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Press Release

Wednesday, February 17, 2010

OPIC Announces Special Initiatives to Support Reconstruction and Relief in Haiti

WASHINGTON, D.C. – The Overseas Private Investment Corporation (OPIC) will extend a $50 million special line of credit, as well as direct loans and discounted political risk insurance for non-governmental organizations (NGOs), to support Haiti’s reconstruction and relief efforts following the January 12 earthquake, OPIC Acting President Dr. Lawrence Spinelli announced today.

“The devastation caused by the earthquake has earned Haiti the support and compassion of the entire international community. OPIC has expedited a series of initiatives that will both ease immediate humanitarian efforts to assist Haitians, and support longer-term investment in Haiti’s reconstruction. OPIC has a long history in Haiti, and we will utilize that experience to encourage new American private sector investment in the country,” Dr. Spinelli said.

Specifically, OPIC will offer Haiti an immediate special line of credit of up to $50 million to access OPIC financing and political risk insurance for investment in the country.

Secondly, OPIC will offer significantly discounted political risk insurance to support first responders – typically American NGOs and other  humanitarian operations – providing disaster relief in Haiti. The OPIC insurance will be available to protect assets such as vehicles, equipment,  inventory, supplies or other property that are deployed on the ground to carry out humanitarian or rebuilding and reconstruction activities.

Finally, OPIC will offer direct loans to American NGOs currently assisting humanitarian efforts in Haiti. The loans will target NGOs that had exhausted their operating cash flow, enabling them to continue to operate.

Dr. Spinelli noted that over its 39-year history, OPIC had provided more than $207 million in financing and political risk insurance to 75 projects in Haiti, in sectors ranging from agriculture and financial services to construction and manufacturing. OPIC’s current portfolio in Haiti comprises nearly $23 million in insurance support for three projects.
 


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 150 countries worldwide. To date, OPIC has supported nearly $200 billion of investment in over 4,000 projects, generated $74 billion in U.S. exports and supported more than 275,000 American jobs.