Green Guarantee Company

MOBILIST made an anchor investment in the Green Guarantee Company (GGC), the world’s first climate-focused guarantee company. GGC will leverage an initial $100 million in capital from investors to provide up to $1 billion of guarantees, underpinned by an investment grade rating of BBB/Stable from Fitch Ratings.

GGC uses guarantees to help borrowers in developing countries improve their credit ratings to above investment grade to gain access to global capital markets and tap into a bigger pool of capital at a lower cost.

Guarantees are pivotal to enable developing countries to access long-term hard currency debt financing to combat climate change. GGC prioritises green infrastructure, renewable resources, alternative energy, and clean transportation for issuers from countries eligible for official development assistance in Africa, Asia and Latin America.

GGC aims to increase global capital market investment in green bonds and loans from developing countries while earning risk-adjusted returns comparable to an investment-grade credit portfolio. By creating a large and diversified green bond market for global investors, GGC will enable more commercial capital to flow to emerging markets.