GuarantCo provides local currency contingent credit solutions, primarily guarantees, to support projects and companies in order to raise debt financing for the development of infrastructure in lower income countries in Africa and Asia thereby assisting with the alleviation of poverty.
GuarantCo seeks to bridge the gap between the financial requirements of a project or corporate and the financial terms available from the market. Often projects may find it challenging to obtain debt finance in sufficient quantum or of a sufficient tenor, whether due to certain specific risks or market constraints. This can often be overcome through the use of an appropriately structured guarantee, particularly one that transfers risk rather than just acts as a mitigant. Such guarantees can be used to enable direct lending from banks/financial institutions or capital market issuances.