Frontclear Impact: cultivating stability and inclusivity in money markets through technical assistance and transactions portfolio, demonstrated by key impact indicators.
Frontclear is strategically focused on building stable and inclusive money markets by committing to long-term and adapting activities for each market. As a conceptual guideline stemming from Frontclear’s experience to date, our Impact Strategy can be divided into 3 evolutionary stages: 1) Opening; 2) Mid-development, and 3) End-target.
The Frontclear Impact Strategy is a long-term effort in many country contexts. As a conceptual guideline stemming from Frontclear’s experience to date, our Impact Strategy can be divided into 3 evolutionary phases: 1) Nascent; 2) Emerging; and 3) Connected. A nascent money market may require an 8-year commitment from Frontclear to support the development of stable and inclusive money markets. The Impact Strategy reflects the complementarity and interoperability of Frontclear’s two key activities: 1) financial guarantees; and 2) capacity development (technical assistance).
Frontclear and multiple global and local stakeholders, are dependent on one another to deliver development value to money markets. As a trusted, neutral money market leader, we have built and continue to expand on this capacity to mobilize private, public and not-for-profit sector institutions towards this cause.
value for obligor banks
- (inter)national connectivity through new and re-established banking relationships
- improved ability to manage liquidity
- reduced cost of funding
- better risk management and ALM
- opportunities to expand knowledge and skills
value for beneficiary banks
- market development for future business
- capital relief under Basel III IRB
- reduced legal and operational risk
- profitability of transactions
- tangible stewardship role
value for regulators
- more liquid, stable and inclusive money market
- better monetary policy transmission
- improved price discovery and development of risk mitigating products
- reduction of legal uncertainty
- opportunities to expand knowledge and skills
implementing partners
It wouldn’t be possible to do this without the brokering services, knowledge and expertise and funding from additional parties to support transactions and the money market environment.
2022 |
Guaranteed (257m) |
Mobilized (732m) |
2015-2022 |
Guaranteed (1,199m) |
Mobilized (4,309m) |
example transactions
2022 |
Financial knowledge trainings and regulator engagements (24) |
Legal and Regulatory reviews (5) |
Market and structures and system studies (3) |
2015-2022 |
Financial knowledge trainings and regulator engagements (79) |
Legal and Regulatory reviews (29) |
Market and structures and system studies (33) |
2022 |
Countries (0) |
Projects (8) |
Network Partners (60) |
2015-2022 |
Countries (25) |
Projects (71) |
Network Partners (200) |