Ifc Seeks To Market Surety Paper In India
Unlike the World Bank, IFC does not require a host country counter-guarantee for its participation in projects.
The guarantee instrument is aimed primarily at developing countries that are either ranked at investment grade, or just a notch below. The cost of the guarantee will be determined according to the country, the credit risk involved and the structure of the project.
The new instrument, to be initially targeted at Asia, will enable companies to access foreign investors such as pension funds and insurance companies that do not normally consider non-investment grade bonds.
IFC