Annual MDB Heads of Syndications Meeting - Washington DC
November 14th-15th, 2023
The Annual MDB Heads of Syndications Meeting convened in Washington DC on November 14th-15th, 2023, drawing together senior staff from the debt mobilization teams and legal departments of various MDBs. Attendees represented institutions such as IFC, EBRD, AfDB, ADB, FMO, IDB and IDB Invest.
Against the backdrop of the evolving landscape of debt mobilization, this annual meeting serves as a hub for exchanging institutional updates and syndication strategies.
The comprehensive agenda covered diverse topics, including measuring mobilization definitions, , challenges in local currency mobilizationand various mobilization initiatives.
The meeting showcased the MDB Methodology for Private Investment Mobilization, focusing on project-specific assessments and recognizing various ways of measuring private capital mobilisation. The MDB Methodology for Private Investment Mobilisation, adopted in June 2018, stands as a benchmark for recognizing and measuring private capital mobilised. However, each MDB has developed its own methodology, introducing variations to the harmonised approach. For instance, one MDB incorporates mobilised investment on an annualised basis if it played an instrumental role, while another requires the MDB to earn a fee for such recognition. Additionally, variations exist in assessing the substantiality of MDB involvement. This diversity in approaches underscored that each institution has valuable lessons to derive from the others offering an opportunity to enhance their methodologies and practices while respecting and observing the distinctive characteristics that shape their approach to the evaluation of private capital mobilisation.
The meeting not only showcased the MDB Methodology for Mobilizing Private Investment but also delved into discussions surrounding diverse strategies for achieving mobilization. A/B loan products, a long-standing tool in the debt mobilization market, were discussed alongside the evolution of other financial products such as unfunded risk participation, non-payment insurance, significant risk transfers, and debt co-investment funds. These innovations have emerged in response to the growing imperative to achieve greater private capital mobilization. Participants presented recent experiences with these innovative new products, highlighting practical insights and real-world applications. It is in this dynamic landscape of evolving strategies that the meeting marked a significant turning point, emphasizing the ongoing transformation within the sector.
The discussions underscored the pivotal role of mobilizing private capital in achieving Sustainable Development Goals (SDGs) and the importance of collaborative efforts among MDBs to navigate the evolving terrain of mobilizing private capital for sustainable development.
Arzu Kutadgu, Lead Counsel - Debt Mobilisation, EBRD
Against the backdrop of the evolving landscape of debt mobilization, this annual meeting serves as a hub for exchanging institutional updates and syndication strategies.
The comprehensive agenda covered diverse topics, including measuring mobilization definitions, , challenges in local currency mobilizationand various mobilization initiatives.
The meeting showcased the MDB Methodology for Private Investment Mobilization, focusing on project-specific assessments and recognizing various ways of measuring private capital mobilisation. The MDB Methodology for Private Investment Mobilisation, adopted in June 2018, stands as a benchmark for recognizing and measuring private capital mobilised. However, each MDB has developed its own methodology, introducing variations to the harmonised approach. For instance, one MDB incorporates mobilised investment on an annualised basis if it played an instrumental role, while another requires the MDB to earn a fee for such recognition. Additionally, variations exist in assessing the substantiality of MDB involvement. This diversity in approaches underscored that each institution has valuable lessons to derive from the others offering an opportunity to enhance their methodologies and practices while respecting and observing the distinctive characteristics that shape their approach to the evaluation of private capital mobilisation.
The meeting not only showcased the MDB Methodology for Mobilizing Private Investment but also delved into discussions surrounding diverse strategies for achieving mobilization. A/B loan products, a long-standing tool in the debt mobilization market, were discussed alongside the evolution of other financial products such as unfunded risk participation, non-payment insurance, significant risk transfers, and debt co-investment funds. These innovations have emerged in response to the growing imperative to achieve greater private capital mobilization. Participants presented recent experiences with these innovative new products, highlighting practical insights and real-world applications. It is in this dynamic landscape of evolving strategies that the meeting marked a significant turning point, emphasizing the ongoing transformation within the sector.
The discussions underscored the pivotal role of mobilizing private capital in achieving Sustainable Development Goals (SDGs) and the importance of collaborative efforts among MDBs to navigate the evolving terrain of mobilizing private capital for sustainable development.
Arzu Kutadgu, Lead Counsel - Debt Mobilisation, EBRD