This guarantee aims to reduce risks and make a sectoral investment project viable. It protects private sector lenders and investors against project-related risks. It applies to various forms of financing, including loans, bonds, and other financial instruments where the public sector fails to meet agreed obligations. The guarantees can cover a wide range of risks at different stages of a project. The instrument is vital to enhance confidence in project viability and ensure financial protection for private investors involved in infrastructure and energy initiatives.