MIGA Guarantee to Expand Togo’s Trade Finance Activities
WASHINGTON, April 25, 2025 – The Multilateral Investment Guarantee Agency (MIGA), which houses the World Bank Group Guarantee Platform, issued a trade finance guarantee of €146.4 million ($167 million) to France-based bank Societe Generale for its loan to Togo, through the Ministry of Economy and Finance. The guarantee covers the risk of non-payment by the government on the short-term trade loan for up to three years.
MIGA’s guarantee will help the government unlock new and affordable liquidity for short-term trade finance transactions, essential for agriculture, electricity, and water sector development, at a time when the government is facing increasing liquidity pressures.
“MIGA’s guarantee is a critical step in providing the government of Togo with the necessary liquidity to support essential trade activities in agriculture, electricity, and water,” said Hiroshi Matano, MIGA Executive Vice President. “This guarantee will help ensure food security, improve access to clean water and reliable electricity, and ultimately contributes to the sustainable development and resilience of Togo’s economy during these challenging times.”
While the agriculture sector employs 40 percent of Togo’s workforce, it suffers from low productivity, limited access to quality inputs, and significant financing gaps. MIGA’s guarantee provides the government of Togo with access to trade finance, supporting essential trade activities, particularly in agriculture. This guarantee will also help catalyze a trade finance facility from an international private bank at significantly more affordable rates, addressing the substantial trade finance gap in the agriculture sector. It allows the government to continue supporting a crucial economic segment and preserving food security.
Additionally, facilitating imports of essential equipment for national water and electricity utilities contributes to inclusive and sustainable development, critical for the country's resilience against shocks and setting the foundation for sustainable growth.
“Trade loans and guarantees are pivotal for the sustainable development of many African countries which need to scale or adapt their infrastructures,” said Randolph-Davis Fotso, Head of Development and Structured Export Finance – Africa at Societe Generale. “Societe Generale is proud to support Togo’s growth through a dedicated trade loan, leveraging on the Bank’s recognized experience in development finance and the crucial support of MIGA to offer innovative solutions.”
The project aligns with the World Bank Group's Country Partnership Framework for Togo FY25-FY29, which aims to increase quality employment in the private sector and improve human capital. It also aligns with MIGA's FY24-26 Strategy and Business Outlook, supporting the expansion of trade finance and helping MIGA increase its presence in International Development Association countries.
About Societe Generale
MIGA has 14 guarantee contracts with Societe Generale, a top-tier European bank. Serving more than 26 million clients in 62 countries across the world, Societe Generale has been supporting the development of our economies for 160 years, providing its corporate, institutional, and individual clients with a wide array of value-added advisory and financial solutions.
About the World Bank Group Guarantee Platform
Initiated in 2024, the World Bank Group Guarantee Platform consolidates guarantee products and experts from across the World Bank Group at MIGA. It provides a simplified and comprehensive menu of guarantee solutions, enabling clients to select the instrument that best suits their needs. The platform streamlines processes, removes redundancies, and provides greater accessibility by de-risking investments in developing countries. Its goal is to boost the World Bank Group’s annual guarantee issuance to $20 billion by 2030.
For more information about the guarantee platform, please visit:
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In Washington: Elizabeth Howton, (202) 458-5922 or ehowton@worldbankgroup.org