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dc.titleGuarantee Insurance Systems: Lessons from Korea for Latin America and the Caribbean
dc.contributor.authorJeon, In Hwa
dc.contributor.authorGarcia Bohorquez, Nidia
dc.contributor.authorMartinez, Juan Antonio
dc.contributor.orgunitConnectivity, Markets and Finance Division
dc.contributor.orgunitInstitutions for Development Sector
dc.coverageRepublic of Korea
dc.coverageLatin America
dc.coverageThe Caribbean
dc.coverageAsia
dc.date.available2026-08-27T00:08:00
dc.date.issue2026-08-27T00:08:00
dc.description.abstractThis study examines the role of the Guarantee Insurance System (GIS) in promoting economic development and financial inclusion, drawing on Koreas experience and assessing its applicability to Latin America and the Caribbean (LAC). Guarantee insurance can reduce credit risk, replace traditional collateral requirements, improve liquidity, expand access to credit and procurement opportunities for SMEs, and support infrastructure investment and financial inclusion. The analysis finds that Koreas successful GIS development was supported by a unified legal framework, centralized institutional coordination through an anchor entity such as Seoul Guarantee Insurance (SGI), and comprehensive credit-data infrastructure. By contrast, GIS markets in LAC remain underdeveloped due to fragmented regulatory frameworks, limited coordination between public guarantee funds and private insurers, weak data-sharing mechanisms, and limited product diversification. The study identifies key policy actions for LAC, including harmonizing legal frameworks, strengthening institutional coordination, improving data infrastructure, promoting public-private co-guarantee schemes, and diversifying guarantee products. It also highlights the role of multilateral development banks in supporting legal and institutional reforms, risk-sharing mechanisms, knowledge transfer, and pilot programs for underserved sectors.
dc.format.extent128
dc.identifier.doihttp://dx.doi.org/10.18235/0014481
dc.identifier.urlhttps://publications.iadb.org/publications/english/document/Guarantee-Insurance-Systems-Lessons-from-Korea-for-Latin-America-and-the-Caribbean.pdf
dc.language.isoen
dc.publisherInter-American Development Bank
dc.subjectFinancial Inclusion
dc.subjectInsurance
dc.subjectFinancial Bond
dc.subjectEconomic Development
dc.subjectCredit
dc.subjectGeographic Information System
dc.subjectSmall Business
dc.subjectInfrastructure Development
dc.subject.jelcodeG22 - Insurance • Insurance Companies • Actuarial Studies
dc.subject.jelcodeG28 - Government Policy and Regulation
dc.subject.jelcodeO16 - Financial Markets • Saving and Capital Investment • Corporate Finance and Governance
dc.subject.jelcodeH81 - Governmental Loans • Loan Guarantees • Credits • Grants • Bailouts
dc.subject.jelcodeO54 - Latin America • Caribbean
dc.subject.keywordsGuarantee insurance systems; surety bonds; credit insurance; SME financing; financial inclusion; risk mitigation; Economic Development; Latin America and the Caribbean; Korea
dc.typeCatalogs and Brochures
idb.identifier.pubnumberIDB-CB-01235
idb.operationCO-T1822
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