New overhaul approach from World Bank aims to boots its guarantee business
On February 28th, 2024, the World Bank Group has unveiled a significant revamp of its guarantee business aimed at providing simplicity, enhanced accessibility, and swifter execution via a novel, user-friendly marketplace. These reforms are pivotal in realizing the objective of tripling annual guarantee issuance to 20 billion dollars by 2030.
What are the World Bank Guarantees?
World Bank guarantees are powerful catalysts to attract private-sector investments and commercial financing for strong development outcomes that support economic growth and improve public services in developing countries. These guarantees mobilize a wide array of commercial capital and private investments, including energy, transport solutions, sovereign and corporate financings for governments and state-owned enterprises—as well as innovative trade financing solutions and unique support to fragile countries.
The objective of the World Bank Guarantee Program is multifaceted, aiming to mobilize private investment, both equity and debt, for strategic projects or sector support, while simultaneously mit