The DIFC-MIGA Political Risk Guarantee Program is a joint programme undertaken by the Dubai International Financial Centre (DIFC) and the Multilateral Investment Guarantee Agency (MIGA) of the World Bank to support foreign financing in the MENA region through mitigation of political risk.

The programme is driven by the Dubai International Financial Centre’s (DIFC) objective of promoting economic growth and development in the region, and MIGA’s mandate of promoting foreign direct investment (FDI) in emerging markets.

Why FDI?

Foreign Direct Investment is critical to the sustainable development of the private sector in emerging markets. Private foreign investment also supports the financing of projects that are sometimes beyond the financing ability of governments.

Political Risk Insurance

Emerging markets in MENA today present vast opportunities for foreign direct investors. However, concerns about investment environments and perceptions of political risk often inhibit foreign direct investment. A survey conducted by MIGA in 2009 confirmed that political risk and the economic environment were the biggest constraints for investing in emerging markets. Due to these concerns, the majority of capital flows go to a handful of countries, leaving the world’s emerging economies largely ignored.

The DIFC MIGA Programme addresses these concerns by offering risk insurance that helps foreign enterprises manage and mitigate political, non-commercial risks when setting up businesses, starting projects and investing in the region. For examples of Political Risk Guarantee please visit the case studies section.

What is Covered?

Benefits of Political Risk Insurance

By providing political risk insurance (PRI) instruments, the DIFC MIGA Programme helps public and private enterprises in the MENA region get greater access to cross-border financing. 

In some cases, the guarantee can help reduce risk ratings or improve credit ratings, giving investors access to wider funding sources with improved terms and conditions. The DIFC MIGA Guarantee Programme also helps improve market confidence, facilitates cross border financing for infrastructure development and promotes growth of capital markets through bond and securitisation guarantees.

Are you Eligible?

For more information on Investment Guarantees, please refer to the below brochures
English Version
Arabic Version