As part of the Milken Institute's ongoing series on Accelerating Securitization in Africa to Finance the SDGs, the Center for Financial Markets hosted an interactive webinar on “The Fundamentals and Benefits of External Credit Enhancement” on Tuesday, July 27. Credit enhancement is an important aspect of developing securitization markets because it can reduce the risk of transactions, create investment opportunities that are more appealing to institutional investors, and broaden access to a larger, more diversified investor base. It can also reduce a transaction’s interest rate and increase borrowing size and maturity. This webinar reviewed the fundamentals of external credit enhancement—what it is, its benefits, uses, and providers—illustrated examples of its use, and explored how it might be applied in Africa.
Speakers
Lade Araba
Managing Director for Africa, Convergence
Samuel Chasia
Director, Africa and Asia, GuarantCo
Juan Pablo de Mollein
Senior Financial Officer, IFC
Moderator
Alison Harwood
Senior Fellow in Residence, Milken Institute CFM