December 6, 2019
Fiscal Year 2019 bookended between passage of the BUILD Act and $5.3 billion in new commitments
WASHINGTON – The Overseas Private Investment Corporation (OPIC) has surpassed $100 billion in total commitments to global development since the agency was established in 1971. This milestone was reached during Fiscal Year 2019, during which OPIC committed $5.3 billion in new financing and insurance to projects supporting development across the globe—the agency’s largest annual commitment in more than twenty years.
“The passage of the BUILD Act kicked off a remarkable year of achievements for OPIC that will create opportunity and transform quality of life for people across the world who are most in need,” said OPIC’s David Bohigian. “Our accomplishments underscore the effectiveness of OPIC’s private sector-led model, and highlight the critical role that a modernized U.S. International Development Finance Corporation will play in leveraging development finance to solve urgent global challenges.”
The $5.3 billion OPIC committed this year will support more than 80 new projects across the Indo-Pacific, Latin America, Sub-Saharan Africa, and emerging markets across the globe. Its investments will build critical infrastructure; expand access to financial services, technology, and healthcare; and economically empower women. All OPIC investments mobilize additional private sector capital to multiply the agency’s impact.
These projects were committed during a monumental year marked by the passage of the Better Utilization of Investments Leading to Development (BUILD) Act in October 2018. This landmark legislation will transform OPIC into the U.S. International Development Finance Corporation (DFC) with modernized financial tools and a more than doubled investment cap of $60 billion. In September, Adam S. Boehler was confirmed by the Senate to serve as DFC’s first Chief Executive Officer.
“OPIC’s historical success is a testament to its robust mission, the hard work of its dedicated staff, and David Bohigian’s strong, purpose-driven leadership at the helm this past year,” said Boehler. “The agency’s achievements establish a powerful launch pad to build on OPIC’s impactful legacy to accomplish even more under DFC.”
The passage of the BUILD Act and Boehler’s confirmation bookended a year of milestones for OPIC. During fiscal year 2019, the agency:
- Exceeded its goal of catalyzing $1 billion for global women’s economic empowerment under its 2X Women's Initiative. Additionally, OPIC launched 2X Africa to support investment in women in Africa and doubled its commitment to women in Latin America through 2X Americas.
- Surpassed $100 million in commitments to early-stage, high-impact projects that are empowering smallholder farmers, supporting low-income students, and introducing clean cook stoves through OPIC’s Portfolio for Impact (PI).
- Unveiled Blue Dot Network alongside its Australian and Japanese counterparts to set the standard for global infrastructure development.
- Joined forces with like-minded organizations such as the Inter-American Development Bank (IDB), with which OPIC signed a memorandum of understanding to collaborate in pursuit of shared development goals in Latin America and the Caribbean.
- Continued its long track record of operating as a self-sustaining U.S. Government agency that generates income for deficit reduction.
The Overseas Private Investment Corporation (OPIC) is a self-sustaining U.S. Government agency that helps American businesses invest in emerging markets. Established in 1971, OPIC provides businesses with the tools to manage the risks associated with foreign direct investment, fosters economic development in emerging market countries, and advances U.S. foreign policy and national security priorities. OPIC helps American businesses gain footholds in new markets, catalyzes new revenues and contributes to jobs and growth opportunities both at home and abroad. OPIC fulfills its mission by providing businesses with financing, political risk insurance, advocacy and by partnering with private equity fund managers.
OPIC services are available to new and expanding businesses planning to invest in more than 160 countries worldwide. Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers. All OPIC projects must adhere to best international practices and cannot cause job loss in the United States.