WASHINGTON--(BUSINESS WIRE)--The Overseas Private Investment Corporation (OPIC), the U.S. Government’s Development Finance Institution, today announced $3 billion in financing and insurance commitments made during fiscal year 2014. Consistent with its mission to catalyze private capital flows, OPIC anticipates that these commitments will also mobilize an additional $3.2 billion in private-sector investment into emerging markets.
“OPIC’s trajectory is a testament to the powerful and growing role of the private sector in international development. Because OPIC’s model is fully self-sustaining, the Agency can achieve our development mission at no cost to the taxpayer, while enabling U.S. companies, small and large, to tap into dynamic markets abroad,” said Elizabeth Littlefield, OPIC’s President and CEO.
OPIC’s commitment to economic development and growth has led to a focus on investments in the world’s lowest income countries, especially in Africa, which accounted for over a quarter of the Agency’s overall 2014 commitments. Projects in Africa ranged from support for a healthcare facility in Angola to increased lending access for Zambian small and medium-sized businesses.
Highlights for the year included a new record of more than $1.2 billion in renewable energy commitments, supporting both large and small-scale projects across four continents, including what will be the largest solar project in Latin America once complete. This represents a nearly 10-fold increase in support to the sector over the last five years and a resounding confirmation of the economic opportunities that U.S. companies and investors are realizing in these fast-growing regions and sectors.
OPIC-supported projects were diverse in size, sector, and region. Examples include a small agricultural expansion project in Senegal, large partnerships to expand small and medium enterprise lending in Asian and Middle Eastern markets, and a major telecommunications modernization project in Colombia.
OPIC continued its strong financial performance in fiscal year 2014. Through its financing and insurance products, OPIC generated $358 million for the U.S. Treasury and produced its 37th consecutive year of reducing the Federal budget deficit. In addition, the Agency’s credit portfolio once again performed with lower than 1% write-offs (net of recoveries), an extraordinary accomplishment for a development finance institution taking risks in some of the world’s most challenging markets.
OPIC is the U.S. Government’s development finance institution. It mobilizes private capital to help solve critical development challenges and in doing so, advances U.S. foreign policy. Because OPIC works with the U.S. private sector, it helps U.S. businesses gain footholds in emerging markets, catalyzing revenues, jobs and growth opportunities both at home and abroad. OPIC achieves its mission by providing investors with financing, guarantees, political risk insurance, and support for private equity investment funds.
Established as an agency of the U.S. Government in 1971, OPIC operates on a self-sustaining basis at no net cost to American taxpayers. OPIC services are available for new and expanding business enterprises in more than 160 countries worldwide. To date, OPIC has supported more than $200 billion of investment in over 4,000 projects, supporting almost $77 billion in U.S. exports and more than 278,000 American jobs.