1. The U.S. International Development Finance Corporation (the “DFC”)
Supporting investment in the Indo-Pacific
August 20, 2019

2. OPIC’s Global Presence
OPIC’s Organization
As the U.S. Government’s development finance institution, OPIC mobilizes U.S. private capital to foster economic development in emerging market countries and advance U.S. foreign policy and national security priorities.
Objectives
Facilitate emerging market development
Support US private sector investment in emerging markets
Advance U.S. foreign policy
Generate self-sustaining financial returns
Capital
$22.8B current portfolio (as of 12/31/18)
$29B in statutory capacity
Countries
Authorized in approximately 160 countries
Active projects in 89 countries
Organization
Approximately 250 employees
Based in Washington D.C.
41 consecutive years of returning profits to the U.S. taxpayer
OPIC’s Global Presence
This provides a brief overview of who we are and what we do.
Shading denotes countries with active OPIC projects.
OPIC currently manages a $22.8B portfolio of projects in 89 countries and operates on a self-sustaining basis.

3. OPIC’s Solutions
OPIC offers innovative financial solutions to support private investors,
including debt financing, insurance, and support for private equity investment funds.
Products
Current Portfolio
Investment Finance
Limited recourse, long-term finance for private sector, commercial projects
Loan amounts up to $350M per project
Specific programs for providing finance to small-and-medium-sized enterprises
Political Risk Insurance
Protection against currency inconvertibility, expropriation and political violence, including terrorism
Policy coverage up to $350M per project, up to 20 year term
Fixed premium, cancellable only by insured
Investment Funds
Senior debt for private equity funds selected by competitive process
Investment decisions made independently by selected fund managers
Provide up to $200M with bullet repayment, zero coupon structure
Investment Funds (12%)

4. OPIC Policy
OPIC supports private sector investment while taking into consideration the project’s environmental and social impact.
Environmental Impact: OPIC looks to promote projects that are environmentally sustainable according to international standards.
Social Impact: OPIC considers the impact on the local community.
Worker Rights and Safety: OPIC works with the project sponsor to ensure adequate processes and procedures are in place that respect the rights and safety of the employed workforce.
Private Sector investment means the borrower is a private entity.
Investment means equity or other forms of long-term risk capital.
Commercial: OPIC supports projects that are technically and economically sustainable.
U.S. Economic Effects: The project can’t have a negative impact on the U.S. Economy.

5. From OPIC to DFC
On October 5, 2018, President Trump signed into law the Better Utilization of Investments Leading to Development Act – (“The BUILD Act”).
The legislation consolidates the U.S. government’s “development finance” capabilities – primarily OPIC and USAID’s Development Credit Authority- into the U.S. DFC.

6. DFC’s Differences
Equity Authority: In addition to OPIC’s and DCA’s current financial capabilities (loans, loan guarantees, investment funds and political risk insurance), the DFC will have the ability to make limited equity investments.
A Higher Investment Cap: The BUILD Act raises the total investment limitation for the DFC to $60 billion – more than double OPIC’s current $29 billion cap – along with increased oversight.
Technical Assistance/Feasibility Studies: The DFC will have the ability to provide technical assistance and conduct feasibility studies specific to its development finance projects.
Increased Integration and Coordination with State Department and USAID: The DFC will work side by side with State and USAID to leverage each other’s tools and international presence.
Focus on low-income and lower middle-income countries: The DFC will prioritize low-income and low middle-income countries where the DFC will have the greatest impact.

7. DFC – Timeline to Become Operational?
A reorganization plan was submitted to Congress in March.
The DFC will be operational beginning October 1, 2019.
The Administration is working with stakeholders during the transition period and we’ve enhanced cooperation with other agencies.
OPIC and DCA will continue to operate without interruption.
OPIC and DCA commitments will continue uninterrupted and will transfer to the DFC once it is operational.