KfW Development Bank
Promotional Loans: Risk Sub-Participations and Loan Guarantees
Instrument description
KfW Development Bank offers promotional loans to beneficiaries in developing and emerging economies at close-to-market rates to fund and secure projects that are economically viable and have effective development objectives but do not yet manage to acquire funding from commercial markets.
KfW offers a flexible portfolio for infrastructure finance; promotional loans can be granted to public or private beneficiaries, as well as within project financing schemes. The KfW portfolio also includes risk sub-participations (unfunded) and loan guarantees to further de-risk infrastructure projects.
Eligible projects and transactions
Among others, private and public investments in infrastructure, including telecommunications, transport, energy and water supply are eligible.
Eligible regions
All regions where KfW provides development finance, while the focus is on countries without apparent debt-related problems.
Grants
Instrument description
KfW Development Bank provides grants funded by the German federal government to selected developing countries. These grants are used for a range of development projects, some of which are infrastructure projects. The grants usually cover the majority of the capital expenses and are sometimes combined with KfW loans, while the beneficiary usually needs to cover a small own share of the project costs. In some cases, the grants serve to credit enhance infrastructure projects and mobilize private capital. A KfW grant does not need to be repaid by the beneficiary.
Eligible projects and transactions
Diverse projects are eligible; among others, infrastructure projects: energy infrastructure, energy efficiency measures, transportation, wastewater treatment.
Eligible regions
All regions where KfW Development Bank provides development finance while the focus is laid on poor and poorly developed countries. To be eligible for receiving KfW grants, beneficiaries have to meet development policy criteria, including the beneficiary country’s ownership and commitment.
Eligible Countries
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Afghanistan -
Armenia -
Azerbaijan -
Bangladesh -
Benin -
Bolivia -
Bosnia & Herzegovina -
Brazil -
Burkina Faso -
Burundi -
Cambodia -
Cameroon -
Central African Rep. -
Chad -
Chile -
China -
Colombia -
Congo, Dem. Rep. -
Congo, Repub. of the -
Costa Rica -
Cote d'Ivoire -
Croatia -
Djibouti -
Dominican Republic -
Ecuador -
Egypt -
Ethiopia -
Georgia -
Ghana -
Guatemala -
Guinea -
Guyana -
Haiti -
Honduras -
India -
Indonesia -
Iraq -
Jordan -
Kazakhstan -
Kenya -
Kyrgyzstan -
Laos -
Lebanon -
Lesotho -
Liberia -
Libya -
Madagascar -
Malawi -
Mali -
Mauritania -
Mexico -
Moldova -
Mongolia -
Morocco -
Mozambique -
Myanmar -
Nepal -
Nicaragua -
Niger -
Nigeria -
Pakistan -
Papua New Guinea -
Peru -
Philippines -
Romania -
Russia -
Rwanda -
Senegal -
Serbia -
Sierra Leone -
Somalia -
South Africa -
South Sudan -
Sri Lanka -
Sudan -
Syria -
Tajikistan -
Tanzania -
Timor Leste -
Togo -
Tunisia -
Turkey -
Uganda -
Ukraine -
Uruguay -
Uzbekistan -
Vietnam -
Yemen -
Zambia -
Zimbabwe