Where does OPIC get its money from to pay off the companies in case of default?
"The Overseas Private Investment Corporation (OPIC) is the U.S. government’s development finance institution. It mobilizes private capital to help solve critical development challenges and, in doing so, advances U.S. foreign policy.
OPIC supports U.S. private investment in more than 160 developing and post-conflict countries around the world in products that produce important economic, environmental and developmental benefits. OPIC catalyzes revenues, jobs and growth opportunities from Europe to the Middle East, as well as Africa to Asia and Latin America. Projects range from those in the renewable resources sector to food, health, tourism, infrastructure, microfinance, financial services and technology and communications.
OPIC operates on a self‐sustaining basis at no net cost to American taxpayers. It has helped to reduce the federal budget deficit for the 36th consecutive year. To date, OPIC has supported more than $200 billion of investment in more than 4,000 projects, which have generated an estimated $76 billion in U.S. exports and supported more than 278,000 American jobs."
It is my belief that as practical matter, OIC seldom pays out because there is not much default