What do you do?
How does OPIC do this?
We're glad you asked. It provides investors with financing, guarantees, political risk insurance, and support for private equity investment funds.
How does this aid US foreign policy?
Did you know that during Fiscal Year 2011, OPIC generated net income of more than $250 million. This helped reduce our federal budget deficit. Well, given our debt, not by much … but it still helped. Since its beginning, OPIC has supported nearly $200 billion of investment in more than 4,000 projects, and generated $75 billion in US exports, supporting more than 276,000 American jobs … when people still had jobs.
Okay, interesting stuff, but —so what?
The Washington Times, Christopher Bedford tells us, “In late July, John Hynansky —a longtime friend of Vice President Joe Biden, and a major donor to Biden’s campaigns as well as President Barack Obama’s — was awarded a $20 million taxpayer loan to build a foreign-car dealership in Ukraine. According to a public summary document, the loan, from the federal government’s Overseas Private Investment Corporation, is for ‘up to $20.0 million,’ and is designed to expand Winner Import Ukraine’s automobile business, [and] construct and operate ‘Winner Autocity,’ which will have two new, state-of-the-art dealership facilities for Porsche and Land Rover/Jaguar automobiles.”
Of course, given that the per capita GDP of Ukraine is $5,400 annually, it is hard to imagine that many Ukrainians will be lining up to purchase a new Porsche or Land Rover … but you never know. Maybe Ukraine is a socialist cesspool like the United States, where the government subsidizes monthly car payments for luxury models.
We realize that given the size of the US economy, $20 million is a mere drop in the bucket. But $20 million for a business opportunity in Ukraine (as opposed to providing seed money for a business opportunity here at home) seems ludicrous.
We aren't exactly sure how many US jobs this Ukrainian Autocity will create, but really ... who says corruption doesn't pay?
—Mustang and Z sends