About World Bank Group Guarantee Platform:
- It is housed at the Multilateral Investment Guarantee Agency (MIGA) and brings together products and experts from the World Bank, International Finance Corporation (IFC), and MIGA for simplicity, efficiency and speed.
- It aims to boost WBG annual guarantee issuance to $20 billion by 2030.
- WBG Guarantees will serve as a one-stop shop for all WBG guarantee businesses, providing the best guarantee solutions for clients to meet project needs and development priorities.
- WBG clients can now choose from a simplified market-friendly menu of guarantee options.
- The platform will provide three types of coverages:
- Credit guarantees for loans to the public or private sector;
- Trade finance guarantees for trade finance projects involving public entities;
- Political risk insurance against non-commercial risks for private sector projects or public-private partnerships.
- Significance
- Initiated in 2024, World Bank Group Guarantees consolidates all guarantee products and experts from across the World Bank Group institutions 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.
