MIGA ANNUAL REPORT 2023 ABOUT MIGA Our mandate is to encourage foreign direct investment to developing countries by providing noncommercial guarantees (that is, political risk insurance, credit enhancement products, and trade finance guarantees) to investors and lenders. Celebrating 35 years since its founding, in FY23 MIGA issued In FY23, as it did during the COVID-19 pandemic, MIGA demon- a record $6.4 billion in new guarantees across 40 projects. strated its agility to respond to crisis, employing multiple Through these projects, the Agency remained focused on products during the year to assist the embattled people of encouraging private investors to help host governments Ukraine following Russia’s invasion. manage and mitigate political risks. Working with clients and partners, MIGA supported $8.6 billion in total financing (from An institution of the World Bank Group, MIGA is committed to private and public sources). Almost all of the Agency’s projects strong development impact and supporting projects that are supported at least one of its three priority areas: 27 percent of economically, environmentally, and socially sustainable. MIGA gross issuances went to IDA-eligible (lower-income) countries, helps investors mitigate the risks of restrictions on currency 19 percent went to fragile and conflict-affected countries, and conversion and transfer, breach of contract by governments, 28 percent of the total guaranteed investment of the projects expropriation, and war and civil disturbance. It also offers trade contributed to climate finance. finance guarantees, as well as credit enhancement on obliga- tions of sovereigns, sub-sovereigns, state-owned enterprises, As a result, our FY23 issuances are expected to help create and regional development banks. 8,774 jobs and enable $2.6 billion in loans, including for small and medium enterprises and climate-related activities. In addition, MIGA projects connected 55 million people to mobile telephone networks and 40 million to the internet. MIGA 3 WORLD BANK GROUP WORLD BANK GROUP GLOBAL COMMITMENTS In fiscal 2023, the World Bank Group delivered record levels of financing at an unprecedented pace, conducted in-depth analysis and research, and partnered with governments, the private sector, and other institutions to help developing countries address the wide-ranging impacts of the COVID-19 pandemic and work toward a green, resilient, and inclusive recovery.  ANNUAL REPORT 2023 5 TOTAL in loans, grants, equity investments, and guarantees to partner countries $128.3B and private businesses.* $6.8 BILLION $38.6 BILLION $36.2 BILLION Middle East & North Africa Sub-Saharan Africa Europe & Central Asia $18.2 BILLION $13 BILLION $15.4 BILLION Latin America East Asia & Pacific South Asia & the Caribbean * Total includes multiregional and global operations. In fiscal 2022, IFC changed its mapping of countries to regions. Regional totals reflect IFC commitments that were recalculated to match the World Bank’s regional classifications by aggregating country-level commitments within each World Bank Region. World Bank Group 6 MESSAGE FROM THE PRESIDENT Deeply intertwined challenges—poverty, pandemics, climate change, debt, conflict, food insecurity, and fragility—are eroding decades of hard-won development progress; the world is looking to us for solutions. ANNUAL REPORT 2023 7 This urgency motivates us to write a new playbook that will drive impactful development and lead to a better quality of life for people everywhere. Pandemics and climate change don’t We are digging deep respect lines on a map. If we fail to work together to address these crises, we all lose. to boost our lending Our approach must be inclusive of everyone, including women, capacity, finding young people, and others too often left behind. It must be resil- ient to shocks, including climate and biodiversity catastrophes, ways to leverage pandemics, and fragility. And it must be sustainable—through callable capital, and creating new economic growth, human development, fiscal and debt man- agement, food security, and access to clean air, water, and mechanisms like affordable energy. To help countries achieve these goals and address their most urgent development needs, we offer innovative solutions that hybrid capital that can be implemented at scale to maximize impact. Through our knowledge and research, we help countries make informed, could unlock untold impactful decisions. Central to these efforts are our partner- ships and convening power, which further extend our reach resources to deliver as we work to realize our shared vision. results. Under the umbrella of our Evolution Roadmap, we are working to become a better Bank. We will become more efficient and do more in less time—incentivizing output, not input. Keeping focus on how many girls are in school, how many jobs are cre- ated, how many tons of carbon dioxide emissions are avoided, and how many private sector dollars are mobilized. We are digging deep to boost our lending capacity, finding ways to leverage callable capital, and creating new mecha- nisms like hybrid capital that could unlock untold resources to deliver results. We want to expand and evolve concessional financing to help more low-income countries achieve their development goals and while thinking creatively about how to encourage cooperation across borders and tackle shared challenges. As we face a new era in development, we remain committed to creating a world free of poverty on a livable planet. Ajay Banga President of the World Bank Group and Chairman of the Board of Executive Directors World Bank Group 8 Photo of the Seated (from left to right): MIGA Executive Directors Erivaldo Gomes, Brazil; Cecilia Nahon, Argentina; Ayanda Dlodlo, South Africa; Dominique Favre, Switzerland; Junhong Chang, China - Co-Dean; Koen Davidse, The Netherlands – Dean; Khalid Bawazier, Saudi Arabia; Adriana Kugler, United States; Matteo Bugamelli, Italy; Ernesto Acevedo, Mexico; Takashi Miyahara, Japan; Lene Lind, Norway Standing (from left to right): Wempi Saputra, Indonesia; Parameswaran Iyer, India; Mansour Alshamali, Kuwait; Michael Krake, Germany; Katharine Rechico, Canada; Roman Marshavin, Russian Federation; Velavan Gnanendran, United Kingdom; Il-Young Park, Korea; Nathalie Francken, Belgium (MIGA Director and Bank/IFC Alternate Director); Naveed Baloch, Pakistan; Abdoul Salam Bello, Niger; Arnaud Buissé, France Absent: Floribert Ngaruko, Burundi ANNUAL REPORT 2023 9 MESSAGE FROM THE MIGA BOARD OF DIRECTORS FY23 Over the past year, the World Bank Group Executive Directors have engaged with Bank Group leadership about persisting global crises and the urgent need to restore progress toward the Sustainable Development Goals. More than 574 million people are projected to be living in extreme poverty by 2030, most of them in Africa. More broadly, nearly half the world—over 3 billion people—lives on less than $6.85 per day. Spillover effects from the COVID-19 pandemic, Russia’s invasion of Ukraine, and extreme climate events are among the major issues on which the Executive Directors led Bank Group interventions to support countries, including a focus on opportunities for women and young people. From July 2022 to June 2023, support from the Bank Group for developing countries totaled $122.9 billion, including $38.6 billion from IBRD, $34.2 billion from IDA, $43.7 billion (including mobilization) from IFC, and $6.4 billion in guarantees from MIGA. World Bank Group 10 At the Annual Meetings in October 2022, Development Com- with the goals of the Paris Agreement from July 1, 2023. For IFC mittee members asked the Bank Group to review its vision, and MIGA, 85 percent of new operations will be aligned starting mission, and operating and financial models to enhance July 1, 2023, and 100 percent from July 1, 2025. the institution’s capacity to respond to global challenges. In response, the Bank Group created the Evolution Roadmap, with The world witnessed devastating natural disasters this year the aim of better addressing the scale of challenges facing the that caused tragic losses of life and widespread destruction. world today. The Roadmap provides a basis for Bank Group The earthquakes in Türkiye are among the most recent events management and the Board to discuss priorities for the insti- to which the Bank Group has responded. The Executive Direc- tution’s evolution and begin to implement collective reform. tors continue to recognize the hardships encountered in fragile and conflict-affected situations around the world, including Led by the Boards of Executive Directors in partnership with the challenges and complexities of migration, as discussed in management, the Evolution Roadmap gained momentum this this year’s World Development Report. The Executive Directors year. At the 2023 Spring Meetings, Governors at the Develop- commend the ongoing and coordinated efforts by the World ment Committee commended the Bank Group for identifying Bank, IFC, and MIGA to swiftly address fragility and disasters, measures to increase financial capacity by roughly $50 bil- including by leveraging the IDA Private Sector Window and lion over the next 10 years and discussed priorities to further Contingency Emergency Response Components in opera- strengthen the institution for the next phase of the Road- tions. The Board also recently approved the establishment of map process ahead of the October 2023 Annual Meetings in an IDA Crisis Facility, which will boost support for the world’s Marrakech. poorest countries in tackling urgent development challenges, particularly food security and climate change. The important work of the Evolution comes as the World Bank In addition to the many operations and country engage- Group continues to respond at record pace, scale, and impact ments the Board discussed and approved this year, Executive to help countries address compounding crises and increas- Directors also visited operations in several client countries. In ingly complex development challenges. In April 2022, the Bank February and May 2023, Board members traveled to Belize, Group outlined the Global Crisis Response Framework, which Guatemala, Panama, the Republic of Congo, and São Tomé focused on responding to food insecurity, protecting people and Príncipe. During these missions, the Executive Directors and preserving jobs, boosting resilience, and strengthening engaged with key government entities, the private sector, civil policies, institutions, and investments to build back better. society, and donor stakeholders and met with Bank Group staff Between April 2022 and June 2023, the Bank Group provided and the people who have benefited from these operations. unprecedented crisis financing of $171.6 billion, including $53.1 billion from IBRD, $51.8 billion from IDA, $57.6 billion from IFC, As the Bank Group’s leadership and Boards of Directors pre- and $9.1 billion in guarantees from MIGA. pare for the October 2023 Annual Meetings in Marrakech, the Executive Directors and management are moving forward In addition to its impact on food security, Russia’s invasion on the Evolution Roadmap. The Executive Directors extend of Ukraine has exacerbated trends in energy access, inter- their sincere gratitude to David Malpass for his strong and national trade, and other major sectors. Recognizing the steadfast leadership of the World Bank Group through a his- invasion’s potentially long-term consequences, the Board torically challenging period. His commitment to the mission, approved several operations to help restore and improve diversity and inclusion, debt transparency and sustainabil- access to essential health care, provide financial protection for ity, and country-level development outcomes have seen the the Ukrainian people, and repair Ukraine’s energy infrastruc- institution deliver record commitments for development. The ture. To date, the World Bank Group has mobilized over $37.5 Board warmly welcomes his successor, Ajay Banga, as the billion in emergency financing for Ukraine, including IBRD and 14th President of the World Bank Group. Finally, the Executive IDA loans, IBRD loans guaranteed by partners, donor grants, Directors extend their thanks to all staff for their tireless ded- short- and long-term IFC financing, and MIGA guarantees. ication and hard work in these challenging times. Thanks to them, the World Bank Group continues to make a difference Climate action remains a crucial global priority. The Executive in the lives of many who deserve a life in dignity. Directors welcome the efforts the Bank Group has made as the world’s largest multilateral provider of climate finance for developing countries by mobilizing more public and private finance. The Executive Directors are encouraged that, in addi- tion to work combining country diagnostics, policy advice, financing, and scalable mechanisms to mobilize funding, the World Bank is on track to align 100 percent of new operations ANNUAL REPORT 2023 11 The world witnessed devastating natural disasters this year that caused tragic losses of life and widespread destruction. 12 ANNUAL REPORT 2023 13 MESSAGE FROM HIROSHI MATANO EXECUTIVE VICE PRESIDENT In a year when multiple global crises posed an unprecedented threat to economic development, MIGA rose to the challenge with a record amount of new guarantees to promote cross-border investment into developing countries. MIGA delivered a program of $6.4 billion in guarantees, the most in a year since the Agency was founded 35 years ago. We also celebrated our 1,000th project. Working with clients and partners, we leveraged $8.6 billion In those priority areas, MIGA demonstrated support for invest- in total financing from private and public sources through ments and lending for the countries that need it most. guarantees to cross-border private investors in developing countries. Of our gross issuances Both the immediate and ongoing impacts of these guaran- tees are significant. MIGA guarantees in FY23 are expected to help create 8,774 jobs and enable $2.6 billion in loans, includ- ing for small and medium enterprises (SMEs), women-owned and women-led businesses, and climate-related activities. In 27 PERCENT addition, MIGA projects connected 55 million people to mobile supported projects in International telephone networks and 40 million to the internet. Development Association (lower- income) countries; In addition to the 40 projects in 29 countries on MIGA’s own account, there was one supported by two MIGA-administered 19 PERCENT trust funds. 19 percent went to fragile and conflict- affected situations (FCS); and Demand for MIGA’s guarantee coverage—including both our political risk insurance products and our credit enhancement (non-honoring) products—grew. In addition, we issued our first trade finance guarantee. Trade finance insurance became all 28 PERCENT the more important as global trade slowed and many nations of our guaranteed investment embraced protectionist policies. contributed to climate change adaptation or mitigation. A total of $1.5 billion went to climate finance, up from MIGA’s unique position and offerings enable us to bridge the $1.1 billion in FY22. public and private sectors. While our insurance solutions differ in how they work, they all perform a common function that is vital to development: encouraging and enabling private investors by managing and mitigating risk. In addition, we bring in the World Bank Group 14 MIGA also marked a milestone in its support for women. With a Poverty, development, guarantee of up to $100 million to Banco Santander in Argentina that set aside funds for loans to women-owned and women-led and climate change businesses, MIGA reached $1.2 billion in total lending commit- ments to this underserved segment of the population. The must be tackled exclusion of half of a country’s population from full economic together. MIGA activity remains a barrier to growth and higher living standards in too many countries, and MIGA continues to earmark funds in remains committed projects it supports for women, a long-underfinanced group. to mitigating and In addition, MIGA continued to promote gender equality through its eighth annual Gender Leadership Award, which was awarded adapting to climate to Claudia María González Arteaga, Chief Financial Officer at Bancóldex, for her tireless efforts to close gaps and create change and its opportunities for businesswomen in Colombia. MIGA has signed two projects with Bancóldex to cover the risk of Non-Honoring impact. of Financial Obligations by a State-Owned Enterprise. Poverty, development, and climate change must be tackled together. MIGA remains committed to mitigating and adapt- ing to climate change and its impact. We supported several private sector in another way by using the reinsurance market. major climate projects during the fiscal year, including one During FY23, we ceded $5 billion of new business to our rein- that involved partnering with Kube Energy, a Norwegian solar surance partners, in line with our strategy of preserving capital power innovator, to develop a 2.8-megawatt solar hybrid power to support growth. By the end of the fiscal year, 65 percent of plant in Somalia. In addition to delivering significant additional our portfolio was reinsured, up from 62 percent a year earlier, power capacity in a nation where less than half of residents adding up to a record ceded exposure of well over $18 billion. have access to it, the Kube project demonstrated the potential for private sector investment in fragile and conflict-affected As during the COVID-19 pandemic, in FY23 MIGA acted nimbly contexts through innovative business models. when crisis arose. It employed multiple solutions during the year to assist the embattled people of Ukraine. This effort included Starting July 1, 2023, MIGA is committed to aligning 85 percent joining forces with the European Bank for Reconstruction and of its new projects with the objectives of the Paris Agreement, Development to cover trade finance risk to ensure the flow of and 100 percent of these projects will be aligned starting July essential drugs, food, fuel, and fertilizer continued to the war- 1, 2025. MIGA’s Paris alignment assessment will consider each torn nation. MIGA also issued guarantees to international banks country’s pathway toward low greenhouse gas emissions to support liquidity and working capital for small businesses and climate-resilient development, and determine whether in Ukraine and established the Support for Ukraine’s Recon- an activity advances, hinders, or is neutral when it comes to struction and Economy (SURE) Trust Fund to enable issuance achieving progress toward the goals of the Paris Agreement. of additional guarantees. Launched with a critical $23 million anchor contribution from Japan, and with more contributions And Paris alignment is just part of our commitment to the high- in the pipeline, the SURE Trust Fund is expected to grow. est environmental and social performance standards. MIGA’s environmental and social sustainability policies are derived Another crisis during the year, a massive earthquake, caused from our extensive experience insuring investments around nearly 60,000 deaths in Türkiye and Syria in February. We are the world. They are a powerful tool for identifying risks, reducing proud that MIGA-supported hospitals, built to be resistant to such development costs, and improving project sustainability—ben- disasters, stood up well. Two such hospitals were near the epicen- efiting affected communities and preserving the environment. ter yet withstood the earthquake with little damage, leaving them fully operational to care for survivors. Since the earthquake, MIGA In Ethiopia, a country plagued by conflict, MIGA partnered with has returned to Türkiye with an additional $134 million guarantee IFC and provided 10-year guarantees of $1 billion to support to support completion of a sixth modern health care facility. The the rollout and operation of 4G and 5G telecommunications investment will build additional resilience to future disasters in networks across the country. The project is a key part of the the region. Ethiopian government’s plan to realize its digital potential and fits well with our ongoing efforts to promote digitalization in developing economies. ANNUAL REPORT 2023 15 During the past year, MIGA supported its 1,000th project since inception: a non-honoring guarantee for $550 million covering a loan to the government of Senegal in support of investments in port infrastructure. MIGA is enabling the government of Senegal to pursue a key strategic priority by investing in developing a major commercial hub in the region. Achieving our goals—whether they involve climate, fragility and conflict, crises, digitalization, or gender—will continue to require private capital enabling and private capital mobilization; that is, redirecting capital to the nations that need it the most. Achieving these goals will also require strengthening our focus on the One World Bank Group approach, which requires coor- dinated engagement across Bank Group institutions. And while most MIGA projects during the year took place in individual countries, they often delivered global public goods such as climate mitigation and resilience to pandemics, in addition to combating fragility, which if unchecked can spill over borders all too easily. This aligns MIGA’s goals with the World Bank’s Evolution Road- map, which is led by the Board and shareholders and seeks to better address global challenges like climate and fragility while remaining focused on poverty reduction and shared prosperity. There is no shortage of development challenges for MIGA to tackle, but our dedicated staff remain focused on our mission of mobilizing private, cross-border investment that can deliver Achieving our goals— a significant blow to global poverty while continuing to spread inclusive prosperity on a livable planet. whether they involve I extend my heartfelt thanks to our clients and Board, who climate, fragility remain steadfast partners and continue to help us deliver results in every region of the globe. and conflict, crises, digitalization, or gender—will continue to require private capital enabling and private capital mobilization; that is, redirecting capital to the nations that need Hiroshi Matano it the most. Executive Vice President Multilateral Investment Guarantee Agency World Bank Group 16 ANNUAL REPORT 2023 The Institutions of the World Bank Group The World Bank Group is the world’s largest source of knowledge and financing for developing countries. It consists of five institutions that share a commitment to reducing poverty, increasing shared prosperity, and promoting sustainable growth and development. MIGA IFC Multilateral Investment International Finance Guarantee Agency Corporation provides political risk provides loans, insurance and credit guarantees, equity, enhancement to and advisory and investors and lenders to project development facilitate foreign direct services and mobilizes investment in emerging additional capital economies. from other sources to stimulate private sector investment in developing countries. ICSID IDA International Centre International for Settlement of Development Association Investment provides financing on Disputes highly concessional terms provides international to governments of the facilities for conciliation, poorest countries. mediation, and IBRD arbitration of investment disputes. International Bank for Reconstruction and Development lends to governments of middle-income and creditworthy low-income countries. ANNUAL REPORT 2023 18 World Bank Group Financing for Partner Countries  World Bank Group Commitments, Disbursements, and Gross Issuance by Fiscal Year (US$, millions) Entity 2019 2020 2021 2022 2023 WORLD BANK GROUP Commitmentsa 68,105 83,574 98,830 104,370 128,341 Disbursementsb 49,395 54,367 60,596 67,041 91,391 IBRD Commitmentsc 23,191 27,976 30,523 33,072 38,572 Disbursements 20,182 20,238 23,691 28,168 25,504 IDA Commitmentsc, d 21,932 30,365 36,028 37,727 34,245 Disbursements 17,549 21,179d 22,921d 21,214d 27,718 IFC Commitmentse 14,684 17,604 20,669 22,229 27,704 Disbursements 9,074 10,518 11,438 13,198 18,689 MIGA Gross Issuance 5,548 3,961 5,199 4,935 6,446 RECIPIENT-EXECUTED DISBURSING ACCOUNT Commitments 2,749 3,641 6,411 6,407 21,374 Disbursements 2,590 2,433 2,546 4,461 19,480 a. Includes IBRD, IDA, IFC, Recipient-Executed Disbursing Account (REDA) d. Commitments and disbursements exclude IDA-IFC-MIGA Private Sector commitments, and MIGA gross issuance. REDA commitments include all Window (PSW) activities. recipient-executed grants. e. Includes long-term commitments for IFC’s own account and short-term b. Includes IBRD, IDA, IFC, and REDA disbursements. finance commitments. Does not include funds mobilized from other investors. c. Amounts are net of full terminations and cancellations relating to commit- ments approved in the same fiscal year. WBG FISCAL YEAR DATA 19 MIGA MIGA’S GLOBAL REACH AND COUNTRY RESULTS ANNUAL REPORT 2023 21 Results for Selected Countries* *Figures reflect projects signed in FY15–23 TÜRKIYE UZBEKISTAN MONGOLIA 35,898 11,200 17,800 Jobs supported GWH/YR Jobs supported (permanent and Expanded power (permanent and temporary) generation temporary) ARGENTINA $2.35B Total loans supported GHANA ARAB REPUBLIC ETHIOPIA $207M OF EGYPT $60.6M Locally procured 1.8M TCO2E/YR Taxes and fees goods GHG avoided FY23 Gross Issuance: $6.4 BILLION $1.8 $1.7 $900 $1.9 $193 BILLION BILLION MILLION BILLION MILLION Latin America & Europe and East Asia Sub-Saharan Middle East the Caribbean Central Asia and Pacific Africa and North Africa DEVELOPMENT IMPACT 22 MIGA's Expected Development Results from Projects Signed in FY23 ANNUAL REPORT 2023 23 8,774 $54.5 MILLION $128.8 MILLION Total employment Locally procured Taxes and fees supported goods per year paid per (permanent year to host + temporary) governments 1,431 GWH 40 MILLION 115.8 MW Expanded power New subscribers Power—installed generation to the internet capacity per year 826,464 TCO2E/YEAR $2.6 BILLION $8.6 BILLION GHG emissions Volume of loans Private financing avoided supported mobilized DEVELOPMENT IMPACT 24 MIGA’s Response to Russia’s Invasion of Ukraine According to the World Bank’s most recent Global Economic Prospects report, the global economy is set to slow substantially in 2023, to 2.1 percent, amid continued monetary policy tightening to rein in high inflation. Still struggling with the persistent negative effects of the COVID-19 pandemic, growth in emerging markets and developing economies will be very slow, with expectations showing just an average of 3.4 percent growth, one of the weakest half decades of the past 30 years. ANNUAL REPORT 2023 25 Compounding the steep decline in economic growth, Russia’s invasion of Ukraine is having a global impact on food security, energy access, international trade, and other major sectors. In total, MIGA has issued $142 million Recognizing the invasion’s potentially long-term conse- of new guarantees in Ukraine since quences, MIGA implemented multiple products during the year to respond to the challenges of the ongoing war. As the impacts Russia’s invasion of Ukraine began of the invasion continue to increase fragility and political risks in February 2022. across the world, MIGA’s role to encourage and help facilitate investment becomes even more crucial and the Agency is committed to implementing and refining its response. In June, the United States International Development Finance Ukraine is experiencing extreme fiscal pressures, disruptions Corporation (the US government’s development finance insti- to trade, the displacement of millions of people, and heavy tution) and MIGA agreed to establish a consultative group to infrastructure damage with potentially long-lasting mac- collaborate and coordinate their respective work in Ukraine to roeconomic and social effects. Estimates for recovery and leverage their collective expertise with risk mitigation products reconstruction efforts in the country exceed $411 billion. To and experience in Ukraine. The two agencies will meet regu- counter the crisis, MIGA has developed dynamic responses larly to exchange information on their efforts, identify potential that will support the Ukrainian economy now and with future opportunities for collaboration on projects, and coordinate reconstruction efforts: efforts consistent with the expertise, services, and resources that each institution provides. MIGA has joined forces with the European Bank for Reconstruction and Development (EBRD) to cover trade finance risk to help ensure the continued flow of essential products such as drugs and food into the country. MIGA has issued guarantees to international banks to support liquidity and working capital for small businesses in Ukraine. MIGA has established the Sup- port for Ukraine’s Reconstruction and Economy (SURE) Trust Fund to enable issuance of additional guarantees. Launched with a criti- cal $23 million anchor contribution from Japan, the SURE Trust Fund is expected to grow. HIGHLIGHTS 26 MIGA Support for Ukraine, FY23 MIGA and EBRD of drugs, food, fuel, and fertilizer continue. The insurance on Partner to Support reserves will allow for increased lending by international bank Trade in Ukraine subsidiaries in Ukraine, which will support essential liquidity in the economy, especially for small businesses that are under In FY23, MIGA and EBRD reached pressure because of the war. a landmark agreement in which MIGA will issue up to $200 million in trade finance MIGA Supports guarantees to EBRD to support Ukrainian Financial trade transactions conducted Sector Resilience through state-owned banks in emerging markets and devel- oping economies. A primary beneficiary of the agreement will MIGA has increased a guar- be Ukraine, where an initial MIGA guarantee for the EBRD’s Trade antee to ProCredit Holding AG Finance Program will be used immediately to support trade & Co. KGaA of Germany (Pro- finance at a time when war has severely disrupted trade flows Credit) originally issued in 2020 and supply chains, as well as has significantly reduced the to support the bank’s financ- availability of trade finance by foreign commercial banks. In ing activities for SMEs and the Ukraine, the imports enabled by the new MIGA-EBRD partner- agricultural sector in the country. Local regulations mandate ship will serve humanitarian needs and help keep industries that ProCredit Ukraine maintain a minimum amount of man- like agriculture going while providing critical imports needed datory reserves with the National Bank of Ukraine. Risk weights for production. Imported fuel and natural gas will be important are applied to these mandatory reserves when consolidated at for power generation and transportation, which are not only the group level, resulting in capital consumption for ProCredit. needed by the general population but also essential for com- MIGA’s capital optimization guarantee reduces to zero the risk panies, factories, and farms. weight applicable to the mandatory reserves, thereby enabling ProCredit to use the freed-up capital to support its operations in Ukraine. The MIGA guarantee increase of up to €23.75 million MIGA Launches SURE will allow ProCredit Ukraine to optimize its existing equity, con- Trust Fund tinue offering much needed banking services during the war, and potentially generate new loans to its existing clients. This MIGA launched a new initia- is the first project to tap into the SURE Trust Fund. tive to address humanitarian efforts and support economic activity and reconstruction in war-torn Ukraine, with the inaugural contribution agreed to by the government of Japan. Japan’s critical contribution of $23 million was the first to MIGA’s Support for Ukraine’s Recon- struction and Economy (SURE) Trust Fund. Contributions will allow MIGA to provide trade finance guarantees, insurance on bank reserves during the conflict, and political risk insur- ance to support reconstruction after the war. Addressing a crisis of such magnitude requires, apart from grants and loans to the government of Ukraine, the delivery of high-leverage solutions that enable private sector investment toward the crisis response, including reconstructing infrastructure and preserving economic activity. The trade finance guarantees will support trade with Ukraine and ensure that urgent imports ANNUAL REPORT 2023 27 HIGHLIGHTS 28 HIGHLIGHTED PROJECTS A Closer Look at MIGA Projects in FY23 ANNUAL REPORT 2023 29 MIGA Signs This fiscal year marks the signing of MIGA’s 1,000th project, which provides guarantees allowing the Senegalese government to 1,000th Project increase its interest in the current operator of container terminals at the port of Dakar and future port of Ndayane. The MIGA-cov- in Senegal ered loan facility is expected to decrease the present value of the total debt service of the facilities being refinanced. In addition, the reprofiling of debt service over a longer tenor is estimated to decrease debt service obligations in the near term, provid- ing more flexibility in the current challenging global financing conditions. Moreover, the additional dividends derived from the government’s increased shareholding in DP World Dakar are expected to lead to a positive return on investment for the gov- ernment based on DP World Dakar’s historical performance and future outlook. Ports play a key role in Senegal’s economy and plans for future development of the country. With more than 700 kilometers of coastline, Senegal’s position at the westernmost point of Africa and the Sahel gives the country a strategic advantage to become a regional hub linking Africa to the rest of the world. Located at the crossroads of several key maritime routes, the port of Dakar offers ships competitive navigation time in West Africa. This project supporting the government of Senegal’s invest- ment in the port of Dakar is the most recent example of MIGA in action and demonstrates MIGA’s commitment to its mission of supporting economic growth, reducing poverty, and improving people’s lives by mobilizing cross-border private investment into developing countries. HIGHLIGHTS 30 Supporting Renewable Energy Investment in Somalia The Somali energy sector is one of the most underdeveloped in Africa, with electrification rates estimated at 35 percent. Much of Somalia’s public electricity infrastructure was destroyed during its internal conflict, with the private sector stepping in to create small energy service providers that are now generating more than 90 percent of the electricity in the country. As a result of the in-country limited electricity infrastructure, the United Nations has relied on its own diesel generators, and it is currently one Upgrading of the largest self-generators of electricity in Somalia, with an Telecommunications installed capacity of approximately 65 megawatts compared to the total grid-connected installed electricity generation and Connecting capacity of 138 megawatts. People in Ethiopia With the support of a MIGA guarantee, the project, developed by Kube Energy in collaboration with the government of the South West State of Somalia, and financed and further devel- Together, MIGA and IFC provided equity investment, a loan, and oped in partnership with Cross Boundary Energy, will establish a guarantees to support the ongoing construction and opera- hybrid solar power plant in Baidoa. The power plant will have a tion of Safaricom Ethiopia’s greenfield telecommunications capacity of approximately 2.8 megawatts of solar PV modules network. The cooperation between MIGA and IFC is helping to and 4.8 megawatt-hours of battery storage integrated with create more affordable internet, reliable mobile connectivity, synchronized generators. As MIGA’s first project in Somalia, its and technology access for people and businesses in the coun- guarantees will help the solar hybrid power plant lead to sig- try. By increasing access to digital services, the project has the nificant greenhouse gas (GHG) emissions savings, as the solar potential to help create up to 2 million direct and indirect jobs in power produced will displace diesel generators that are highly Ethiopia, contribute to the country’s sustainable future growth, polluting. The project will displace an estimated fuel usage and increase both financial and social inclusion for Ethiopians. of approximately 1 million liters per year, resulting in avoided GHG emissions of approximately 2,800 tons of CO2e per year. MIGA’s support will provide 10-year guarantees of $1 billion to Furthermore, the project will help the United Nations reach its cover the equity investments of Safaricom Ethiopia’s share- ambitious target of 80 percent renewable energy use by 2030 holders: Vodafone Group, Vodacom, Safaricom, and British across all its peacekeeping missions. MIGA drew on capacity International Investment. A portion of the MIGA guarantees, from the donor-funded Renewable Energy Catalyst Trust Fund $76 million, will come from the MIGA Guarantee Facility, part of when providing this guarantee. the IDA Private Sector Window, in the form of a first-loss layer. MIGA’s guarantees in the digital infrastructure sector are helping to connect the unconnected and to create opportunities, par- ticularly in Africa and in fragile and conflict-affected countries. With this project, MIGA’s contribution to the enhancement of the digital infrastructure reached $1.87 billion over the past decade, mainly in fragile and conflict-affected countries. ANNUAL REPORT 2023 31 Increasing Renewable Increasing Energy Energy Capacity Efficiency in St. Lucia in Mexico Dependent on imported petroleum products to power its econ- omy, St. Lucia has among the highest electricity tariffs in the Mexico’s vertically integrated electric utility, Comisión Fed- world. The government of St. Lucia is working to transition to a eral de Electricidad (CFE), plays a central role in the country’s lower-carbon economy and is undertaking initiatives to pro- energy sector, providing electricity to 99 percent of the Mex- mote climate resilience and energy efficiencies, being one of ican population. As the only provider of energy transmission the first countries in the Caribbean to modernize its entire public and distribution services in the country, the CFE generates, street lighting network. transmits, and distributes electricity, and ensures affordable electricity to the poorest. As demand for electricity continues To support this initiative, MIGA has issued guarantees that will to rise, the CFE has developed an investment program geared help support the installation, operation, and servicing of a mod- toward expanding generation capacity as well as maintaining ernized street lighting network. This is MIGA’s first project in the and improving its current power sector infrastructure. country and an important initiative that is consistent with the government’s climate change policy, demonstrating its com- MIGA guarantees will assist with the rehabilitation and mod- mitment to increase energy efficiency to reduce the country’s ernization of electricity generation components within existing carbon footprint. By modernizing its public street lighting net- hydroelectric power plants that have been operating for many work, St. Lucia serves as a model to others in the region and is years but due to their age and the equipment available at the making an important step toward meeting targets submitted time of their commissioning are not performing optimally. to the United Nations of a 16 percent reduction in GHG emissions Proceeds from the MIGA-covered loans will be used to support by 2025, and a 23 percent reduction by 2030. Additionally, the repowering and major upgrade works of seven existing hydro- installation of energy-efficient LEDs will contribute to a reduction electric plants owned and operated by the CFE in Mexico. The in streetlight electricity consumption by 68.9 percent. Energy upgrades will include, depending on the site, replacement of savings from the LED streetlights are estimated to be about 6.8 turbines, generators, transformers, and ancillary systems that gigawatt-hours per year, corresponding to monetary savings are expected to increase the hydroelectric energy generation of about $2.3 million per year, which will enable the government capacity as well as extend the assets’ useful life by several to focus on other development initiatives. decades, improve reliability, and reduce maintenance costs, with the overall effect of lowering the levelized costs of energy produced by the plants. Given Mexico’s heavy reliance on fossil fuels for generation, the project plays an important role in the execution of the coun- try’s sustainable agenda. In addition, the project is aligned with the World Bank Group Country Partnership Framework 2020–25 for Mexico in enabling sustainable infrastructure and supporting the government of Mexico in reaching its climate change goals. It is also aligned with MIGA’s FY21–23 Strategy and Business Outlook under its strategic direction of demon- strating leadership on the global issue of climate change. HIGHLIGHTS 32 BUSINESS AND OPERATIONAL REVIEW ANNUAL REPORT 2023 33 Guarantee Portfolio Exposure  In FY23, as multiple global crises continued to threaten eco- ances went to IDA-eligible countries, 19 percent went to fragile nomic development, MIGA delivered a program of $6.4 billion and conflict-affected countries, and 28 percent of the total in new guarantees, the most in a year since the Agency was guaranteed investment of the projects contributed to climate founded. This year, almost all of MIGA’s projects supported at finance. MIGA’s gross outstanding exposure stands at almost least one of its three priority areas: 27 percent of gross issu- $28 billion and net exposure at $9.5 billion. Gross Guarantee Portfolio Exposure ($B) Net Guarantee Portfolio Exposure ($B) 23.3 22.6 23.0 24.4 27.9 8.3 9.2 9.1 9.0 9.5 FY19 FY20 FY21 FY22 FY23 BUSINESS OVERVIEW 34 PRIORITY AREAS ANNUAL REPORT 2023 35 Strategic Priority Areas In its FY21–23 strategy, MIGA set out a goal to deepen its com- 2. CLIMATE CHANGE mitment across two critical areas:  MIGA is leveraging the use of its guarantees to mobilize financ- 1. INCREASING ENGAGEMENT ing for projects that support climate mitigation or adaptation. IN IDA AND FCS COUNTRIES During FY23, MIGA issued guarantees supporting climate change mitigation or adaptation in 31 projects and across 23 countries. The climate finance component of the new guar- 2. INCREASING ITS SUPPORT FOR PROJECTS THAT ADDRESS CLIMATE antees issued in FY23 of $1.5 billion accounted for 28 percent CHANGE  of the total guaranteed investment of the projects supported. The projects signed in FY23 will help avoid 826,464 metric tons of CO2 emissions annually. Notable climate projects this year included one that promotes 1. IDA AND FCS the development of green housing in Peru, a climate finance infrastructure project that helps promote a green economic FY23 marks the end of MIGA’s FY21–23 strategy, under which the recovery in Colombia, as well as one that supports energy Agency sought to deliver an average annual new guarantee efficiency in St. Lucia. MIGA clients incorporated measures to volume of $5.5 billion–$6 billion while seeking to deepen its impact make the projects resilient to the impacts of climate change in IDA-eligible countries and fragile and conflict-affected situa- in those regions. tions (FCS) and to step up issuance of guarantees in support of climate finance. During this strategy cycle, MIGA experienced sig- To increase its climate action, the World Bank Group announced nificant growth in its guarantee issuance, reaching a record high a new Climate Change Action Plan to guide its interventions of $6.4 billion in FY23 and also delivering an average annual new from 2021 through 2025. The plan provides a bold strategic road guarantee volume over $5.5 billion, while maintaining a strong map for tackling climate change and helping client countries focus and delivering significant impact in the strategic priority to fully integrate their climate and development goals. MIGA’s areas. products have helped cross-border investors protect their long-term investments in climate mitigation and adaptation The strategic focus in FY24, considered a transition year under activities across diverse markets and regions. As one of the MIGA’s FY24–26 strategy cycle, will be on delivering on the twin few institutions that provides long-tenor guarantees, MIGA will goals and supporting the Sustainable Development Goals be instrumental in helping investors identify and address cli- (SDGs) through (a) ensuring inclusive growth, both by geo- mate challenges and fostering the lock-in of transformational graphic location and sector; and (b) responding to global climate action. challenges, such as sustainability, climate change mitigation   and adaptation, addressing pandemics, and tackling fragility. The plan also sets forth MIGA’s goal to align its future portfolio with the Paris Agreement: Eighty-five percent of Board-ap- In FY23, MIGA leveraged its blended finance facilities to further proved real sector operations will be aligned starting July 1, expand operations into higher-risk IDA and FCS locations. In 2023, and 100 percent by July 1, 2025. Ukraine, MIGA used the Conflict-Affected and Fragile Economies   Facility (CAFEF) and the SURE Trust Fund to cede exposure of MIGA is committed to promoting projects that are economically, $29.3 million on a first-loss basis on two projects in the finan- environmentally, and socially sustainable and that promise a cial sector. The Agency used IDA Private Sector Window (PSW) strong development impact. in the landmark telecom transaction in Ethiopia and ceded $76 million to the PSW. And in Somalia, MIGA was able to use a combination of IDA PSW and Renewable Energy Catalyst Trust Fund (RECTF) first-loss covers totaling $3.4 million for a mini- grid solar power project. PRIORITY AREAS 36 Innovation Innovation makes it possible for MIGA to do more with its products, broaden its development impact, and evolve alongside a dynamic investment market in developing economies. While keeping a finger on the pulse of these markets, the Agency has cultivated new innovations that will help deliver the best possible development outcomes for countries and help clients further their investment potential.  MIGA Strategic Priorities Facility The MIGA Strategic Priorities Facility, established in FY22, is a pro- from Japan and other donors, MIGA is able to provide trade grammatic approach that integrates and manages MIGA’s trust finance guarantees, insurance on bank reserves during the funds under a common framework and governance structure. conflict, and political risk insurance to support reconstruction Its broad objective is to streamline trust fund operations and after the war. Addressing a crisis of such magnitude requires, enhance administrative efficiencies. MIGA establishes special apart from grants and loans to the government of Ukraine, the guarantee facilities and trust funds to encourage investment delivery of high-leverage solutions that enable private sector and build capacity in targeted areas. The Strategic Priorities investment toward the crisis response, including reconstruct- Facility provides a consistent approach for strategy formulation, ing infrastructure and preserving economic activity. The trade review, direction, and monitoring of all constituent trust funds. finance guarantees will support trade with Ukraine and ensure Within this broader program objective, each trust fund delivers that urgent imports of drugs, food, fuel, and fertilizer continue. its respective development objectives. The insurance on reserves will allow for increased lending by international bank subsidiaries in Ukraine, which will support This year, MIGA launched a new trust fund, Support for Ukraine’s essential liquidity in the economy, especially for small busi- Reconstruction and Economy Trust Fund, to address humanitar- nesses that are under pressure because of the war. ian efforts and support economic activity and reconstruction in Ukraine. The government of Japan provided the fund’s Also this year, MIGA, as administrator for the West Bank and first contribution, committing $23 million. With contributions Gaza Investment Trust Fund (WBGTF), partnered with the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) to guarantee up to $16.61 million of investments into Nakheel Palestine for Agriculture Investment, a leading pro- ducer of dates in the West Bank. This is ICIEC’s first insured project in the Palestinian territories, a landmark achievement enabled by its risk-sharing agreement with MIGA. ANNUAL REPORT 2023 37 The Nakheel Palestine date farm is a critical employer in an economy hard-hit by unemployment and poverty. In 2021, Nakheel Palestine employed 74 permanent and 741 temporary employees, of whom 30 percent were women and 60 per- cent came from low-income families. The project will have a positive impact on female employees. As part of the guaran- tee, Nakheel Palestine committed to working with IFC through its Diversity4Palestine Project to address the challenges in attracting, retaining, and promoting Palestinian women in the workforce. In addition, the project is aligned with the Paris Agreement, delivering both climate mitigation and adaptation through nearly 1,300 solar panels that generate 20 percent of its total electricity needs. This year, in its first project in Somalia, MIGA used the Renewable Energy Catalyst Trust Fund (RECTF) to support Kube Energy’s equity and debt investments in Kube Energy Somalia LLC. This project in Baidoa, Somalia, will establish a hybrid solar power plant that will increase energy access, reduce GHG emissions, and build clean power generation capacity in the city of Baidoa, an important regional trading hub with a growing population of people displaced by conflict and drought. The RECTF, which was established in FY22, is proving to be a valuable asset, allowing Regulatory Relief  MIGA to extend its guarantee reach and increase affordability, particularly in higher risk locations. This fiscal year, MIGA continued using its capital optimization product to provide regulatory relief to banks. Delivery of this The Conflict-Affected and Fragile Economies Facility (CAFEF), a product allowed banks to maintain lending during the chal- multidonor trust fund, supports MIGA’s activities in FCS econo- lenging economic times. In addition, MIGA made significant mies. It does so by providing first-loss and/or second-loss layers progress in using its capital optimization product to scale up (together, the “initial-loss layer”). This year, CAFEF helped sup- climate finance by our client financial institutions, and MIGA port the Nakheel Palestine date farm project mentioned above. plans to further expand this approach. The Agency is also look- It also supported Raiffeisen Bank International AG (RBI) to cover ing into whether a similar product can be tailored for the needs equity investments in its subsidiary Raiffeisen Bank Joint Stock of institutional investors and insurance companies. Company (RBUA) in Ukraine against the risk of expropriation   of funds with respect to the mandatory cash reserves held at In FY23, MIGA issued a guarantee of $200 million to Banco Ukraine’s central bank. Santander, S.A. to cover equity investments in its subsidiary Banco Santander Argentina, S.A. against the risk of expropriation In 2022, MIGA established the Fund for Advancing Sustainabil- of funds with respect to the mandatory cash reserves held at ity (FASTF), which aims to enhance the development impacts the host country’s central bank. The MIGA guarantee will help of MIGA projects and mitigate their risks by delivering direct reduce to zero the risk weight applicable to the mandatory technical assistance through both third-party service providers reserves, which will allow Santander to use the freed-up capital and technical assistance grants. The trust fund’s first grant was to support its operations in Argentina. Santander Argentina will successfully disbursed in FY23 to Burapha Agro-Forestry Co., Ltd use the enhanced lending capacity to provide credit across in the Lao People’s Democratic Republic. The $149,000 grant will all segments of its portfolio, including corporates, households, help Burapha undertake a series of surveys and assessments and SMEs. The bank will be able to offer around $100 million to build its capabilities in pursuing carbon credit operations; to support lending for women-owned SMEs. The expanded obtain Climate, Community & Biodiversity Standards accred- lending capacity resulting from MIGA’s guarantee will support itation; and support its efforts to enhance its environmental key sectors of the Argentine economy, such as agribusiness, and social performance, as well as to identify and address the in particular agri-exporters. The MIGA guarantee also helps potential gender wage gap in its workforce. facilitate the growth of Santander Argentina’s operations. PRIORITY AREAS 38 Cutting-Edge Finance Mortgage access in Peru is limited, with a housing deficit esti- mated at 1.9 million units. That includes houses that do not meet basic housing needs in terms of construction deficien- cies and houses that are overcrowded or have no access to electricity, water, and sanitation. Compounding the situation, access to mortgages is constrained by the lack of formal jobs and bank accounts. As part of MIGA’s ongoing effort to provide innovative financial solutions, the Agency issued guarantees to JPMorgan Chase Bank, N.A. against the risk of nonpayment of two loans to Fondo Mivivienda, S.A., a state enterprise owned by the government of Peru, in both US dollars and Peruvian soles (PEN). The dollar-denominated loan provides up to $150 million in principal. The second loan is a PEN-indexed loan for up to the PEN equivalent of $150 million. By MIGA utilizing US dollars and PEN for the guarantees, the risk of the adverse Application to New Technologies effects that can be caused by variable exchange rates is offset. To support technology-driven, automated indoor cultivation, Through this inventive approach of MIGA-guaranteed loans, MIGA provided guarantees of $10 million covering the share- Fondo Mivivienda, S.A. will be able to use at least 50 percent holder loan investment from Agricultural Corporation, Inc. Water of the loan proceeds to continue financing the My Green Solution, Inc. (“IWS Korea”) into In Water Solution Agro Limited House Program, which provides financing for the acquisi- Liability Company, which is solely owned by IWS Korea and tion of properties certified as sustainable green housing. was incorporated in the Kyrgyz Republic in March 2019 for the The remaining 50 percent will be used to finance inclusive purpose of developing a smart agribusiness. The 10-hectare housing for low-income and vulnerable populations. smart farm consists of hydroponic greenhouses with auto- mated systems that comprehensively control the growing environment for vegetables and flowers. Dohwa Engineering Co., Ltd., a leading engineering company in Korea, was the key sponsor, making an equity investment into IWS Korea that was the primary source of funds for the project; the funds were then invested as shareholder loans into IWS Agro for implementation. With 63 percent of the Kyrgyz population living in rural areas, agriculture serves as the backbone of the Kyrgyz Republic’s economy. However, the country suffers from a frequent lack of food supply and extremely volatile food prices because of its underdeveloped agricultural practices (for example, outdoor land cultivation), which are particularly vulnerable to climate change impacts. The MIGA guarantee will help tackle these problems and create new jobs for local people while focusing on community engagement, including skill transfer and job training. This is the first MIGA project to provide guarantees to support the smart farm industry. ANNUAL REPORT 2023 39 Reinsurance Since 1997, MIGA has successfully The Agency continues to make use of the reinsurance market, ceding $5 billion of new business to its reinsurance partners used reinsurance as a tool to use during FY23 in line with the strategy of preserving capital to sup- its capital efficiently and manage port growth. As of June 30, 2023, 64.6 percent of the outstanding gross portfolio was reinsured, up from 61.9 percent in FY22. the risk profile of its portfolio. The primary benefits of reinsurance accrue to MIGA’s clients—first, to the investors, who gain access to increased capacity to insure eligible projects in developing countries; and second, to client countries, which benefit from larger amounts of foreign direct investment (FDI). Portfolio Reinsurance ($B) and Rate (%) 20 65% 70% 64% 62% 58% 59% 18 60% 14.9 15.1 15 13.2 13.6 50% 40% 10 30% 20% 5 10% 0 0% FY19 FY20 FY21 FY22 FY23 Outstanding reinsurance Portfolio reinsurance rate PRIORITY AREAS 40 Leveraging MIGA’s Partnerships for Greater Development Impact  Expanding collaboration that encourages productive use of political risk insurance (PRI) is essential for unlocking material private capital, which in turn contributes to achieving the Sustainable Development Goals, boosting shared prosperity, and ending extreme poverty. To this end, MIGA works to enhance coordination with international finance institutions, industry partners, and across the World Bank Group.  Partnerships with MIGA works with international finance institutions (IFIs) and multilateral development International Finance banks (MDBs) to leverage PRI and mobilize private capital for development. In 2018, Institutions  the G20 Eminent Persons Group on Global Financial Governance recommended that MIGA apply its position as a global risk insurer in development finance to work with other IFIs. Since then, the Agency has taken key steps with other MDBs and IFIs to help realize these recommendations.  As part of MIGA’s outreach to promote more FDI in developing member countries, MIGA is convening stakeholders on a regional basis for candid roundtable conversations, with a view to improving investment conditions and increasing cross-border invest- ments. The in-person roundtables are cohosted with a member country in various regions in Africa, Asia, and the Caribbean. The second roundtable of the series was held in Dar es Salaam in September 2022 and was cohosted with Tanzania, which was represented by Minister Dr. Ashatu K. Kijaj, of the Ministry of Investment, Industry and Trade. Government officials representing Botswana, Malawi, Mozambique, Somalia, Zambia, and Zimbabwe also attended the roundtable. High-level executives from MIGA clients active in the region and local Tanzanian enterprises provided private sector perspectives. Governments outlined current opportunities, while investors emphasized the importance of a robust regulatory framework. MIGA also facilitated bilateral meetings between governments and investors. ANNUAL REPORT 2023 41 Industry Partnering with others in insurance and development finance is essential to deliver Partnerships results on the ground. MIGA’s EVP serves as cochair of the steering committee of the Insurance Development Forum (IDF), a public-private partnership that brings together private and public insurance companies to optimize the use of insurance to build greater resilience. The Agency is also a member of the Berne Union of global export credit and investment insurance providers. The Berne Union actively facilitates cross-border trade by supporting international acceptance of sound principles in export credits and foreign investments. This year, MIGA and the Korea Trade Insurance Corporation (K-SURE) entered into an agreement to cooperate in promoting FDI. MIGA and K-SURE will work together to pro- vide co-insurance and reinsurance for projects, especially in the green industry, with a focus on renewable technologies and critical minerals. As partners, they will share due diligence regarding joint projects, rely on each other’s work to achieve efficiencies, and seek to develop arrangements to work in standardized roles on projects to repeat successful partnership models. In addition, K-SURE and MIGA will hold consultations on a regular basis relating to potential joint projects, mutually refer potential investors, and plan joint marketing efforts, seminars, and trainings. Knowledge The United States International Development Finance Corporation (DFC)—the US Partnerships  government’s development finance institution—and MIGA agreed to establish a consultative group to collaborate and coordinate their respective work in Ukraine to leverage their collective expertise with risk mitigation products and experience in Ukraine. The two agencies will meet regularly to exchange information on their efforts, identify potential opportunities for collaboration on projects, and coordinate efforts consistent with the expertise, products, and resources that each institution provides. MIGA and the International Law Institute, a capacity-building and technical assistance institute, signed a memorandum of understanding to train stakeholders from devel- oping countries on PRI products, optimal structures for public-private partnerships requiring MIGA products, and other issues that arise in the context of PRI, cross-border transactions, dispute resolution, and governance. A key component focuses on jointly developing and conducting a legal, economic, and policy capacity-building curric- ulum and certificate program related to PRI. The collaborative effort will increase the institutional capacity of government officials, legal practitioners, private sector officers, and members of multilateral and other international development organizations.   Partnerships with external organizations serve an essential role in furthering MIGA’s Gender Strategy Implementation Plan (discussed under “Gender Initiatives”) and expanding the knowledge base on gender-related issues. PRIORITY AREAS 42 Environmental and Social Sustainability at MIGA MIGA believes that an important component of achieving positive development outcomes is the environmental and social (E&S) sustainability of its projects, which MIGA expects to achieve through the application of the MIGA Policy on Environmental and Social Sustainability and the Equator Principles, a comprehensive set of E&S performance standards widely accepted in the financial sector. Actions to Ensure E&S Sustainability MIGA helps investors raise the bar on Integration at MIGA:  E&S objectives in several ways: Prescreening all projects for social and environmental Ensuring that investments meet vigorous and impact  internationally recognized standards Gathering development effectiveness indicators Working with clients to continually monitor and report from clients  on E&S impacts  Applying MIGA's Impact Performance Assessment and Allowing clients to enter markets they otherwise would Comparison Tool (IMPACT) framework to assess not have been able to reach, which can bring high a project's expected development impact  development returns Ensuring that projects meet the MIGA Performance Standards on Environmental and Social (E&S) Sustainability  Verifying E&S impact through ex post evaluations  Assessing climate risk  ANNUAL REPORT 2023 43 Measuring and Evaluating Development Impact  Assessing impact is critical for IMPACT Framework understanding the reach and results The Impact Performance Assessment and Comparison Tool of the projects MIGA supports. From (IMPACT) assesses expected project-specific outcomes as well as beyond-the-project effects on foreign investment. The frame- project origination to project close work complements the Agency’s broader results measurement and after, MIGA implements several system. IMPACT has the following objectives:    frameworks and tools that monitor • To perform ex ante assessments of development impact and evaluate E&S performance. for individual projects  • To enable comparative analysis  • To inform project prioritization based on assessment of expected development impact  • To align with IFC’s Anticipated Impact Measurement and Monitoring (AIMM) framework and coordinate development impact ratings for IFC-MIGA joint projects  • To follow an agile approach to integrate IMPACT efficiently with MIGA’s existing guarantee processes Development Effectiveness Indicator System The Development Effectiveness Indicator System (DEIS) helps measure and track the development impact of MIGA- insured projects. Through this system, MIGA measures a common set of indicators across all projects: investment support, direct employment, locally procured goods, and taxes and fees paid to host governments, among others. It also measures sec- tor-specific indicators and puts into place a process to measure projects’ development outcomes three years from the time of contract signing.  Evaluation  Since FY12, all projects have been evaluated by MIGA and the World Bank Group’s Independent Evaluation Group (IEG), an independent evaluation body. The evaluations assess the achievement of the development outcomes of MIGA-supported projects through project evaluation reports (PERs). MIGA con- ducts self-evaluations that are then validated by the IEG. Project evaluations are useful not only for assessing the results but also for generating lessons for future projects. MIGA actively uses evaluation findings in staff learning events.  PRIORITY AREAS 44 Integrity Integrity and reputational risk MIGA’s integrity team conducts due diligence as part of busi- ness development and underwriting and monitors projects in management are key to MIGA’s the portfolio for potential emerging integrity or reputational role as a development partner. risk flags. In this work, MIGA uses on-site evaluations, market soundings, experience with the client, World Bank and IFC local MIGA considers integrity and knowledge, and desktop resources, including proprietary data- reputational risk in its clients and bases. In FY23, MIGA continued to share integrity best practices through collaboration with other World Bank Group members projects, subscribing to the World and development partners as well as through participation in Bank Group’s Anti-Corruption various integrity-focused forums. Guidelines, which identify fraud, corruption, collusion, coercion, and obstruction as major impediments to development and as sanctionable practices. MIGA Task Force on Climate-Related Financial Disclosures Report As the third year of the World Bank MIGA’s climate action efforts and the impacts of its guarantees on the global goals of climate change mitigation and adap- Group Climate Change Action tation continue to evolve and strengthen, and collectively the Plan (CCAP) (2021–2025) ends, World Bank Group remains the largest financier of climate action among the MDBs for low- and middle-income coun- MIGA continues to disclose under tries. Mobilizing private sector financing at scale is critical for the guidelines recommended by low-carbon and climate-resilient development in MIGA’s client countries. MIGA continues to enable private sector mobilization the Task Force on Climate-Related for critical climate action, including through expanding access Financial Disclosures (TCFD) and is to low-carbon electricity; building climate-resilient infrastruc- ture; developing low-carbon transportation modes; promoting issuing the third report as part of climate-smart agriculture; boosting investments in greening the MIGA Sustainability Report and initiatives to improve resource efficiencies, lowering the opera- tional GHG footprint of manufacturing; and supporting financial is providing a summary for this institutions to grow their climate finance lending. Annual Report. ANNUAL REPORT 2023 45 In addition, MIGA, as part of the World Bank Group, continues Strategy to play an important role in the development of the Country Climate and Development Reports (CCDRs), which integrate cli- The CCAP aims to integrate climate with development and mate change with development and define priority actions for advance the World Bank Group’s GRID objectives by focusing the World Bank’ Group’s client countries to support a low-car- on people, natural capital, and partners. The CCAP reflects the bon and climate-resilient transition. MIGA is ensuring its support World Bank Group’s ambition to support its public and private for climate action continues to align with broader strategies for sector clients to maximize the impact of climate finance, aiming green, resilient, and inclusive development (GRID) in its client for measurable improvements in climate adaptation and resil- countries. ience and reductions in GHG emissions. The CCAP objectives include (a) integrating climate and development; and (b) prior- As the World Bank Group is undergoing an “Evolution” to better itizing key systems transitions by identifying the largest climate address the global challenges to development, including cli- mitigation and adaptation opportunities and driving climate mate change, MIGA is strengthening its commitment to the finance and leveraging private capital to deliver the maximum threats posed by global warming in both low and middle-in- results. Addressing climate change is a priority area for MIGA, come countries. An important component of these efforts is along with support for low-income countries and countries MIGA’s commitment , to align 85 percent of its new projects facing fragility, conflict, and violence (FCV). MIGA’s climate strat- with the goals of the Paris Agreement beginning July 1, 2023 egy reflects the ambition of the commitments made in the (FY24), and 100 percent, beginning July 1, 2025 (FY26). Paris CCAP, MIGA’s Strategy and Business Outlook FY21–23, and MIGA’s alignment requires financing for development to be consis- Strategy and Business Outlook FY24–26 to deepen its impact. tent with low-carbon and climate-resilient pathways to limit During FY23, MIGA focused on six strategic areas for its climate global warming to well below 2 degrees Celsius, and preferably business: clean energy, climate-resilient infrastructure, green 1.5 degrees Celsius, above preindustrial levels. buildings, low-carbon transportation, climate-smart agricul- ture, and greening financial systems. Support for these sectors is The report discloses MIGA’s climate action results after following critical to ensure MIGA’s client countries align their development the task force’s recommendations and is organized around with low-carbon and climate-resilient pathways. To ensure four core elements: intended development objectives are achieved and gains are sustained, MIGA evaluates the materiality of both physical and Governance transition climate-related risks for all sectors and aims to define appropriate risk mitigation measures where necessary. All aspects of MIGA’s climate business and related protocols are overseen by MIGA’s Executive Vice President (EVP), who Risk Management reports to the President of the World Bank Group. MIGA’s Board of Directors are responsible for approving all of MIGA’s opera- In assessing the materiality of climate change risks, MIGA works tions and policies. The Vice President and Chief Risk, Legal and with its clients to evaluate climate risk sources and risk vec- Administrative Officer and Partnerships, reporting to MIGA’s tors for climate-sensitive sectors. MIGA adopts a bottom-up EVP, oversees, among other departments, the Economics approach, which is location-, context-, and time-specific, and and Sustainability Department, which houses the Climate focuses on past, present, and future climate-related vulnerabil- Analytics Unit. The Climate Analytics team is responsible for ities. The assessments include both acute hazards (for example, climate finance accounting; Paris alignment assessment; extreme events such as floods, heat waves, fires, and tropical GHG emissions accounting; support of the development of cyclones) and chronic hazards (for example, sea-level rise, climate-related internal and/or external frameworks, policies, changing precipitation and temperature patterns, and water and guidance materials on salient climate-related thematic scarcity) that are evaluated over multiple future time horizons areas; development of new MIGA products to foster low-car- and global warming scenarios. bon and climate-resilient investments; analysis and reporting on MIGA’s climate business; monitoring of MIGA’s portfolio of projects to ensure climate action commitments made at the project-approval stage by MIGA’s clients are being adhered to; contributing to World Bank Group climate analytics and stra- tegic initiatives; and participating in joint MDB working groups on climate finance and Paris alignment. PRIORITY AREAS 46 Metrics and Targets In FY23, MIGA issued guarantees in support of debt and equity investments of around $5.5 billion, of which $1.53 billion sup- ported climate change mitigation or adaptation in 23 countries and the West Bank and Gaza, across four regions, representing 27.7 percent of guaranteed investment in FY23.1 MIGA’s climate finance issuance supports low-carbon and climate-resilient projects across the globe, with little concentration in any region. Over FY21–23, exposures through financial intermediaries (which support activities across sectors) was the largest sectoral expo- sure, at 41 percent, followed by green buildings at 25 percent and renewable energy at 23 percent. 1. MIGA’s total gross issuance in FY23 was $6.4 billion, of which around $5.5 billion represented underlying loan and equity investments guaranteed. The difference between the two dollar amounts represents guaranteed amounts pertaining to financing for other costs than the underlying investments (for example, future interest payments, financing of premium payments). Beginning in FY22, MIGA’s climate finance target is computed as a percentage of the underlying loan and equity investments guaranteed instead of the total gross guarantee issuance. ANNUAL REPORT 2023 47 Gender Initiatives Under the corporate pillar, MIGA focuses on building staff gender MIGA continued to deliver on its knowledge and skills. This year, the Agency trained each of commitment to advancing gender its sector teams2 on opportunities to narrow gender gaps on MIGA-supported projects and the Gender Flag3 approach. In equality through its Gender Strategy addition, a gender-based violence (GBV) monitoring tip sheet Implementation Plan FY21–23, its first and an e-learning module on GBV risk management were developed. MIGA continued to work on increasing gender parity such plan. This implementation plan and equality as part of its diversity, equity, and inclusion efforts. identifies opportunities for increased This year, all staff were again invited to participate in small- group discussions on diversity, equity, and inclusion, offering a gender actions aligned with three platform for transparent and open discussion. Moreover, MIGA strategic pillars: corporate, client developed its second Gender Strategy Implementation Plan, for FY24–26, building on the lessons and successes of the first one. engagement, and partnerships. Under the client engagement pillar, in FY23 MIGA reached a milestone with over $1.2 billion in client lending commitments to women and women-owned businesses mobilized through our guarantees. Other Gender Flag project highlights include the following: • In May 2023, MIGA signed its first Gender Flag project in the real sector with Nakheel Palestine for Agriculture Investment, 2. Energy and Extractives Industries (EEI); Finance and Capital Markets (FINCAP); a leading producer of dates in the West Bank. As part of the Global Transaction Team (GTT); Infrastructure; and Manufacturing, Agriculture and Services (MAS). guarantee, Nakheel Palestine committed to working with 3. The Gender Flag identifies projects that take intentional actions to narrow gender IFC through its Diversity4Palestine Project to address the gaps. PRIORITY AREAS 48 challenges in attracting, retaining, and promoting women Gender Leadership Award in the workforce. • In April 2023, Santander Argentina committed to its second Gender Action Plan with MIGA, including a substantial lend- ing target to women-owned businesses. • In March 2023, MIGA agreed its first Gender Action Plan with ProCredit that covers its subsidiaries in Albania, Georgia, Kosovo, Moldova, North Macedonia, and Serbia. Subse- quently, in June 2023, MIGA signed its second gender project with ProCredit to support its subsidiary in Ukraine, demon- strating the client’s commitment to gender equality as well as MIGA’s ability to continue to expand existing client com- mitments on gender. ProCredit will implement a new gender training program with at least 25 percent of their Ukraine staff to build gender knowledge and capacity. • In December 2022, MIGA guaranteed a loan to Colombia’s MIGA’s Gender Leadership Award, now in its eighth year, recognizes state-owned business development and export develop- senior managers with a proven track record of furthering the cause ment bank, Bancóldex (Banco de Desarrollo Empresarial of women’s advancement and gender equality in business while de Colombia). The project incorporates a Gender Action contributing to the World Bank Group’s twin goals of reducing pov- Plan that includes the development of new financial or erty and boosting shared prosperity. nonfinancial product or service to address the challenges experienced by women entrepreneurs. MIGA awarded This year’s award recognized Claudia María González Arteaga, Bancóldex’s CFO, Claudia María González Arteaga, the CFO at Bancóldex (Banco de Desarrollo Empresarial de Colom- 2023 Gender Leadership Award for her efforts to address bia). Her dedication to innovation has boosted access to credit gender disparities and support women-owned businesses for MSMEs (micro, small, and medium enterprises) in Colom- in Colombia. This is the first time a recipient organization bia. Her work is helping to build a green economy and support will receive gender-related technical assistance funded gender equality in the country. Ms. González has over 15 years’ by MIGA. experience in the banking industry in Colombia, and a history of leadership in an industry where women still make up just 18 In addition, MIGA further intensified its efforts to identify, manage, percent of all C-suite roles, according to the 2022 Gender Bal- and monitor GBV risks by mainstreaming them into the overall ance Index. Even when women are in leadership positions and E&S risk management process and increasing capacity by on executive committees, they are over twice as likely to have hiring a senior social specialist to be the GBV focal point on internal and administrative roles as their male counterparts. In the E&S Team. her role as CFO, Ms. González is in a strong position to influence how Bancóldex serves its customers. Under the partnerships pillar, MIGA deepens its collaboration with IFC and the World Bank, benefiting from their expertise and leveraging lessons learned and best practices. In FY23, MIGA Enhancing Opportunities for Women and IFC partnered to deploy gender technical assistance on in Paraguay two MIGA-supported projects. IFC’s Banking on Women Team is implementing technical assistance for a development In FY22, MIGA issued guarantees to support Agencia Financiera agency in Paraguay, while IFC’s Diversity4Palestine Project will de Desarrollo (AFD), a state-owned development bank in Para- support Nakheel Palestine in their efforts to increase female guay. AFD agreed to implement a Gender Action Plan to set the employment. foundation for increasing financing to women-owned MSMEs. This fiscal year, IFC’s Banking on Women Team, in partnership In addition, for the first time MIGA is codeveloping the World Bank with MIGA, provided technical assistance to AFD to implement Group Gender Strategy for 2024–30. The inclusion of MIGA for the action plan. IFC conducted gender intelligence trainings for the first time provides the Agency with heightened visibility on all AFD staff and select AFD client banks, undertook a gender gender at the institutional and global levels while identifying diagnostic to identify AFD’s strengths and areas of opportu- critical pathways for client engagement to further advance nity to develop a sustainable gender program, and facilitated gender equality. co-creation workshops to help AFD design a gender value prop- osition and define a minimum viable product. ANNUAL REPORT 2023 49 GOVERNANCE MIGA’s Board  A Council of Governors and a Board of Directors, repre- senting 182 member countries, guide MIGA’s programs and activities. Each country appoints one governor and one alternate. MIGA’s corporate powers are vested in the Coun- cil of Governors, which delegates most of its powers to a Board of 25 Directors. Voting power is weighted according to the share of capital that each Director represents. MIGA’s Board resides in the World Bank Group headquarters in Washington, D.C., and meets regularly to review and decide on investment guarantee projects and oversee general management policies.  Visit the Board’s website for more information: http://www.worldbank.org/en/about/leadership/governors 50 Oversight and Accountability Compliance Advisor Ombudsman  Integrity Vice Presidency (INT)    The Office of the Compliance Advisor Ombudsman (CAO) is An independent unit within the World Bank Group, the Integ- the independent accountability mechanism for MIGA and rity Vice Presidency (INT) investigates and pursues sanctions IFC. The CAO responds to complaints from people affected by related to allegations of fraud, corruption, collusion, coercion, MIGA- and IFC-supported business activities, with the goals of and obstruction in World Bank Group–financed projects, as well enhancing E&S outcomes on the ground and fostering greater as fraud and corruption by Bank Group staff and vendors. In public accountability of both institutions. addition, through its Integrity Compliance Office, INT engages Visit the CAO website for more information: with parties toward meeting their conditions for release from http://www.cao-ombudsman.org/ sanction. INT shares its investigative insights across the insti- tution to help mitigate fraud and corruption risk in projects, playing a fundamental role in supporting the Bank Group’s fidu- Group Internal Audit   ciary responsibility for the development resources it manages.  Visit the INT website for more information: Group Internal Audit (GIA) provides independent, objective, http://www.worldbank.org/integrity   insightful risk-based assurance and advice to protect and enhance the value of the World Bank Group. GIA gives man- To report suspected fraud, corruption, or other sanctionable agement and the Board reasonable assurance that processes practices in Bank Group–financed projects, visit for managing and controlling risks—as well as their overall gov- www.worldbank.org/fraudandcorruption ernance—are adequately designed and functioning effectively. GIA reports to the President and is under the oversight of the Audit Committee. Visit the GIA website for more information: http://www.worldbank.org/internalaudit Independent Evaluation Group    The Independent Evaluation Group (IEG) assesses MIGA’s strategies, policies, and projects to improve the Agency’s devel- opment results. The IEG is independent of MIGA management and reports its findings to MIGA’s Board of Directors and the Board’s Committee on Development Effectiveness.  Visit the IEG website for more information: http://ieg.worldbankgroup.org/  ANNUAL REPORT 2023 51 MIGA Financial Highlights Financial Results By fiscal year (US$, millions) 2023 2022 2021 2020 2019 Gross premium income 245.0 229.4 239.3 232.3 237.9 Net premium incomea 123.9 116.3 121.3 117.1 115.1 Administrative expensesb 69.6 65.0 58.7 61.1 57.8 Operating incomec 54.3 51.2 62.6 56.0 57.3 Net income 139.5 27.6 81.5 57.2 82.4 Administrative expenses to net premium income ratio 56% 56% 48% 52% 50% a. Net premium income equals gross premium income and ceding commissions less premium ceded to reinsurers and brokerage costs. b. Administrative expenses include expenses from pension and other post-retirement benefit plans. c. Operating income equals net premium income minus administrative expenses, including pension costs. Capital Measures By fiscal year (US$, millions) 2023 2022 2021 2020 2019 Total economic capitala 773 759 768 756 717 Shareholders' equity 1,706 1,539 1,474 1,335 1,320 Operating capitalb 1,923 1,777 1,724 1,591 1,542 Total economic capital/operating capital (%) 40% 43% 45% 48% 47% Risk capitalc 1,092 1,083 1,054 1,001 — Risk capital/operating capital 56.8% 61.0% 61.1% 62.9% — a. Amount of capital utilized in support of the guarantee portfolio as well as the investment portfolio and operational risk. b. Comprised of paid-in capital, retained earnings/accumulated other comprehensive loss and Insurance portfolio reserve, net.  isk metric introduced in FY20 and defined as the sum of total EC and buffer capital, with the latter computed using a stress testing tool developed c. R around multiple macroeconomic and country-specific scenarios. — = not available GOVERNANCE 52 Noteworthy in FY23 September 2022 March 2023 June 2023 MIGA FDI Roundtable Eighth Annual MIGA in Tanzania Gender Leadership Award: Innovation Through Female Entrepreneurship MIGA hosted its eighth Annual Gender Leadership Award ceremony, titled “Innovation Through Female Entrepreneurship,” on March 8 in honor of International Women’s Day. This year’s award was presented to Claudia María González Arteaga, CFO at Bancóldex, Colombia’s MIGA hosted a high-level panel business development bank. discussion titled “The Role of The second event of the series was Speakers included Anshula Kant, Financial Institutions in Paris held in Dar es Salaam in September Managing Director and CFO, Alignment” as an affiliated event 2022, hosted with Tanzania. The two- World Bank Group; Hiroshi Matano, of the Summit for a New Global day roundtable gave government Executive Vice President, MIGA; Financing Pact hosted by the officials from Botswana, Malawi, Ethiopis Tafara, Vice President and French government. The discussion Mozambique, Somalia, Tanzania, Chief Risk, Legal and Administrative examined financial institutions’ Zambia, and Zimbabwe a unique Officer and Partnerships, MIGA; approaches and challenges toward opportunity to conduct candid Junaid Kamal Ahmad, Vice President, alignment of their financing with the discussions with senior executives Operations, MIGA; Mohamed Gouled, Paris Agreement, regulators’ views, from MIGA’s client base about Vice President Industries, IFC; Claudia and net zero, as well as whether the optimizing investment conditions to María González Arteaga, CFO, requirements from regulators match draw more FDI into East Africa. The Bancóldex; Maya Khonje-Stewart, up with MIGA’s Paris Alignment dialogue focused on FDI in eastern Cofounder and Director, Yellow Solar approach. Speakers included Africa as these countries continue Power; and Christine Souffrant Ntim, Veronica Scotti, Chairperson to struggle from the multiple crises Founder and CEO, Global Startup Public Sector Solutions, Swiss Re; of the COVID-19 pandemic, inflation, Ecosystem. Alberto Amo, Global Head of Private debt, and Russia's invasion of https://live.worldbank.org/events/ Debt Mobilization Strategy and Ukraine. miga-gender-leadership-award- Distribution Channels, Santander https://www.miga.org/video/miga- innovation-female-entrepreneurship Corporate Investment Banking; fdi-roundtable-dialogue-tanzania Yasser Ibrahim, Sector Manager, Environmental & Social Sustainability April 2023 & Climate, MIGA; Sandrine Antonini, Head of Climate and Sustainability MIGA marked its 35th birthday with Strategy, Crédit Agricole CIB; and a gathering of clients and other Viet-Linh Nguyen, Head of Strategy stakeholders during the Spring and Sustainable Finance, L’Autorité Meetings of the IMF and World des marchés financiers, France. The Bank. The anniversary coincided panel was moderated by Ethiopis with the issuing of MIGA’s 1,000th Tafara, Vice President and Chief Risk, project, Dakar Port in Senegal. Legal and Administrative Officer and Special guests included World Bank Partnerships, MIGA. Group President David Malpass as https://www.youtube.com/ well as Senegal’s Finance Minister, watch?v=Nc40nJwzyHY Mamadou Moustapha Ba. ANNUAL REPORT 2023 53 Who We Are Hiroshi Matano Junaid Kamal Ahmad Ethiopis Tafara Executive Vice President  Vice President, Operations Vice President and Chief Risk, Legal and Administrative Officer and Partnerships Muhamet Bamba Fall Deepti Jerath Aradhana Director, Operations Director, Finance Kumar-Capoor and Risk Director and General Counsel  ANNUAL REPORT 2023 54 Contact Information SENIOR MANAGEMENT REGIONAL  ACCOUNTING AND REPORTING  Hiroshi Matano Layali Abdeen  Thomas Obuya Executive Vice President  Senior Underwriter, and Regional Controller hmatano@worldbank.org   Head of MENA tobuya@worldbank.org   labdeen@worldbank.org Junaid Kamal Ahmad Vice President, Operations Rouzbeh Ashayeri  REINSURANCE jahmad@worldbank.org Senior Underwriter, North America Frank Linden Business Origination Head, Reinsurance  Ethiopis Tafara rashayeri@worldbank.org   flinden@worldbank.org   Vice President and Chief Risk, Legal and Administrative Officer and Yann Burtin Partnerships Head, Western Europe ECONOMICS AND SUSTAINABILITY  etafara@worldbank.org   yburtin@worldbank.org Yasser Ibrahim  Sector Manager, Sustainability 1 Muhamet Bamba Fall  Lin Cheng  yibrahim@worldbank.org   Director, Operations Representative, China and mfall3@worldbank.org Underwriter  Moritz Nebe lcheng1@worldbank.org   Sector Manager, Economics Unit Deepti Jerath mnebe@worldbank.org   Director, Finance and Risk Olga Calabozo Garrido djerath@worldbank.org Head, Latin America Kate Wallace and the Caribbean  Sector Manager, Sustainability 2 Aradhana Kumar-Capoor ocalabozogarrido@worldbank.org KWallace@worldbank.org Director and General Counsel akumarcapoor@worldbank.org     Shuichi Hayashida Hiroyuki Hatashima Head, West and Central Africa  Chief Evaluation Officer Hiroyuki Hatashima shayashida@worldbank.org   hhatashima@worldbank.org   Acting Director, Economics and Sustainability Tim Histed hhatashima@worldbank.org   Head, South East Asia PORTFOLIO MANAGEMENT  and Australasia Hoda Moustafa thisted@worldbank.org   Global Head of Portfolio SECTORS  hmoustafa@worldbank.org   Nabil Fawaz  Jaeyoung Jin  Global Head and Sector Manager, Head, North Asia Manufacturing, Agribusiness, and (China, Mongolia, Korea) PARTNERSHIPS Services jjin1@worldbank.org  Laura Alonzo nfawaz@worldbank.org   Co-head of Partnerships Jae Hyung Kwon lalonzo@worldbank.org Christopher Millward  Head, South Asia Global Head and Sector Manager, jkwon@worldbank.org   Chinwe Binitie Finance and Capital Markets Co-head of Partnerships cmillward@worldbank.org Nkemjika Onwuamaegbu cbinitie@worldbank.org Regional Head, Africa Elena Palei  nonwuamaegbu@worldbank.org   Global Head and Sector Manager, BUSINESS INQUIRIES  Infrastructure – Transport, Water and Olga Sclovscaia migainquiry@worldbank.org Sanitation, and Telecom  Regional Head, Eastern Europe epalei@worldbank.org and Central Asia  osclovscaia@worldbank.org     Marcus Williams  Global Head and Sector Manager, Susumu Takahashi Energy and Extractive Industries Head, Japan mwilliams5@worldbank.org   stakahashi2@worldbank.org ANNUAL REPORT 2023 55 Photo Credits Copyrights and Credits Cover: Shutterstock/only_kim; Unsplash/David Martin Ibtet; © 2023 Multilateral Investment Guarantee Agency (MIGA) Shutterstock/Ruslana Iurchenko 1818 H Street NW, Washington, DC 20433 Inside cover: Pexels/Denniz Futalan; Unsplash/Luca Bravo Yoel; http://www.miga.org/ Shutterstock/MehmetO Page 1: Istock/Hadynyah This work is a product of staff of the Multilateral Investment Guarantee Page 2: Pexels/Loifotos Agency (MIGA) with external contributions. 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