USAID’s Development Credit Authority (DCA) mobilizes local private capital by establishing real risk-sharing relationships with private financial institutions. Established in 1999, DCA has been providing partial guarantee coverage (typically 50%) for loans to entrepreneurs in underserved sectors worldwide. Since its inception through FY 2013, loan guarantee programs have unlocked up to $3.2 billion of private capital to expand local businesses and sustainably catalyze markets in over 70 countries throughout the developing world, reaching over 140,000 borrowers with a combined default rate of just 1.8%. Four credit guarantee products are offered by DCA: the loan portfolio guarantee, the portable guarantee, the loan guarantee, and the bond guarantee. The loan portfolio guarantee (LPG) is the most popular, representing 80% of the portfolio. The goals of the LPG are to increase access to finance for targeted sectors and also give the lender the experience necessary to continue lending even after the guarantee program expires.