MIGA Expands Support for Bank Lending in Ukraine, which will help Raiffeisen Bank support Ukrainian businesses
The Multilateral Investment Guarantee Agency (MIGA), home of the World Bank Group Guarantee Platform, has extended and increased guarantees to free up capital linked to two banks’ mandatory reserves, enabling them to expand their operations in Ukraine and maintain continuity amid the ongoing war.
MIGA issued a new guarantee to Raiffeisen Bank International of Austria, increasing MIGA’s coverage of the reserves from €100 million to €150 million and extending a prior guarantee for one year.
The guarantee is expected to generate up to €225 million in new loans supporting clients in critical sectors such as agriculture, food, and health care.
“By extending and increasing these two guarantees, MIGA reaffirms its strong commitment to supporting the Ukraine banking sector", said Tsutomu Yamamoto, MIGA Managing Director. “This will strengthen resilience and confidence in the country’s financial system, which remains vulnerable due to ongoing political and economic challenges”.
Raiffeisen Bank, Ukraine, is the largest privately owned bank in Ukraine and the fourth largest by total assets. MIGA has cooperated successfully with the Bank since 2022.
“Increasing MIGA’s guarantee limit to €150 million strengthens the bank’s ability to support Ukrainian businesses during the war by enabling more loans to critical sectors,” said Natalia Gurina, Chairwoman of the Management Board of Raiffeisen Bank Ukraine. “This expanded guarantee also helps optimize capital and risk management, ensuring a steady flow of credit when Ukraine’s economy urgently needs support”.
About the World Bank Group Guarantee Platform
Initiated in 2024, the World Bank Group Guarantee Platform consolidates guarantee products and experts from across the World Bank Group at MIGA. It provides a simplified and comprehensive menu of guarantee solutions, enabling clients to select the instrument that best suits their needs. The platform streamlines processes, removes redundancies, and provides greater accessibility by de-risking investments in developing countries. Its goal is to boost the World Bank Group’s annual guarantee issuance to $20 billion by 2030.
For more information about the guarantee platform, please visit: https://www.worldbank.org/wbgguarantees
