Multilateral Investment Guarantee Agency
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The Multilateral Investment Guarantee Agency (MIGA) is a member of the World Bank group. It was established to promote foreign direct investment into developing countries. MIGA was founded in 1988 with a capital base of $1 billion and is headquartered in Washington, DC
MIGA promotes foreign direct investment into developing countries by insuring investors against political risk, advising governments on attracting investment, sharing information through on-line investment information services, and mediating disputes between investors and governments. MIGA's strength compared to private providers of political risk insurance is its membership of the World Bank Group, which allows it to intervene with host governments to resolve claims before they are filed.
[edit] MIGA's Business
MIGA provides guarantees against noncommercial risks to protect cross-border investment in developing member countries. Guarantees to protect investors against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract (for contracts between the investor/project enterprise and the authorities of the host country). These coverages may be purchased individually or in combination.
MIGA can cover only new investments. These include:
- new, greenfield investments;
- new investment contributions associated with the expansion, modernization, or financial restructuring of existing projects; and
- acquisitions involving privatization of state enterprises.
Unlike other insurers, MIGA is backed by the World Bank Group and its 175 member countries.
Izumi Kobayashi joined MIGA as Executive Vice President on November 24, 2008. James Bond occupies the position of Chief Operating Officer; Peter D. Cleary is the Chief Counsel; Kevin Lu is Chief Financial Officer; Frank Lysy is Chief Economist; and Edie Quintrell is Director of Operations.
[edit] See also
- World Bank International Bank for Reconstruction and Development (IBRD)
- Multilateral aid
