guaranteeing principal and/or interest payments, leveraging our AAA rating to improve issuers' access to capital markets.
Our coverage assumes a portion of credit risk on loans without upfront funding, allowing lenders to offer larger financing amounts for higher-risk projects while benefiting from IFC's expertise.
Loss-sharing agreements where IFC reimburses originators for a portion of losses on loan/asset portfolios.
Our SRT coverage facilitates regulatory capital relief for banks by providing credit protection on specific loan portfolio tranches.
Protection against losses from a failure by a sovereign, sub-sovereign, or state-owned enterprise to make a payment when due.
Enhances sovereign creditworthiness to secure affordable commercial financing for budget support and policy reforms.
Covers debt service defaults to enable public borrowers to access financing for public investment projects.
MIGA’s Trade Finance Guarantee provides protection against losses resulting from the failure of a sovereign, state-owned bank or public authority to pay an unconditional financial obligation related to a trade finance transaction. Trade finance transactions are short-term loan facilities involving a borrower and a lender that importers and exporters and domestic traders use to acquire financing.
MIGA’s Trade Finance Guarantee provides protection against losses resulting from the failure of a state-owned bank or public authority to pay an unconditional financial obligation related to a trade finance transaction.
Protection against losses arising from certain government actions that may reduce ownership of the insured investment.
Protection against losses arising from an inability to legally convert local currency into hard currency.
Protection against loss from, damage to, or disappearance of tangible assets caused by political acts of war or civil disturbance.
Our Breach of Contract coverage provides protection against losses arising from a government’s breach or repudiation of a contract with an investor.
MIGA’s capital optimization product is designed for global retail banks with significant exposures to central banks in emerging markets.
Covers debt service defaults caused by governments failing to meet obligations under private sector project contracts.
Our Project-based payment guarantees cover defaults on non-loan-related government payment obligations (e.g., long-term offtake contracts) to private or foreign public entities arising from contracts, laws, or regulations.
The guarantee platform, housed at MIGA, will bring together World Bank Group guarantee products and experts for efficiency, simplicity, and speed.
Platform will revolutionize the landscape of development financing.
The guarantee platform will be a one-stop shop for all the institution’s guarantee business.