
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 22USC2191]

 
               TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
 
                     CHAPTER 32--FOREIGN ASSISTANCE
 
                 SUBCHAPTER I--INTERNATIONAL DEVELOPMENT
 
                         Part II--Other Programs
 
           subpart iv--overseas private investment corporation
 
Sec. 2191. Congressional statement of purpose; creation and 
        functions of Corporation
        
    To mobilize and facilitate the participation of United States 
private capital and skills in the economic and social development of 
less developed countries and areas, and countries in transition from 
nonmarket to market economies, thereby complementing the development 
assistance objectives of the United States, there is hereby created the 
Overseas Private Investment Corporation (hereinafter called the 
``Corporation''), which shall be an agency of the United States under 
the policy guidance of the Secretary of State.
    The Corporation, in determining whether to provide insurance, 
financing, or reinsurance for a project, shall especially--
        (1) be guided by the economic and social development impact and 
    benefits of such a project and the ways in which such a project 
    complements, or is compatible with, other development assistance 
    programs or projects of the United States or other donors;
        (2) give preferential consideration to investment projects in 
    less developed countries that have per capita incomes of $984 or 
    less in 1986 United States dollars, and restrict its activities with 
    respect to investment projects in less developed countries that have 
    per capita incomes of $4,269 or more in 1986 United States dollars 
    (other than countries designated as beneficiary countries under 
    section 2702 of title 19, Ireland, and Northern Ireland); and
        (3) ensure that the project is consistent with the provisions of 
    section 2151p of this title, section 2151p-1 of this title, and 
    section 2151q of this title relating to the environment and natural 
    resources of, and tropical forests and endangered species in, 
    developing countries, and consistent with the intent of regulations 
    issued pursuant to section 2151p of this title, section 2151p-1 of 
    this title, and section 2151q of this title.

    In carrying out its purpose, the Corporation, utilizing broad 
criteria, shall undertake--
        (a) to conduct financing, insurance, and reinsurance operations 
    on a self-sustaining basis, taking into account in its financing 
    operations the economic and financial soundness of projects;
        (b) to utilize private credit and investment institutions and 
    the Corporation's guaranty authority as the principal means of 
    mobilizing capital investment funds;
        (c) to broaden private participation and revolve its funds 
    through selling its direct investments to private investors whenever 
    it can appropriately do so on satisfactory terms;
        (d) to conduct its insurance operations with due regard to 
    principles of risk management including efforts to share its 
    insurance and reinsurance risks;
        (e) to the maximum degree possible consistent with its 
    purposes--
            (1) to give preferential consideration in its investment 
        insurance, reinsurance, and guaranty activities to investment 
        projects sponsored by or involving United States small business; 
        and
            (2) to increase the proportion of projects sponsored by or 
        significantly involving United States small business to at least 
        30 percent of all projects insured, reinsured, or guaranteed by 
        the Corporation;

        (f) to consider in the conduct of its operations the extent to 
    which less developed country governments are receptive to private 
    enterprise, domestic and foreign, and their willingness and ability 
    to maintain conditions which enable private enterprise to make its 
    full contribution to the development process;
        (g) to foster private initiative and competition and discourage 
    monopolistic practices;
        (h) to further to the greatest degree possible, in a manner 
    consistent with its goals, the balance-of-payments and employment 
    objectives of the United States;
        (i) to conduct its activities in consonance with the activities 
    of the agency primarily responsible for administering subchapter I 
    of this chapter and the international trade, investment, and 
    financial policies of the United States Government, and to seek to 
    support those developmental projects having positive trade benefits 
    for the United States;
        (j) to advise and assist, within its field of competence, 
    interested agencies of the United States and other organizations, 
    both public and private, national and international, with respect to 
    projects and programs relating to the development of private 
    enterprise in less developed countries and areas;
        (k)(1) to decline to issue any contract of insurance or 
    reinsurance, or any guaranty, or to enter into any agreement to 
    provide financing for an eligible investor's proposed investment if 
    the Corporation determines that such investment is likely to cause 
    such investor (or the sponsor of an investment project in which such 
    investor is involved) significantly to reduce the number of his 
    employees in the United States production he is replacing his United 
    States production with production from such investment which 
    involves substantially the same product for substantially the same 
    market as his United States production; and (2) to monitor 
    conformance with the representations of the investor on which the 
    Corporation relied in making the determination required by clause 
    (1);
        (l) to decline to issue any contract of insurance or 
    reinsurance, or any guaranty, or to enter into any agreement to 
    provide financing for an eligible investor's proposed investment if 
    the Corporation determines that such investment is likely to cause a 
    significant reduction in the number of employees in the United 
    States;
        (m) to refuse to insure, reinsure, or finance any investment 
    subject to performance requirements which would reduce substantially 
    the positive trade benefits likely to accrue to the United States 
    from the investment; and
        (n) to refuse to insure, reinsure, guarantee, or finance any 
    investment in connection with a project which the Corporation 
    determines will pose an unreasonable or major environmental, health, 
    or safety hazard, or will result in the significant degradation of 
    national parks or similar protected areas.

(Pub. L. 87-195, pt. I, Sec. 231, as added Pub. L. 91-175, pt. I, 
Sec. 105, Dec. 30, 1969, 83 Stat. 809; amended Pub. L. 93-390, 
Sec. 2(1), Aug. 27, 1974, 88 Stat. 763; Pub. L. 95-268, Sec. 2, Apr. 24, 
1978, 92 Stat. 213; Pub. L. 97-65, Sec. 2, Oct. 16, 1981, 95 Stat. 1021; 
Pub. L. 99-204, Secs. 3, 4(a), Dec. 23, 1985, 99 Stat. 1669; Pub. L. 
100-461, title V, Sec. 555, Oct. 1, 1988, 102 Stat. 2268-36; Pub. L. 
102-549, title I, Sec. 101, Oct. 28, 1992, 106 Stat. 3651; Pub. L. 103-
392, title I, Sec. 105, Oct. 22, 1994, 108 Stat. 4099.)


References to Subchapter I Deemed To Include Certain Parts of Subchapter 
                                   II

    References to subchapter I of this chapter are deemed to include 
parts IV (Sec. 2346 et seq.), VI (Sec. 2348 et seq.), and VIII 
(Sec. 2349aa et seq.) of subchapter II of this chapter, and references 
to subchapter II are deemed to exclude such parts. See section 202(b) of 
Pub. L. 92-226, set out as a note under section 2346 of this title, and 
sections 2348c and 2349aa-5 of this title.

                          Codification

    Amendment by Pub. L. 100-461 is based on sections 102 and 110(a)(1) 
of title I of H.R. 5263, One Hundredth Congress, as passed by the House 
of Representatives on Sept. 20, 1988, and sections 102 and 110(a)(1) of 
title I of S. 2757, One Hundredth Congress, as reported Sept. 7, 1988, 
and enacted into law by Pub. L. 100-461.


                            Prior Provisions

    A prior section 231 of Pub. L. 87-195, pt. 1, Sept. 4, 1961, 75 
Stat. 432, related to general authority of President to participate in 
financing of surveys of investment opportunities in less developed 
friendly countries, prior to the general reorganization of this subpart 
by Pub. L. 91-175, pt. I, Sec. 105, Dec. 30, 1969, 83 Stat. 807.


                               Amendments

    1994--Pub. L. 103-392 inserted ``, Ireland, and Northern Ireland'' 
after ``title 19'' in par. (2) of second undesignated par.
    1992--Pub. L. 102-549, in first undesignated par., substituted 
``countries and areas, and countries in transition from nonmarket to 
market economies,'' for ``friendly countries and areas,''.
    1988--Pub. L. 100-461, in par. (2) of second undesignated par., 
substituted ``984 or less in 1986 United States dollars'' for ``$896 or 
less in 1983 United States dollars'' and ``$4,269 or more in 1986 United 
States dollars (other than countries designated as beneficiary countries 
under section 2702 of title 19)'' for ``$3,887 or more in 1983 United 
States dollars''.
    Pub. L. 100-461, in par. (3) of second undesignated par., 
substituted ``section 2151p of this title, section 2151p-1 of this 
title, and section'' for ``sections 2151p of this title and'' and 
``tropical forests and endangered species'' for ``biological 
diversity''.
    1985--Pub. L. 99-204, in second undesignated par., substituted 
``$896 or less in 1983 United States dollars'' for ``$680 or less in 
1979 United States dollars'' and ``$3,887 or more in 1983 United States 
dollars'' for ``$2,950 or more in 1979 United States dollars'' in par. 
(2), added par. (3), and added cl. (n).
    1981--Pub. L. 97-65 substituted ``$680 or less in 1979 United States 
dollars'' for ``$520 or less in 1975 United States dollars'' and 
``$2,950 or more in 1979 United States dollars'' for ``$1,000 or more in 
1975 United States dollars'' in par. (2) of undesignated paragraph 
covering the guidelines to be used with regard to operations in less 
developed countries, inserted ``, and to seek to support those 
developmental projects having positive trade benefits for the United 
States'' in cl. (i) of undesignated paragraph enumerating the activities 
of the Corporation, and, in that unnumbered paragraph, added cl. (m), 
relating to investments which would reduce positive trade benefits.
    1978--Pub. L. 95-268 inserted undesignated par. relating to 
determinations by the Corporation respecting insurance, financing, or 
reinsurance for a project, in cl. (e) designated existing provisions as 
subcl. (1) and, as so designated, substituted reference to guaranty 
activities for reference to financing activities and reference to small 
businesses for reference to businesses with a net worth of not more than 
$2,500,000 or with total assets of not more than $7,500,000, and added 
subcl. (2), struck out cl. (f) relating to encouragement and support of 
private investments for certain less developed friendly countries, 
redesignated former cls. (g) to (k) as (f) to (j), respectively, struck 
out former cl. (l) relating to preference by the Corporation for 
projects in countries having a per capita income of $450 or less in 1973 
United States dollars, redesignated former cl. (m) as (k), and added cl. 
(n) which, as added, was redesignated as (l).
    1974--Pub. L. 93-390, in introductory par., substituted ``social 
development'' for ``social progress'', in cl. (a) inserted provisions 
for conducting insurance and reinsurance operations and substituted 
provisions requiring in financial operations consideration of economic 
and financial soundness of projects for provisions requiring 
consideration of economic and financial soundness of projects and 
availability of financing from other sources on appropriate terms, in 
cl. (d) substituted ``efforts to share its insurance and reinsurance'' 
for ``when appropriate, efforts to share its insurance'', in cl. (e) 
substituted provisions requiring preferential treatment to investment 
projects involving businesses with enumerated net worth or total assets 
for provisions requiring utilization and encouragement for full 
participation in Corporation programs of small businesses, in cl. (i) 
inserted ``and employment'' before ``objectives'', and added cls. (l) 
and (m).


    Overseas Private Investment Corporation; Reaffirmation of Support

    Pub. L. 100-418, title II, Sec. 2203(a), Aug. 23, 1988, 102 Stat. 
1328, provided that: ``The Congress reaffirms its support for the 
Overseas Private Investment Corporation as a United States Government 
agency serving important development assistance goals. In order to 
enhance the Corporation's ability to meet these goals, the Overseas 
Private Investment Corporation should increase its loan guaranty and 
direct investment programs.''

       Ex. Ord. No. 11579. Overseas Private Investment Corporation

    Ex. Ord. No. 11579, Jan. 19, 1971, 36 F.R. 969, as amended by Ex. 
Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055; Ex. Ord. No. 12163, Sept. 
29, 1979, 44 F.R. 56673, provided:
    By virtue of the authority vested in me by the Foreign Assistance 
Act of 1961 (75 Stat. 424), as amended (hereinafter the ``Act'') 
[section 2151 et seq. of this title] and section 301 of title 3 of the 
United States Code, and as President of the United States, it is ordered 
as follows:
    Section 1. Transfer to Overseas Private Investment Corporation. All 
obligations, assets and related rights and responsibilities arising out 
of, or related to, predecessor programs and authorities similar to those 
provided for in sections 234(a), (b) and (d) of the Act [section 
2194(a), (b) and (d) of this title] are hereby transferred to the 
Overseas Private Investment Corporation (hereinafter the 
``Corporation'').
    Sec. 2. Delegation of functions. (a) [Revoked by Ex. Ord. No. 12163, 
Sept. 29, 1979, 44 F.R. 56673.]
    (b) The function of prescribing regulations relating to the 
reinstatement or restoration of officers and employees of the 
Corporation to other government positions, when their appointment to a 
position in the Corporation was made from another government position 
and their separation from the Corporation was not made for cause, is 
hereby delegated to the Office of Personnel Management.
    Sec. 3. Allocation and transfer of funds. Funds made available under 
section 232 of the Act (repealed by section 105 of the Foreign 
Assistance Act of 1969) [section 2192 of this title] which are obligated 
but unexpended are hereby transferred to the Corporation.
    Sec. 4. General provisions. (a) As used in this order, the words 
``function'' or ``functions'' include any duty, obligation, power, 
authority, responsibility, right, privilege, discretion, or activity.
    (b) The Corporation shall be deemed to be the successor of the 
Agency for International Development and the Administrator thereof, with 
respect to all functions vested in the Corporation pursuant to law.
    (c) Except to the extent that they may be inconsistent with this 
order, all determinations, authorizations, regulations, rulings, 
certificates, orders, directives, contracts, agreements, and other 
actions made, issued, or entered into with respect to any function 
affected by this order and not revoked, superseded or otherwise made 
inapplicable before the date of this order, shall continue in full force 
and effect until amended, modified, or terminated by appropriate 
authority.
    (d) Executive Order No. 10973 of November 3, 1961, as amended [set 
out as a note under this section], is hereby superseded insofar as any 
provision therein is in conflict with any provision herein.
    (e) The provisions of this order shall become effective upon 
adoption by the Board of Directors of bylaws for the Corporation.

                  Section Referred to in Other Sections

    This section is referred to in sections 2191a, 2194, 2200, 3304 of 
this title.
