A new approach to regional risk premiums
Finance for Peace (Interpeace)
Peace Bonds: bankable structures that can lower risk and enhance peace
Feasibility study of a new asset class: how a Peace Bond can be structured so that peace measures reduce project risk and improve the investment case.
What it covers
The feasibility study that established the Peace Bond concept. Produced by Interpeace with SEB and funded by UK Aid, it examines whether a bond instrument that finances peace measures alongside a commercial project can be made bankable. Its centrepiece is a detailed feasibility case built on a real proposed 50 MW solar plant in northern Ghana supplying power to Burkina Faso, in which a realisable set of peace measures reduces the project’s discount rate by 200 basis points and improves its net present value by USD 6 million.