The Overseas Private Investment Corporation: Background and Legislative Issues
December 1, 2009 - 98-567
The Overseas Private Investment Corporation (OPIC) was established in 1969 and began operations in 1971 as a development agency to promote and assist U.S. business investment in developing nations. Today, OPIC is a U.S. government agency that provides project financing, investment insurance, and other services for U.S. businesses in over 150 developing nations and emerging economies. To date, OPIC has funded, guaranteed, or insured over $180 billion in investments. OPIC's activities are guided by U.S. foreign policy objectives. Geographical priority areas for OPIC-supported activities are sub-Saharan Africa, the Broader Middle East and North Africa, and Asia. Sectoral priorities for the agency are renewable energy and access to credit for micro-, small-, and medium-sized enterprises. OPIC-supported projects must not have negative economic effects on U.S. employment and industry and must fulfill other statutory requirements. OPIC's budget is fully self-sustaining from its own revenues. Congress, as part of its oversight activities, annually provides OPIC with the authority to cover its administrative expenses and credit subsidy funding from user fees and its own income. The Omnibus Appropriations Act of 2009 (P.L. 111-8) extended OPIC's authority through September 30, 2009. The Act provided $50.6 million for OPIC's administrative expenses and authorized a transfer of ...