- MIGA Targets $23 Billion Private Capital Mobilisation for Africa Through Guarantee Platform
The World Bank Group plans to more than double its annual guarantee issuance in Africa to $6.4 billion by 2030, in a major push to attract private capital into job-rich sectors across the continent.
The new commitment, to be delivered through the World Bank Group Guarantee Platform housed at the Multilateral Investment Guarantee Agency, is expected to help improve the lives of about 190 million people over the next four years.
The initiative forms part of a broader effort by the World Bank Group to use guarantees as a catalytic tool to de-risk private investment in Africa at a time when many governments face limited fiscal space, high debt burdens and rising demand for jobs, infrastructure and essential services.
Africa’s working-age population is projected to grow by 740 million over the next three decades, with up to 12 million young people entering the labour force every year. The World Bank Group said guarantees will play a critical role in attracting investment into sectors capable of creating jobs, including agribusiness, energy and infrastructure, healthcare, digital services, finance and trade.
New guarantees issued over the next four years are expected to mobilise about $23 billion in private capital for Africa through several high-impact initiatives.
These include AgriConnect, a World Bank Group initiative designed to transform smallholder farming, create jobs and strengthen food security, as well as Mission 300, a joint initiative by the World Bank Group and the African Development Bank to connect 300 million people in Africa to electricity by 2030.
Mission 300 is supported by The Rockefeller Foundation, the Global Energy Alliance for People and Planet, and Sustainable Energy for All.
By 2030, the guarantees are expected to help provide 43 million people with access to electricity, improve financial inclusion for 50 million people and businesses, particularly women-owned enterprises, and strengthen food and nutrition security for 5 million people.
The programme is also expected to reach about 51 million people through digitally enabled services, connect 37 million people to broadband internet, and increase access to sustainable transport infrastructure and services for 3 million people.
Tsutomu Yamamoto, Managing Director of MIGA, said Africa’s demographic profile makes investment mobilisation urgent.
“Africa is home to the world’s youngest and fastest-growing workforce, and guarantees will play a critical role in attracting the investment to create the jobs needed to secure their future,” he said.
“We are delighted to announce these ambitious new commitments, which will ultimately help to build robust and stable economies that yield quality jobs in everything from agribusiness and health care to energy and infrastructure,” he added.
The World Bank Group Guarantee Platform was launched in 2024 to consolidate guarantee products and expertise from across the World Bank Group under MIGA.
The platform provides a simplified menu of guarantee solutions, allowing clients to select instruments that best suit their investment needs. It is designed to streamline processes, remove redundancies and improve access to risk-mitigation tools for investments in developing countries.
The World Bank Group’s broader target is to increase annual guarantee issuance globally to $20 billion by 2030.
For Africa, the expanded guarantee envelope could prove significant. Many countries on the continent require large-scale investment in power, transport, food systems, digital infrastructure and private-sector development, but public finances alone are insufficient to close the gap.
Guarantees can help reduce perceived and actual risks for investors, especially in markets where concerns over currency risk, regulatory uncertainty, political instability and sovereign exposure often raise financing costs or prevent projects from reaching financial close.
The World Bank Group’s latest commitment signals a clear shift in development finance: Africa’s investment challenge will not be solved by public borrowing alone. Increasingly, the focus is turning to guarantees, blended finance and risk-sharing tools capable of crowding private capital into sectors where growth, jobs and social impact intersect.
