The World Bank Group's Multilateral Investment Guarantee Agency (MIGA) and Deutsche Bank have launched a €1 billion guarantee platform aimed at expanding trade finance in frontier and developing African countries.
This initiative serves as MIGA's first standalone trade finance portfolio guarantee platform with a global commercial bank, structured to mitigate risks in volatile regions.
Under the framework, MIGA will provide robust guarantees to Deutsche Bank to cover the risk of non-payment on eligible trade finance transactions involving state-owned banks in developing economies.
The overarching goal is to sustain and expand the availability of trade finance in markets where commercial risk appetite is deteriorating, and funding gaps are growing.
Sustaining trade in developing African countries
