Frontclear has a commitment to develop financial markets in mid-tier frontier and emerging economies. Ideal characteristics are countries with a rating of B- or higher; open capital accounts and growing trade flows; external demand for local currency funding & assets exposure; some interbank activity already taking place with unmet demand; and with active inter-dealer brokers and international banks.
Frontclear is managed with best practice with regards to global anti-money laundering rules and E&S which includes an exclusion list. Countries and counterparties are both subject to IC approval and monitoring.
The guarantee is structured for onshore and offshore market participants including banks, NBFIs, multilateral and bilateral development finance institutions and financial infrastructure providers (“Beneficiaries”) to cover the risk of emerging markets and developing country based institutions participating in local and global financial markets – qualifying institutions are local banks as well as non-bank financial institutions.
Market participants interested in utilizing the Frontclear Guarantee should contact us.