Overseas Private Investment Corporation: Background and Legislative Issues [July 5, 2011] [open Unknown - 198KB]
"The Overseas Private Investment Corporation (OPIC), which was established in 1969 and began operations in 1971, is an independent U.S. government agency that provides political risk insurance, project finance, and other services to support U.S. investment in over 150 developing countries and emerging economies. OPIC's programs are intended to promote U.S. private investment, by mitigating risks, such as political risks (including currency inconvertibility, expropriation, political violence, and terrorism), for U.S. firms making qualified investments overseas. OPIC's governing legislation is the Foreign Assistance Act of 1961 (P.L. 87-195) as amended. The agency's authority will expire at the end of FY2011 unless extended by Congress. […] While OPIC's budget is fully self-sustaining from its own revenues, Congress annually provides OPIC with the authority to cover its administrative expenses and credit subsidy funding from its offsetting collections, which include user fees and interest from U.S. Treasury securities. For FY2011, Congress provided $52.31 million for OPIC's administrative expenses and authorized a transfer of $18.115 million from OPIC's noncredit account to conduct its credit and administrative programs (P.L. 112-10). President Obama's budget proposal for FY2012 requested $57.89 million for OPIC's administrative expenses and a transfer of $31 million from OPIC's noncredit account to conduct it programs. The 112th Congress may consider legislation to extend OPIC's authority. In doing so, Congress may examine the policy debate related to OPIC's mission, the length of time for which to extend the agency's authority, the statutory restrictions and limitations on its support for investments, and the agency's organizational structure."
CRS Report for Congress, 98-567