About Guarantco
GuarantCo: Encouraging Infrastructure Development in Low-Income Countries
GuarantCo is a company that is dedicated to promoting infrastructure development in low-income countries. The company achieves this by providing credit guarantees that enable infrastructure projects to raise debt finance. GuarantCo was established in 2005 as part of the Private Infrastructure Development Group (PIDG), which is a multi-donor organization that aims to promote private sector investment in infrastructure projects.
GuarantCo's mission is to encourage the development of sustainable and inclusive infrastructure projects that can help improve the lives of people living in low-income countries. The company provides credit guarantees for a wide range of infrastructure projects, including power generation, water supply and sanitation, transport, and telecommunications.
One of GuarantCo's key strengths is its ability to provide innovative financial solutions that meet the specific needs of each project. The company works closely with project sponsors and lenders to structure transactions that are both commercially viable and socially responsible. GuarantCo's credit guarantees can help reduce the risk associated with investing in emerging markets, thereby attracting more private sector investment into these regions.
GuarantCo has a strong track record of supporting successful infrastructure projects across Africa, Asia, and Latin America. Some examples include:
- In Ghana, GuarantCo provided a credit guarantee for the construction of a 20 MW solar power plant. This project will help increase access to clean energy for over 100,000 people.
- In Pakistan, GuarantCo supported the expansion of an existing gas pipeline network through a credit guarantee. This project will help improve access to natural gas for households and businesses.
- In Zambia, GuarantCo provided a partial credit guarantee for the construction of an international airport terminal. This project will help boost tourism and trade in the region.
In addition to providing credit guarantees, GuarantCo also offers technical assistance to support project preparation and implementation. The company works closely with project sponsors, lenders, and other stakeholders to ensure that infrastructure projects are developed in a sustainable and inclusive manner.
GuarantCo is committed to promoting environmental, social, and governance (ESG) best practices in all its operations. The company has developed a comprehensive ESG framework that guides its investment decisions and ensures that its activities have a positive impact on the communities where it operates.
In conclusion, GuarantCo is a company that is making a significant contribution to infrastructure development in low-income countries. Its credit guarantees are helping to attract more private sector investment into these regions, while its technical assistance is supporting the development of sustainable and inclusive infrastructure projects. With its innovative financial solutions and strong commitment to ESG best practices, GuarantCo is well-positioned to continue playing a leading role in promoting infrastructure development across the globe.