Last week, DFC held its fourth and final board meeting concluding its first year in operation. DFC approved close to $8 billion in 2020, a significant rise from OPIC annual program which stood at $3-4 billion in recent years. This year the institution also deployed its new equity instrument to the tune of $171 million, expanded its portfolio in Africa, and launched new initiatives to address the economic and health consequences of the COVID-19 pandemic.
CGD Policy Blogs
The Biden administration has a unique opportunity to push the new agency towards a greener mandate which could help mobilize billions more in climate finance. Here are a few pathways incoming DFC leadership could consider.
While reflecting on DFC’s progress in implementing its core development mandate, and confronting the challenges posed the COVID-19 pandemic, we reached out to Senator Chris Coons (D-DE), a lead sponsor of the BUILD Act and a member of the Senate Foreign Relations Committee. We asked Senator Coons for his take on how the newest US development agency is faring and what he hopes to see in DFC’s future.
In this monitor, we look at how the latest batch of projects help shift DFC’s overall portfolio balance towards lower-income markets and examine the agency’s COVID-19 response so far which remain largely focused on the provision of liquidity to financial intermediaries.
In a year marked by pandemic and protest, good books are more important than ever. We're back with more hand-picked recommendations from CGD's staff and researchers to help you better understand, empathize with, or escape the world.
CGD colleagues raised questions and concerns at the time of the announcement. In weighing his possibly presidency, an especially salient question becomes: can Claver-Carone deliver a general capital increase (GCI)?
Not DFC’s Best Kodak Moment: Five Questions About the Development Agency’s First Domestic Investment
DFC’s first domestic DPA loan is an opportunity to have a fresh look at the program and raise a new round of questions for the agency.
The latest G20 finance ministers meeting concluded with no major progress on debt relief for the world’s poorest countries, and a few setbacks. To date, no country eligible for the G20’s Debt Service Suspension Initiative has requested a moratorium on their private sector debt. We are at an impasse.
At the end of June, DFC launched the first iteration of its Impact Quotient (IQ) development measurement tool, a new process that will rate a project’s likely results. DFC plans to use IQ at every stage of the investment process—from concept and selection, to implementation and monitoring—to assess the developmental impact of its investments.
DFC put its foot on the pedal in its second board meeting. It is starting to lay the groundwork for a portfolio that is more skewed towards the difficult markets where its development dollars can have most impact. Over the coming months we also hope to see a portfolio expansion in LICs commensurate with the growth in LMICs.