OPIC Board of Directors Approves $315 Million in Financing and Insurance for Projects in Emerging Markets
September 14, 2017
Ukraine project lessens Kyiv’s energy dependence on Russia
Costa Rica lending will support women borrowers
WASHINGTON – The Board of Directors of the Overseas Private Investment Corporation (OPIC) today approved $315 million in new financing and insurance to support two private sector-led projects that will invest in Ukraine’s energy sector and Costa Rica’s financial services sector.
“I’ve just returned from Ukraine, where I saw firsthand some of the country’s challenges, as well as its potential for high-impact development projects,” said Ray W. Washburne, OPIC President and Chief Executive Officer. “Both of the projects approved today illustrate how OPIC can help businesses in places where investment is greatly needed. These projects build on OPIC’s long history of supporting American interests around the world.”
The board of directors’ approval for OPIC support included:
- Up to $250 million in political risk insurance to support the development, construction, and commissioning of the Energoatom Central Spent Nuclear Fuel Storage Facility in Ukraine. This storage facility will be developed to store spent fuel from three of Ukraine’s four nuclear power plants, offering an efficient and secure process that will reduce Ukraine’s energy dependence on Russia. Camden, New Jersey-based Holtec International will supply dry storage casks, transportation casks, ancillary equipment, and engineering and training to the facility over an expected five-year period.
- Up to $65 million in financing to Banco BAC San José, S.A. to support the expansion of the bank’s lending to small and medium-sized enterprises (“SMEs”), leasing to consumers and SMEs, and mortgage program for low and middle-income home buyers. Twenty percent of the OPIC loan will go towards women SME borrowers, mortgagors and lessees. The OPIC loan will support the bank’s ability to channel resources to a population with traditionally less access to credit.
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 investment 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.