GuarantCo

GuarantCo, part of the Private Infrastructure Development Group, offers local currency partial credit guarantees. These guarantees protect lenders and investors providing debt in the event of a loan default caused by the borrower. The partial credit guarantees of GuarantCo cover debt up to a specified amount while reimbursement will be paid in local currencies. GuarantCo can cover senior and subordinated debt but not equity.

Eligible infrastructure sectors: Energy supply, gas transportation, water and waste services, transportation, urban infrastructure, telecommunications, mining (under specific conditions). Other development conducive infrastructure might be considered.

All projects supported by GuarantCo must comply with environmental, social, and health and safety standards.

Recipients of guarantees need to support the provision of infrastructure services through investments into one of the following company types:

• Greenfield developments and start-up companies.
• Operating infrastructure companies that require finance for upgrades, expansions.
• Privatized infrastructure companies.
• Parastatals or public corporations: additional requirements need to be fulfilled.
• Municipal infrastructure: additional requirements need to be fulfilled.

Details: https://www.guarantco.com/storage/pdf/GtCoInvestmentPolicyDocument.pdf

GuarantCo supports projects in all low-income and lower-middle-income countries in Africa, Asia, Latin and Central America, and the Caribbean.

• Tenor of coverage: Up to 15 years.
• Size of coverage: The guarantee cover available for any single transaction is between USD 5 million and USD 50 million or the equivalent amount in local currency. GuarantCo will not typically cover more than 50 per cent of the total debt of the project or beneficiary.

https://www.guarantco.com/policies-procedures