The general objective of this TC is to strengthen the knowledge base on how public interventions in credit markets enhance economic efficiency and support sustainable growth by addressing market failures and mobilizing private capital. The work will generate applied evidence on how public interventions of Development Financial Institutions (DFI)—particularly credit lines, guarantees, and risk-sharing instruments—operate across different borrower types (such as Small and Medium Enterprises (SMEs)), high growth firms, women led enterprises) and investment categories (including climate, biodiversity, and digitalization). These segments often face distinct failures—such as information asymmetries, high transaction costs, externalities, and public-good characteristics—that justify differentiated public interventions.
Project Detail
Country
Regional
Project Number
RG-T4936
Approval Date
August 4, 2026
Project Status
Implementation
Project Type
Technical Cooperation
Sector
FINANCIAL MARKETS
Subsector
CAPITAL MARKET DEVELOPMENT
Lending Instrument
-
Lending Instrument Code
-
Modality
-
Facility Type
-
Environmental and Social Impact Category (ESIC)
-
Total Cost
USD 425,000.00
Country Counterpart Financing
-
Original Amount Approved
USD 425,000.00