Question
Give objectives of Multinational Investment Guarantee Agency (MIGA). (Imp.)
Solution
Objectives of MIGA are as under :
1. to encourage flow of direct foreign investment into the less developed member countries;
2. to provide insurance cover to investors against political risks;
3. to provide guarantee against noncommercial risks;
4. to insure new investments, expansion of existing investments, privatization and financial restructuring;
5. to provide promotional and advisory services; and
6. to establish credibility.
