ABSTRACT
Public resources, including Official Development Assistance (ODA) are not sufficient for achieving the Sustainable Development Goals (SDGs) targets in particular in the waste management and sanitation sectors with strong regional funding gaps. Investment guarantees are designed to mitigate risk for private and/or public sector financing. These can be guarantees for public projects (Partial Credit Guarantees) and for private projects (Partial Risk Guarantees; PRG) with counterguarantee from the member government. Multilateral Investment Guarantee Agency (MIGA) offers political risk insurance and can cover equity, shareholder loans and loan guarantees issued by equity holders; it can also cover loans by third party institutions, usually commercial banks, provided that a shareholder's investment in the project is also being insured by MIGA. The combination of multiple public and private funding channels creates an interdependence of payment streams because each contribution will only pay off if the other parties fully comply with their commitments.
