MIGA international financial institution will serve as a surety for the loans given by Raiffeisen Bank International in Albania, Belarus, Bosnia Herzegovina, Kosovo and Serbia. The news was announced by the World Bank office in a press declaration, saying that MIGA will provide a EUR 457 million to Raiffeisen Bank, the second biggest financial group in the Central, East and Southeast Europe.
This move will reduce the risk of Raiffeisen in these countries and will encourage the local banks to provide more loans to businesses and individuals. The Multilateral Investment Guarantee Agency is a member of the World Bank Group which promotes foreign direct investment (FDI) into developing countries and offers political risk insurance and credit enhancement guarantees.
“The guarantees offered by MIGA are an important mean for the management of our risk portfolios as we concentrate in promising markets where we can play a stable role offering the opportunity to receive loans,” declared Karl Sevelda, General Director of “Raiffeisen Bank International AG”.
News source: ATA
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