Insurance against political risks from World Bank unit
Myanmar's membership in the Multilateral Investment Guarantee Agency will be of great benefit to local businesspeople as well as foreign investors working in the country, according to its officials.
MIGA, an arm of the World Bank Group offering political-risk insurance and credit enhancement, announced late last month that Myanmar had fulfilled all of the requirements to become its 180th member.
"MIGA will now be able to support investments made by foreign investors.
More specifically, for a frontier country like Myanmar, the perception of risk tends to be high, especially non-commercial risks such as war and civil disturbance and currency inconvertibility.
These are the risks MIGA could help investors to mitigate through the use of MIGA guarantees," Kevin Lu, the agency's regional director for Asia and the Pacific, said in an exclusive interview with The Nation.