Guarantees

(€ 2 to 100 M per transaction)

The PROPARCO name acts as a solvability guarantee and facilitates the mobilisation of local currency resources by private sector borrowers (credit institutions or private companies), guaranteeing subscribers the repayment of the capital and interest of the corresponding loans.
  • Bond guarantee: PROPARCO offers a guarantee to savers (institutional investors holding liquidities or private individuals) who extend a loan to a bank issuing borrowings to refinance itself or to a company seeking resources to invest in a specific project,
  • Bank loan guarantee: PROPARCO guarantees the successful completion of loans that banking institutions with available liquidities may extend to other institutions to finance private sector companies,
  • Local currency loan guarantee: PROPARCO guarantees the successful completion of loans issued in local currency by banks to industrial and commercial companies to finance their manufacturing investment programme,
  • Liquidity guarantee of mutual funds, investment funds and local savings mobilisation funds: PROPARCO brings a liquidity guarantee to the various instruments of mobilisation of long-term resources intended to finance manufacturing investment, which has a direct impact on financial market intermediation. 

 

 > Read more about the PROPARCO's products in local currency                                                                            

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Last update in January 2011