|GuarantCo can provide partial credit guarantees and partial risk guarantees with the exception of political risk guarantees.
GuarantCo’s mission is to help procure long term local currency financing for infrastructure in the developing world. Accordingly, it has a flexible product that can potential absorb specific risks (through a partial risk guarantee) or a share of the general credit risk (through a partial credit guarantee). For example, such risks can include completion risk, liquidity risk and other risks which, without being covered by GuarantCo, would otherwise limit the tenor and or amount of finance available. GuarantCo can not provide political risk guarantees as a stand-alone product but political risks can be covered by a partial credit guarantee.
GuarantCo can provide a variety of other contingent products including, first loss guarantees, tenor extension or liquidity guarantees and can provide joint guarantees or counter guarantees as may be required for a particular project.
Defined Risks Covered:
Non-payment due to general credit reasons or specific risk reasons
Eligible Forms of Investment:
Some subordinated debt products
Eligible Currency of Underlying Investment Covered by this Product: Local Currency of developing host country. For certain fragile and conflict-affected countries, dollar guarantees are possible
Eligible Countries & Regions: DAC I, II and III countries
Max. Absolute Amount (USD): 5 to 30 MM