Working with Investors

MIGA’s support for Japanese companies represents the sixth highest among all its investor countries, with the Agency currently providing over $1.61 billion in guarantees for Japanese investments across the globe. We have worked together to channel sizeable investments to help promote economic growth and job creation, as well as improve local people’s lives in a number of developing countries, including Ghana, Indonesia, Mongolia, Pakistan, Panama, South Africa, Turkey, Vietnam, and Zambia.

In addition to private investors from Japan, MIGA also collaborates regularly with Nippon Export Investment and Insurance (NEXI) and the Japan Bank for International Cooperation (JBIC) to support private cross-border investors around the world.

In recent years, MIGA has been steadily increasing its support for Japanese clients and is ready to further ramp up the role of Japanese investors in helping meet various development challenges in emerging markets and developing economies.

Outstanding Gross Exposure by Sector and Region

Investor Country: Japan

(As of March 31, 2022)

Selected MIGA Projects Invested by Japanese Investors

Selected MIGA Projects Involving Japanese Investors

Cambodia

In August 2019, MIGA issued a guarantee for $74 million to cover a non-shareholder loan from Mizuho Bank of Japan and ING Bank of the Netherlands, to Cambodian Transmission Limited (CTL) for its refinancing of a transmission project in Cambodia. CTL will finance, construct and operate two substations and a 110km high voltage transmission line between the two substations that feed into the 230kV transmission network that connects the Phnom Penh region with power generators in the east and northeast of the country. The network also provides interconnection to the Cambodia-Vietnam and Cambodia-Thailand borders in the south and northwest of the country respectively.

Pakistan

In June 2018, MIGA issued guarantees of up to $66 million covering Japan’s Sojitz Corporation’s equity investments in Hyundai Nishat Motor’s project in Pakistan, and its loan guarantees to commercial lenders to the project. The project involves the design, construction, and operation of a greenfield motor vehicle assembly plant with a maximum annual production capacity of 30,000 units, located within the M3 Industrial City in Faisalabad of Punjab. The project will establish flagship dealerships, bring new technologies to improve production efficiencies, as well as increase competition within the domestic automobile sector of the country.

Sierra Leone

In 2019, MIGA issued $36 million in guarantees for the design, construction, and operation of a facility in southern Sierra Leone that will cultivate, harvest and process pineapples and other tropical fruit for export. The Agency is providing protection from Expropriation and Breach of Contract for up to 10 years to Dole Asia Holdings, a subsidiary of ITOCHU Corporation, for its investments into the facility.

Nippon Export and Investment Insurance (NEXI), the Japanese Export Credit Agency, is reinsuring a portion of MIGA’s exposure, in addition to providing its own insurance to Dole International Holdings. This is NEXI’s first reinsurance arrangement in Africa with MIGA, following an MOU signed between the two institutions in May 2018.

MIGA and NEXI Facilitate Japanese Investment in Developing Countries

In December 2020, MIGA and Nippon Export and Investment Insurance (NEXI), the official export credit agency of Japan, signed a Cooperative Agreement to strengthen collaboration in support of foreign direct investment from Japanese investors in developing countries by providing coinsurance and reinsurance for projects in which MIGA or NEXI provide investment guarantees, insurance or other forms of investment.

Contact Us:

• Shuichi Hayashida   Head, Japan and Vice Head, Southeast Asia

         shayashida@worldbank.org

• Ai Koide   Analyst

         akoide@worldbank.org

(Last Updated: March 31, 2022)

MIGA has a long track record of working with French companies, and it is a key partner for them in middle-income countries, as well as regions where France has maintained historical ties, such as Africa and the Middle East. Currently, France is MIGA’s second largest investor country, as French investors held $3.03 billion of the Agency’s total outstanding gross exposure as of March 31, 2022.

In September 2011, MIGA opened its Europe Hub in Paris, located in the World Bank’s European Headquarters, to focus on marketing MIGA’s programs to investors in Europe, build partnerships, as well as strengthen cooperation with French and other European investors. The office covers business outreach to the Middle East and North Africa, Central and Eastern Europe, and Central Asia. While the team’s main focus is business origination and development, it is also actively involved in underwriting, working closely with MIGA staff based in Washington, D.C.

Outstanding Gross Exposure by Sector and Region

Investor Country: France

(As of March 31, 2022)

Selected MIGA Projects Invested by French Investors

Selected MIGA Projects Involving French Investors

Jordan

In March 2018, MIGA issued guarantees of up to $195 million to Meridiam of France for its equity/ quasi-equity investment into Airport International Group (AIG), the current concessionaire of the Queen Alia International Airport (QAIA) in Jordan. The guarantees were issued for a period of up to 15 years against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract. 

QAIA is Jordan’s key gateway to the world. The proposed investment by Meridiam will help optimize the commercial activities of the airport, thereby generating additional revenues for Jordan while enhancing passengers’ travel and retail shopping experience.

Madagascar

In May 2017, MIGA issued an $85 million guarantee covering equity and shareholder loan investments by Aéroports de Paris Management, Bouygues Bâtiment International, Colas, and Meridiam into Ravinala Airports in Madagascar. The coverage is for a period of up to 15 years against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract. The project consists of the financing, rehabilitation/expansion, operation, and maintenance of the Ivato airport in Antananarivo and the Fascene airport in Nosy Be, currently being managed by the state-owned enterprise Aéroports De Madagascar (ADEMA).

Turkey

In February 2015, MIGA issued a guarantee of €170.1 million ($192.9 million) covering a non-shareholder loan from BNP Paribas of France—acting as agent on behalf of itself and Crédit Agricole—for the Üsküdar-Ümraniye-Çekmeköy (UUC) Metro Line in Turkey. The coverage is for a period of up to 13 years against the risk of Non-Honoring of Financial Obligations by a Sub-Sovereign. The project consists of the procurement of rolling stock of 21 driverless trains of six metro cars each, as part of the commissioning of the UUC Metro Line. This new, 17-kilometer metro line will include 16 stations and one depot, and connect the inland residential area of Çekmeköy with the Üsküdar coastal area, enabling passengers to transit conveniently and reducing traffic congestion.

Côte d’Ivoire

In June 2012, MIGA issued $145 million in guarantees covering equity investments and subordinated loans from Bouygues Travaux Publics of France and Pan African Infrastructure Development Fund of South Africa, subordinated and senior loans from Africa Finance Corporation of Nigeria, and senior loans from BMCE Bank International Plc of the United Kingdom and FMO of the Netherlands for the Henri Konan Bédié (HKB) Bridge in Côte d’Ivoire. MIGA’s coverage is for a period of 15 years against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract.

The investments support the design, construction, and operation of the HKB Bridge, which is expected to reduce congestion and pollution in Abidjan and will result in a reduction of carbon dioxide emissions due to lower fuel consumption.

Contact Us:

• Olga Sclovscaia   Regional Head, Europe and Central Asia

         osclovscaia@worldbank.org

• Yann Burtin   Senior Underwriter

         yburtin@worldbank.org

• Roxana Liciu   Underwriter

         rliciu@worldbank.org

• Zakia Louiza   Business Inquiries and Communications

         zlouiza@worldbank.org

(Last Updated: March 31, 2022)

MIGA has a longstanding and deep relationship with British firms, which currently account for the Agency’s largest guarantee exposure among investor countries.

MIGA is currently guaranteeing more than 40 projects financed fully or partly by British investors, mainly in the sectors of infrastructure and power, amounting to over $3.1 billion in political risk insurance and credit enhancement. Newly signed projects include Golomoti Solar in Malawi, Central Térmica de Temane in Mozambique, Morava Highway in Serbia, and Ulug Enerji in Turkey.

In recent years, two British entrepreneurs and business partners of MIGA were recognized by the Agency for their contributions to furthering women’s advancement and gender equality. Lucy Heintz, Head of Energy Infrastructure at UK-based Actis, was the recipient of the MIGA Gender Leadership Award in 2022. Helen Tarnoy, former Managing Director of Aldwych International—a leading UK power company operating in Africa, received the Award in 2017.

Outstanding Gross Exposure by Sector and Region

Investor Country: United Kingdom

(As of March 31, 2022)

Selected MIGA Projects Invested by British Investors

SELECTED MIGA PROJECTS INVOLVING BRITISH INVESTORS

Senegal

In 2018, MIGA issued a guarantee of €128.1 million (equivalent to US$149.80 million) in support of the construction of the first wind farm in Senegal. The Parc Eolien Taiba N’Diaye SA wind farm is made up of 46 turbines, providing some 158.7MW to the national grid. Power generated from the farm is being sold at a competitive rate in line with grid-connected renewable energy prices in Africa.

Rwanda

In March 2018, MIGA issued up to approximately US$9.97 million in guarantees covering equity and quasi-equity investments by Metito Utilities Limited of the United Kingdom for the construction, operation, and maintenance of a greenfield 40,000 m3/day bulk water facility to be located in Kanzenze, in the southeastern part of Kigali. The guarantees are issued for a period of up to 20 years against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract.

The project consists of a water treatment plant, a well field, pumping stations, pipelines, and storage reservoirs, and will increase access to water in Kigali, which suffers from an acute water shortage.

Contact Us:

• Olga Sclovscaia   Regional Head, Europe and Central Asia

         osclovscaia@worldbank.org

• Yann Burtin   Senior Underwriter

         yburtin@worldbank.org

• Roxana Liciu   Underwriter

         rliciu@worldbank.org

• Zakia Louiza   Business Inquiries and Communications

         zlouiza@worldbank.org

(Last Updated: March 31, 2022)

Spanish investors are playing a crucial role in driving private investment to developing countries, particularly in Latin America and the Caribbean. Today, Spain is MIGA’s third largest investor country in terms of gross exposure, and the Agency works closely with Spanish firms to facilitate sustainable development and deliver strong impact across the globe.

MIGA is currently supporting 16 projects financed fully or partly by Spanish firms, which amount to some $2.9 billion in guarantees, with a focus on addressing the COVID-19 pandemic in those host countries. Recent projects include COVID-19 responses in Colombia, Mexico, Panama, and The Bahamas, as well as several capital optimization projects in Chile, Peru, and Uruguay.

Lara de Mesa, Global Head of Responsible Banking at Spain-based Banco Santander—one of the largest global financial institutions and a longtime client of MIGA, received the Agency’s Gender CEO Award in 2019 for her commitment to promoting gender equality and women’s empowerment.

Outstanding Gross Exposure by Sector and Region

Investor Country: Spain

(As of March 31, 2022)

Selected MIGA Projects Invested by Spanish Investors

Selected MIGA Projects Involving Spanish Investors

Colombia

In FY22, MIGA issued a guarantee on a COP 1 trillion (approximately US$254 million) loan being given to the Capital District of Bogotá for up to seven years. The loan, issued by BBVA, will finance the improvement and expansion of public hospitals, labs, and clinics, the upgrade of medical information systems, and the purchase of over 100 ambulances.

The Bahamas

In FY21, MIGA issued a guarantee for US$118.56 million to Banco Santander of Spain for its loans to the Ministry of Finance of The Bahamas. Proceeds from the MIGA-guaranteed loan will support (i) the Public Hospitals Authority’s (PHA) modernization of the public health system to respond to COVID-19 and build resilience post-pandemic; and (ii) micro, small and medium enterprises (MSMEs) through the Bahamian Small Business Development Centre (SBDC). This project is MIGA’s first engagement in The Bahamas.

Mexico

On October 20, 2020, MIGA issued guarantees of up to US$675.1 million to Banco Santander of Spain, Citibank of the United States, and Commerzbank AG of Germany for a period of up to 8 years covering the risk of Non-Honoring of Financial Obligations of a State-Owned Enterprise for loans of up to US$600 million to Banco Nacional de Comercio Exterior (Bancomext) of Mexico, as part of Pillar 2A of MIGA’s COVID-19 Response Program. The MIGA-covered loans are being used by Bancomext to provide working capital loans under the bank’s Emergency Liquidity Program, which aims to mitigate the impact of COVID-19 on domestic companies affected by the pandemic, as well as other working capital loans to companies in a number of export-oriented sectors.

Panama

In FY20, MIGA issued guarantees on a 15-year, US$250 million loan provided by Kairos Global Solutions, and a five-year, US$150 million loan provided by BBVA, to Caja de Ahorros of Panama. These guarantees will protect the lenders against the risk of Non-Honoring of Financial Obligations by a State-Owned Enterprise (NHFO-SOE). The MIGA-guaranteed loan from BBVA will help finance Caja de Ahorros’ response to the economic crisis brought on by the COVID-19 pandemic. Proceeds from the BBVA loan will be used to provide liquidity to small and medium enterprises (SMEs) and other companies to improve their resiliency and stimulate Panama’s economic recovery.

Contact Us:

• Olga Calabozo Garrido   Head, Latin America and the Caribbean

         ocalabozogarrido@worldbank.org

(Last Updated: March 31, 2022)