Which member of the World Bank Group insures lenders and investors against political risks such as war?
- AInternational Development Association (IDA)
- BInternational Finance Corporation (IFC)
- CMultilateral Investment Guarantee Agency (MIGA)
- DInternational Centre for Settlement of Investment Disputes (ICSID)
Show answer and explanation
Correct answer: (c) Multilateral Investment Guarantee Agency (MIGA)
Explanation
MIGA gives political-risk insurance and guarantees. IFC invests in companies, IDA lends cheaply to the poorest countries, and ICSID settles investment disputes.