On August 23, 2011, MIGA issued guarantees totaling $217.7 million covering an investment through financing by BNP Paribas and Société Générale of France in a passenger-car ferry to be acquired by the Compagnie Tunisienne de Navigation SA (CTN) in Tunisia. The coverage is for a period of up to 13 years against the risks of non-honoring of sovereign financial obligations.
The project involves the financing of a ferry with a capacity of 3,200 passengers and 1,060 cars to be built by Daewoo Shipbuilding & Marine Engineering (Daewoo) of Korea for Compagnie Tunisienne de Navigation SA (CTN) of Tunisia. CTN will be the borrower of a loan to be provided by BNP Paribas and Société Générale that will be used to finance the purchase of the vessel. MIGA has been asked to provide non-honoring of sovereign financial obligations cover on a guarantee provided by the Tunisian Ministry of Finance.
The project will help secure Tunisia’s main transportation link with Europe, key to the country’s continued economic development.
MIGA’s support is particularly important in the current Tunisian context following the events that occurred in January 2011. No other political risk insurance cover was available for the project.
MIGA’s efforts complement the World Bank Group’s commitment to the country at this time of transition.