Definition: Loan guarantee

Category: SNA

A loan guarantee is normally an arrangement whereby one party, the guarantor, undertakes to a lender that if a borrower defaults, the guarantor will make good the loss the lender would otherwise suffer (§ 17.207). http://ec.europa.eu/eurostat/ramon/statmanuals/files/SNA2008.pdf
Source:
European Commission (Eurostat), International Monetary Fund (IMF), Organisation for Economic Co-operation and Development (OECD), United Nations (Statistics Division), World Bank, "System of National Accounts 2008", United Nations, New York, 2009
Created:
Updated: