International Investment

Agencies
 OPIC
 The Overseas Private Investment
Corporation (OPIC) is an agency of
the US Government established in
1971 that helps U.S. businesses invest
overseas and promotes economic
development in new and emerging
markets.
 OPIC's mission is to "foster economic
development in new and emerging
markets, support U.S. foreign policy
and create U.S. jobs by helping U.S.
businesses to invest overseas." The
agency provides political risk insurance
against the risks of political violence or
expropriation. OPIC also provides
financing through direct loans and loan
guaranties.
 OPIC operations cost nothing to
American taxpayers. The agency
has earned a profit in each year
of operations — $175 million in
2002 — and built its reserves to
more than $4 billion.
 Currently, OPIC services are
available for new and expanding
business enterprises in more
than 150 countries worldwide.
 OPIC’s financing and political
risk insurance also help U.S.
businesses of all sizes to
compete in emerging
markets and meet the
challenges of investing
overseas when private sector
support is not available. OPIC
promotes U.S. best practices by
requiring
projects to adhere to
international standards on the
environment and worker and
human rights.
MIGA-It’s mission is to help support economic growth,
reduce poverty, and improve people's lives.

 The Multilateral Investment Guarantee

Agency (MIGA) is a member of the World
Bank group. It was established to promote
FDI into developing countries. MIGA was
founded in 1988 with a capital base of $1
billion and is headquartered in Washington,
D.C.
 MIGA promotes FDI into developing
countries by insuring investors against
political risk, advising governments on
attracting investment, sharing information
through on-line investment information
services, and mediating disputes between
investors and governments. MIGA also
requires host country government approval
for every project. MIGA tries to work with
host governments - resolving claims before
they are filed.
 MIGA's Business

 MIGA provides guarantees against

noncommercial risks to protect cross-
border investment in developing
member countries.
 Guarantees protect investors against
the risks of Transfer Restriction,
Expropriation, War and Civil
Disturbance, and Breach of Contract
(for contracts between the
investor/project enterprise and the
authorities of the host country). These
coverages may be purchased
individually or in combination.
MIGA can cover only new investments. They are:
- new investment contributions associated
with the expansion, modernization, or
financial restructuring of existing projects;
and acquisitions involving privatization of
state enterprises.

 Unlike other insurers,

MIGA is backed by the
World Bank Group and
its member countries.