Debt financial instruments represent loans or guarantees that are provided to enterprises or public beneficiaries through banks or other intermediaries under more favorable conditions – for example with lower interest rates or more flexible requirements. They are created to help businesses obtain financing for projects that would otherwise be difficult to access through standard bank lending.

Equity investment is a form of financing in which an investor (usually through a fund) invests funds in a company in exchange for ownership (share) of it. Instead of being returned with interest as a loan, these funds are recovered when the investor sells their share – usually after development and increase in the value of the business.