OUR IMPACT
Asia and the Pacific
The East Asia and Pacific region remains one of the fastest growing and most dynamic regions in the world. Over the past two decades, most countries in the region have achieved strong and stable growth that has lifted hundreds of millions of people out of poverty and transformed economies across the region. Many East Asia and Pacific countries have risen to upper-middle income status and have set the goal of reaching high-income status in the near to medium term.
For South Asia, growth is expected to increase to 6.4 percent this year, exceeding earlier projections and keeping the region on track to be the fastest growing in the world. Unlocking untapped potential by increasing women’s participation in the labor force and opening further to global trade and investment could help the region grow even faster and achieve its development goals.
In FY24, MIGA issued a guarantee of up to $132 million to MUFG Bank of Japan to support financing for the construction of an 1,840-kilometer-long electric high-speed freight-only railway system in India. In the same year, MIGA issued a second guarantee of $317.5 million to Citi, Crédit Agricole Corporate and Investment Bank, and Standard Chartered Bank for their loan to the State Bank of India, supporting innovative solar rooftop systems in India.
Recently, MIGA supported a hydropower plant project in the Solomon Islands and an electric transmission line project in Cambodia, issuing $88.1 million in total in the EAP region. Additionally, both these projects represented the first guarantees issued by the Agency in the two countries. For South Asia, MIGA issued guarantees for $444.2 million to support two projects. The first project was a Political Risk Insurance (PRI) guarantee for $87.4 million in relation to a hydropower project in Nepal; the second project was a Non-Honoring of Financial Obligations (NHFO) guarantee for $356.8 million in relation to a fertilizer production facility in Bangladesh.
EXAMPLES OF MIGA-SUPPORTED PROJECTS IN ASIA AND THE PACIFIC
Bangladesh
In 2022, MIGA issued guarantees totaling $407 million for the acquisition and refinancing of a power plant in Bhola District in Bangladesh.
The guarantees will cover equity investments by Actis against the risk of breach of contract-arbitral award default for a period of up to 20 years. Acquisition will ensure highly efficient electricity supply, improve resilience to flooding to benefit the local community, and mobilize two international commercial lenders entering Bangladesh for the first time.
Contact Us:
- Shuichi Hayashida Head of East Asia and Pacific
- Timothy Histed Head of Thailand
- Jaeyoung Jin Head of South Korea
- Lin Cheng Head, China