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Commercial loans

Commercial creditors - banks and suppliers of goods have often provided developing countries with non-concessional loans on market terms. These are usually for financing general imports or specific projects, and may come from individual, or groups of, commercial institutions. During the debt crisis, this type of finance was much less available to many developing countries, but the years before the global financial crisis of 2008-09 saw a resurgence of such lending

To help countries strengthen their capacity in analysing multilateral less and nonconcessional resources as part of designing an external new financing strategy, DFI has developed detailed training materials and manuals.

To help developing countries decide on their best financing options, DFI has conducted research into the pros and cons of different types of non-concessional financing, which is presented in Diversifying Sources of Financing for Development and Key Analytical Issues for Government External Financing.