dfc.gov | 1

Table of Contents

Foreword by DFC CEO Scott Nathan ...........................................................2

Snapshot of 2021...............................................................................................3

Introduction ........................................................................................................4

A robust COVID response ...............................................................................6

Investing in low-income countries and vulnerable communities ...........9

Tracking our progress: our second-year impact....................................... 12

Empowering the world's women ................................................................ 13

A bold climate strategy.................................................................................. 16

Building connections...................................................................................... 19

Investment list................................................................................................. 22

Portfolio company investments................................................................... 34

Audited financial statement......................................................................... 40

Data and transparency .................................................................................. 70
 dfc.gov | 2

Foreword

In the two years since DFC launched, it has partnered with the private sector to finance 

solutions to the most critical challenges facing the developing world while advancing 

America’s foreign policy goals abroad. 

In Fiscal Year (FY) 2021, DFC partnered with private businesses to empower marginalized 

communities, advance American foreign policy, and expand production and distribution of 

lifesaving COVID-19 vaccines. Details of that work are outlined in this report. 

The scope and impact of this young agency’s work is a testament to the strength of the 

development finance model on which DFC was established and to the dedication of the DFC 

team and our partners. I am honored to be leading this young and dynamic agency through 

its next phase of growth, to ensure that the U.S. is a leader in global development that is 

transparent and impactful, and that we are equipped to meet our expanded mandate.

Responding nimbly and effectively to pandemics, climate change, political conflict, as well 

as poverty, hunger, and refugee crises will require not only strong partnerships, but also 

a strong internal foundation of clear priorities and efficient processes. As DFC sources 

deals and executes financial transactions that will improve lives and strengthen economies 

around the world, we are continuing to build the Corporation’s capacity to effectively and 

swiftly address new challenges as they emerge.

Scott A. Nathan

Chief Executive Officer 

May 2022


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• Investment Funds: Debt and equity investments in emerging market private equity funds to 

address the shortfall in investment capital in developing countries.

• Equity Investments: Direct equity investments for early-stage or growth-stage businesses that 

may not be ready to take on debt.

• Feasibility Studies and Technical Assistance: Grants to accelerate project identification and 

preparation and help increase a project’s developmental impact and commercial sustainability.

• Mission Transaction Unit: Works with USAID to identify access to finance challenges in 

developing countries and support transactions with all of DFC’s investment tools.

DFC partners with the private sector to deploy these tools and invest across multiple 

development sectors. Across every sector and investment, we prioritize inclusive growth, focusing 

our investment in the world’s low-income countries and most underserved communities. Key sectors 

of focus include:

• Climate change: Working to mitigate the impact of climate change while also boosting 

resilience and adaptation to floods, droughts and other severe weather events that are causing 

disproportionate suffering in the world’s poorest communities. 

• Global health: Expanding access to lifesaving COVID vaccines and therapeutics while investing 

in health infrastructure as well as water, sanitation, and hygiene (WASH) to boost long-term 

resilience to future pandemics and noncommunicable disease.

• Information and communications technology: Building access to reliable and affordable 

technology to support economic growth and support critical functions such as fin-tech, online 

education, and modern food value chains.

• Gender equity and equality: Investing in women’s economic empowerment by supporting 

projects that are owned by or led by women, or which offer a product or service that benefits 

women, especially those in poor and underserved communities.















 
 dfc.gov | 22

2021 Investment Activities

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Investment 

Guaranty 

IndusInd - Riviera 

Investors Pvt. Ltd. 5,500,000.00

Expansion of the borrower s micro-, 

small- and medium-enterprise 

loan portfolio.

India Indo-Pacific

Direct 

Investment

Sabre Partners 

Fund - SP Fund 

2019

15,000,000.00 

Investments in small and 

medium businesses operating 

in the healthcare and financial 

service sectors.

India Indo-Pacific

Direct 

Investment Hattha Bank PLC 50,000,000.00 Microfinance lending primarily 

focused on women in rural areas. Cambodia Indo-Pacific

Equity

National 

Investment and 

Infrastructure 

Master Fund (NIIF)

54,910,000.00 

Investments in core infrastructure 

sectors such as roads, ports, 

airports, logistics, electricity, and 

renewable energy.

India Indo-Pacific

Equity

National 

Investment and 

Infrastructure Fund 

Ltd. (NIIF)

1,251,117.07 

Fund manager sponsored by the 

Government of India that manages 

funds including National Investment 

and Infrastructure Fund.

India Indo-Pacific

Direct 

Investment

UC Inclusive Credit 

Private Limited 5,000,000.00 

Lending to entities focused on 

agriculture, education, financial 

inclusion, healthcare, renewable 

energy, and women s empowerment.

India Indo-Pacific

Investment 

Guaranty cKers Finance 2,500,000.00 

One lender in a multi-party loan 

portfolio guaranty supporting lending 

in renewable energy.

India Indo-Pacific

Investment 

Guaranty 

Electronica Finance 

Limited 10,000,000.00 

One lender in a multi-party loan 

portfolio guaranty supporting 

investment in renewable energy.

India Indo-Pacific

Direct 

Investment

Sanasa 

Development Bank 40,000,000.00 Onlending to SMEs with a focus on 

women-owned SMEs. Sri Lanka Indo-Pacific

Afghanistan Indo-Pacific

Information has been Redacted in accordance with the two principled exceptions of the Foreign Aid Transparency and Accountability Act (FATAA) of 2016; including the health and 

security of implementing partners, as well as national interest of the United States.
 dfc.gov | 23

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Investment 

Guaranty 

PT Resilience 

COVID Indonesia 28,000,000.00 

A 70 percent portfolio guaranty 

to support lending to healthcare 

facilities and SMEs providing essential 

goods in the food value chain.

Indonesia Indo-Pacific

Direct 

Investment First Finance PLC 5,000,000.00 Expansion of onlending portfolio for 

housing finance. Cambodia Indo-Pacific

Investment 

Guaranty 

Edu Growth Capital 

Management 

Pte. Ltd.

8,000,000.00 Support for increased local currency 

lending in the education sector. Indonesia Indo-Pacific

Direct 

Investment DFCC Bank PLC 150,000,000.00 Onlending to MSMEs with a focus on 

women-owned and -led MSMEs. Sri Lanka Indo-Pacific

Direct 

Investment

National 

Development 

Bank PLC

75,000,000.00 Onlending to SMEs with a focus on 

women-owned SMEs. Sri Lanka Indo-Pacific

Direct 

Investment

Motilal Oswal 

Home Finance 

Limited

50,000,000.00 Lending for mortgages to low- and 

middle-income borrowers. India Indo-Pacific

Direct 

Investment Patamar II 19,500,000.00 

High-impact fund for Southeast Asia 

focused on improving livelihoods of 

low-income populations.

Asia Regional Indo-Pacific

Direct 

Investment

Fulbright 

University Vietnam 

Corporation

37,048,855.00 

Construction and operation of the 

first phase of a new campus in Ho Chi 

Minh City.

Vietnam Indo-Pacific

Direct 

Investment

NeoGrowth Credit 

Private Limited 20,000,000.00 Short-term term loans to 

disadvantaged small businesses. India Indo-Pacific

Investment 

Guaranty 

Kotak Mahindra 

Bank Limited 24,500,000.00 Loan portfolio guaranty to support 

women s economic empowerment. India Indo-Pacific

Equity

Chiratae Ventures 

International Fund 

IV LLC

20,000,000.00 

Investments in early-stage 

and expansion- stage 

technology businesses.

Asia Regional Indo-Pacific

Investment 

Guaranty 

Samunnati Financial 

Intermediation & 

Services Private 

Limited

12,500,000.00 

Multi-party loan guaranty 

supporting lending to 

agriculture businesses. 

India Indo-Pacific

Investment 

Guaranty 

Maanaveeya 

Development & 

Finance Private 

Limited

7,500,000.00 

Support for businesses that 

create jobs and income for 

disadvantaged people.

India Indo-Pacific
 dfc.gov | 24

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Investment 

Guaranty 

Avanti Finance 

Private Limited 7,500,000.00 Financial services for the 

agriculture sector. India Indo-Pacific

Direct 

Investment

India Shelter 

Finance 

Corporation limited

30,000,000.00 Funding for mortgages with a focus on 

low-income women borrowers. India Indo-Pacific

Equity

Openspace 

Ventures Plus, L.P. 

(“OSV+”)

30,000,000.00 

Mid- and later-stage venture fund 

investing in impactful Southeast Asian 

technology companies.

Asia Regional Indo-Pacific

Direct 

Investment

CreditAccess 

Grameen Limited 35,000,000.00 

Expansion of microfinance 

portfolio with a focus on lending to 

rural women.

India Indo-Pacific

Investment 

Guaranty 

HDFC-Mastercard 

W-GDP Loan 

Portfolio Guaranty

50,000,000.00 

Loan portfolio guaranty supported by 

USAID/India for lending to SMEs in 

partnership with MasterCard, with a 

focus on women-owned businesses.

India Indo-Pacific

Direct 

Investment Biological E. Limited 50,000,000.00 COVID-19 vaccine manufacturing for 

primary distribution across Asia. India Indo-Pacific

Investment 

Guaranty 

Healthvista India 

Private Limited 

(Portea Medical)

7,700,000.00 Out-of-hospital healthcare company. India Indo-Pacific

Equity Dolma Impact 

Fund II 12,000,000.00 

Investments in Nepal s technology, 

healthcare, and renewable energy 

sectors with a focus on high-impact 

deals tied to the UN s SDGs.

Nepal Indo-Pacific

Equity Integra Partners 

Fund II L.P. 10,000,000.00 

Venture capital fund taking an 

impact- oriented approach to expand 

access to healthcare, insurance and 

financial services.

Asia Regional Indo-Pacific

Investment 

Guaranty 

WBC - Ess Kay 

Fincorp Private 

Limited

14,625,000.00 

Expansion of lending portfolio 

for MSME purchases of 

commercial vehicles.

India Indo-Pacific

Investment 

Guaranty 

AryaDhan Financial 

Solutions Pvt 

Limited

9,999,000.00 Commodity-backed post-harvest 

loans to MSMEs. India Indo-Pacific

Investment 

Guaranty 

WBC - Sonata 

Finance Private 

Limited

7,800,000.00 

Expansion of microfinance portfolio 

serving rural women at the bottom of 

the pyramid.

India Indo-Pacific

Investment 

Guaranty 

Green Agrevolution 

Private Limited 

(DeHaat)

9,999,000.00 One-stop shop for farmers providing 

advice, inputs, and marketing. India Indo-Pacific
 dfc.gov | 25

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment

Abound Capital 

Master Fund I 

Pte. Ltd.

10,000,000.00 Venture debt fund focused on South 

and Southeast Asia, excluding India. Asia Regional Indo-Pacific

Investment 

Guaranty 

Nationwide 

Microbank Limited 2,500,000.00 

Loan portfolio guaranty to support 

loans to SMEs with a focus on 

supporting women s economic 

empowerment and the COVID 

response.

Papua New 

Guinea Indo-Pacific

Investment 

Guaranty 

Origo Commodities 

India Pvt Ltd 19,929,307.99 

Expansion of structured trade 

product combining procurement, 

warehousing, and financing for 

traders and processors.

India Indo-Pacific

Investment 

Guaranty 

Punjab Renewable 

Energy Systems 10,000,000.00 

Construction of seven biomass 

briquetting plants and working capital 

needs for a biomass supply company.

India Indo-Pacific

Direct 

Investment

JSC Bank of 

Georgia 100,000,000.00 

Liquidity facilities for the bank s 

MSME clients impacted by the 

economic crisis resulting from 

COVID-19.

Georgia

Eastern 

Europe and 

Eurasia

Investment 

Guaranty 

OCN Prime 

Capital SRL 3,000,000.00 Expanded credit to MSMEs 

impacted by COVID-19. Moldova

Eastern 

Europe and 

Eurasia

Insurance GAVI Alliance 7,650,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi.

Albania

Eastern 

Europe and 

Eurasia

Insurance GAVI Alliance 1,700,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi.

Montenegro

Eastern 

Europe and 

Eurasia

Insurance GAVI Alliance 4,000,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi.

Armenia

Eastern 

Europe and 

Eurasia

Investment 

Guaranty 

BC MoldovaAgroindbank S.A. 7,000,000.00 Loan portfolio guaranty with MAIB 

(Moldova Agroindbank). Moldova

Eastern 

Europe and 

Eurasia

Direct 

Investment Banco Improsa, S.A. 15,000,000.00 Loans to SMEs and 2X-eligible 

enterprises. Costa Rica

Latin 

America 

and the 

Caribbean
 dfc.gov | 26

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment

Banco 

Centroamericano 

de Integración 

Económica

100,000,000.00 

Loan to alleviate COVID-19 impacts 

of its financial intermediaries in El 

Salvador, Guatemala, and Honduras.

Latin America 

Regional

Latin 

America 

and the 

Caribbean

Direct 

Investment

Sudameris Bank 

S.A.E.C.A. 

(COVID-response 

facility)

93,750,000.00 Follow-on facility to support SMEs in 

Paraguay impacted by COVID-19. Paraguay

Latin 

America 

and the 

Caribbean

Direct 

Investment

Imperative 

Investment I 19,800,000.00 

Financing for construction and buyer 

financing for low-income housing and 

community services.

Mexico

Latin 

America 

and the 

Caribbean

Direct 

Investment Hospifuturo S.A. 18,450,000.00 Expansion of hospital. Ecuador

Latin 

America 

and the 

Caribbean

Direct 

Investment

Banco de la 

Producción S.A. 150,000,000.00 Onlending to 2X and SME 

downstream borrowers. Ecuador

Latin 

America 

and the 

Caribbean

Direct 

Investment

Forest First 

Colombia S.A.S. 22,000,000.00 

Expansion of a sustainable forestry 

plantation on degraded land in 

eastern Colombia, one of the 

country s poorest regions.

Colombia

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

GIFF-MFI-Consejo 

de Asistencia al 

Microemprendedor

11,665,500.00 Microfinance lending to 

low-income borrowers. Mexico

Latin 

America 

and the 

Caribbean

Insurance Touchstone Gold 

Holdings S.A. 25,000,000.00 Development of a open pit gold mine 

in Segovia, Colombia. Colombia

Latin 

America 

and the 

Caribbean

Direct 

Investment CrediQ IV 92,307,692.00 

Onlending in El Salvador and 

Costa Rica to borrowers impacted 

by COVID-19.

El Salvador 

and Costa 

Rica

Latin 

America 

and the 

Caribbean

Direct 

Investment

Banco BTG 

Pactual S.A. 300,000,000.00

Expansion of SME lending with 

focus on women-owned SMEs 

and those located in economically 

disadvantaged regions of Brazil.

Brazil

Latin 

America 

and the 

Caribbean
 dfc.gov | 27

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment Financia Credit 10,000,000.00 

Financial technology firm offering 

card- and web-based payment and 

working capital solutions to SMEs and 

large companies in Central America.

Latin America 

Regional

Latin 

America 

and the 

Caribbean

Direct 

Investment

Avenida Colombia 

Real Estate Fund II, 

L.P. - B

4,279,500.00 

Investment in residential projects, 

retail centers, and housing solutions, 

and retail offerings in low- and 

middle-income communities.

Colombia

Latin 

America 

and the 

Caribbean

Direct 

Investment

La Hipotecaria, 

S.A. de C.V. 10,000,000.00 

Short-term liquidity to assist 

mortgage company with 

COVID 19 response.

El Salvador

Latin 

America 

and the 

Caribbean

Investment 

Guaranty AyC Colanta LPG 6,000,000.00 

Support for rural development to 

increase lending for association, 

cooperatives, and farmers for cassava 

and dairy production. 

Colombia

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

Crezcamos S.A. 

Compañía de 

Financiamiento

4,800,000.00 

Loan portfolio guaranty for vulnerable 

populations, including Venezuela 

migrants and receptor communities.

Colombia

Latin 

America 

and the 

Caribbean

Direct 

Investment Banco D-MIRO S.A. 10,000,000.00 

Expanded microfinance lending 

for female borrowers and other 

microenterprises.

Ecuador

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

WBC - Banco 

Solidario 9,750,000.00 Expanded onlending to 

microenterprises. Ecuador

Latin 

America 

and the 

Caribbean

Direct 

Investment Banco Sofisa, S.A. 45,000,000.00 Onlending to SMEs with focus on 

those operating in the Legal Amazon. Brazil

Latin 

America 

and the 

Caribbean

Insurance GAVI Alliance 50,000,000.00 

Breach of Contract insurance to 

support its procurement of 

COVID-19 vaccines.

Guatemala

Latin 

America 

and the 

Caribbean

Insurance GAVI Alliance 4,800,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi.

Jamaica

Latin 

America 

and the 

Caribbean
 dfc.gov | 28

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Insurance GAVI Alliance 50,000,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi.

Argentina

Latin 

America 

and the 

Caribbean

Insurance GAVI Alliance 250,000,000.00 

Breach of Contract coverage to 

support procurement of 

COVID-19 vaccines. 

Brazil

Latin 

America 

and the 

Caribbean

Insurance GAVI Alliance 1,600,000.00 

Purchase of COVID-19 vaccines 

from vaccine manufacturers upon 

allocation of doses by Gavi

Suriname

Latin 

America 

and the 

Caribbean

Insurance The Nature 

Conservancy 425,000,000.00 Sovereign debt restructuring to 

finance marine conservation. Belize

Latin 

America 

and the 

Caribbean

Direct 

Investment

Destino Desarrollos 

Inmobilarios 

Compania Limitada

19,500,000.00 Expansion of affordable 

housing construction. Guatemala

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

Banco De Las 

Microfinanzas - 

Bancamía S.A

5,000,000.00 

Loan portfolio guaranty for vulnerable 

populations, including migrants and 

receptor communities.

Colombia

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

WBC - Cooperativa 

de Ahorro y Crédito 

Pacífico

9,750,000.00 Expanded lending to small- and 

medium-sized enterprises. Peru

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

Smart RJ 

Concessionaria 267,000,000.00 

Provision of public lighting services 

and smart city infrastructure 

throughout the city of Rio de Janeiro.

Brazil

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

Banco Davivienda 

Salvadoreño, S.A 15,500,000.00 

Loan portfolio guaranty to expand 

lending to SMEs that support gender 

equity and inclusion and those 

impacted by the COVID-19 pandemic.

El Salvador

Latin 

America 

and the 

Caribbean

Investment 

Guaranty 

Banco 

Internacional S.A. 15,000,000.00 

Expanded lending to SMEs, 

particularly those in the Western 

Highland of Guatemala and other 

departments that have high 

migration rates

Guatemala

Latin 

America 

and the 

Caribbean
 dfc.gov | 29

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Insurance

Sunfinder 

Solar Energy 

Transformation 

Fund

2,000,000.00 Financing of solar power plant under 

Sunfunder s Beyond the Grid Fund. Jordan

North 

Africa/

Middle East

Direct 

Investment

Near East 

Foundation UK 10,000,000.00 

Entrepreneurship program to provide 

sustainable livelihoods for refugees 

and their host communities.

Middle East 

Regional

North 

Africa/

Middle East

Direct 

Investment

Pearl Petroleum 

Company Limited 250,000,000.00 

Expansion of natural gas processing 

capacity in the Kurdistan Region 

of Iraq.

Iraq

North 

Africa/

Middle East

Investment 

Guaranty 

MEII 3 - Bank of 

Jordan 2 1,000,000.00 

Additional support for expansion 

 of Bank of Jordan s SME 

lending portfolio.

West Bank

North 

Africa/

Middle East

Investment 

Guaranty 

Partners for Micro 

Credit (Vitas 

Jordan)

50,000,000.00 Loan guaranty facility supporting 

SME lending. Jordan

North 

Africa/

Middle East

Insurance GAVI Alliance 13,700,000.00 

Breach of Contract coverage 

to support procurement of 

COVID-19 vaccines.

Jordan

North 

Africa/

Middle East

Technical 

Assistance Scatec Iraq Solar PV 979,000.00 

Feasibility study to support the 

construction of two solar PV 

power plants.

Iraq

North 

Africa/

Middle East

Technical 

Assistance

MEII LGF 

3 Technical 

Assistance

3,529,721.00 

Technical assistance to increase 

the impact of SME lending in the 

West Bank. 

West Bank 

And Gaza

North 

Africa/

Middle East

Investment 

Guaranty 

Scale-MSMEmPharma Data Inc. 4,500,000.00 

Expansion of supply chain, inventory 

management and retail 

pharmacy operations.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment Copia Global (loan) 5,000,000.00 Bridge loan to cover Copia s needs 

until equity transaction disbursed.

Africa 

Regional

Sub-Saharan 

Africa

Insurance

Development 

Alternatives 

Inc. (DAI)

850,000.00 

Support for the Government of 

the DRC by implementing USAID s 

Integrated Governance Activity 

(IGA) program.

Democratic 

Republic of 

the Congo

Sub-Saharan 

Africa

Insurance

Development 

Alternatives 

Inc. (DAI)

850,000.00 

Support for Government of Zambia 

program to reduce stunting among 

children under two years of age.

Zambia Sub-Saharan 

Africa

Insurance

ExxonMobil 

Mozambique 

Limitada

1,500,000,000.00

Development of offshore gas 

production to process liquefied 

natural gas.

Mozambique Sub-Saharan 

Africa
 dfc.gov | 30

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment

SA Taxi Impact Fund 

(RF) Proprietary 

Limited II 

150,000,000.00 Expansion of lending portfolio to 

entrepreneurs operating minibuses. South Africa Sub-Saharan 

Africa

Equity Kasha Global Inc. 1,000,000.00 

Support for e-commerce company 

providing personal care and 

healthcare products to low-income 

women in Kenya and Rwanda.

Kenya Sub-Saharan 

Africa

Investment 

Guaranty Stichting Cordaid 14,750,000.00 

Loan portfolio guaranty to 

catalyze private capital and credit 

enhancement for SME lending in 

West African countries.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment Nithio FI B.V. 10,000,000.00 Expanded access to off-grid energy 

products/services.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment Africa Data Centres 300,000,000.00 

Acquisition, development, 

construction and operation of data 

centers in South Africa, Kenya, and 

other DFC eligible countries.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment

Lending for 

Education in Africa 

Partnership (LEAP) 

4,000,000.00 

Affordable student loans and student 

support services to low- and 

middle-income college students.

Kenya Sub-Saharan 

Africa

Insurance Heaven Holdings 

LTD 3,690,000.00 Expansion of hotel complex in 

Kigali, Rwanda. Rwanda Sub-Saharan 

Africa

Investment 

Guaranty 

FY21 CRDB Bank 

- Tanzania Loan 

Portfolio Guarantee

4,400,000.00 

Loan portfolio guarantee to support 

lending in health sector, with a focus 

on supporting women and youth. 

Tanzania Sub-Saharan 

Africa

Direct 

Investment

Africa Healthcare 

Network 5,000,000.00 Expanded access to affordable, 

high-quality dialysis services.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment

International Bank 

(Liberia) Limited 20,000,000.00 Long-term SME lending in Liberia. Liberia Sub-Saharan 

Africa

Direct 

Investment

Franchise Impact 

Solutions Facility 1,383,000.00 

Expansion financing to SPV for 

impact SME starting with Jibu in 

Uganda and Rwanda.

Africa 

Regional

Sub-Saharan 

Africa

Technical 

Assistance

Institut Pasteur 

Dakar 3,300,000.00 

Technical assistance to support 

project development work for 

a COVID-19 vaccine 

manufacturing facility.

Senegal Sub-Saharan 

Africa

Equity

Convergence 

Partners Digital 

Infrastructure Fund

25,000,000.00 Investments in digital infrastructure 

in Africa.

Africa 

Regional

Sub-Saharan 

Africa
 dfc.gov | 31

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment

CECA SL 

Generation Limited 217,000,000.00 

Development of 87 MW power 

generation plant in Freetown, 

Sierra Leone. 

Sierra Leone Sub-Saharan 

Africa

Investment 

Guaranty 

Medical Credit 

Fund II 

Cooperatief U.A.

17,780,000.00 

Lending to healthcare SMEs in 

Sub-Saharan Africa in response 

to COVID-19.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment

Aspen Finance 

Proprietary Ltd 118,764,845.61 

Debt to and support for operations, 

including production of vaccines and 

other therapeutics. 

South Africa Sub-Saharan 

Africa

Direct 

Investment

57 Stars 

Direct Impact 50,000,000.00 

Co-investment fund investing in 

impact-focused portfolio companies 

across emerging markets.

Kenya Sub-Saharan 

Africa

Direct 

Investment Lendable Inc. 20,000,000.00 

Lendable MSME Fintech Credit 

Fund provides debt facilities to 

fintech companies operating in 

Africa and Asia that promote 

greater financial inclusion.

Africa 

Regional

Sub-Saharan 

Africa

Equity Atlantica Ventures 

Fund 1 10,000,000.00 

African impact-focused venture 

capital fund investing in tech and 

tech-enabled startups.

Africa 

Regional

Sub-Saharan 

Africa

Equity Copia Global Inc. 4,999,998.62 

Mobile commerce company delivering 

essential goods to low- and 

middle- income consumers in Kenya.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment

Zamuka Future of 

Work Fund PLC 7,000,000.00 

Income share agreements to help 

marginalized youth in sub-Saharan 

Africa access education.

Africa 

Regional

Sub-Saharan 

Africa

Investment 

Guaranty 

SCALE-MSMEBabban Gona 

Farmer Services 

Nigeria Lim

9,999,000.00 Line of credit facility to finance inputs 

and onlending to smallholder farmers. Nigeria Sub-Saharan 

Africa

Direct 

Investment

Apollo 

Agriculture, Inc. 9,500,000.00 Microloans and inputs for smallholder 

farmers in Kenya. Kenya Sub-Saharan 

Africa

Direct 

Investment Spark+ Africa Fund 10,000,000.00 Investments to support the delivery of 

high-impact clean cooking solutions.

Africa 

Regional

Sub-Saharan 

Africa

Equity BluePeak Private 

Capital Fund, SCSp 30,000,000.00 Credit to growing medium-sized 

companies, primarily in Africa.

Africa 

Regional

Sub-Saharan 

Africa

Direct 

Investment

Ampersand 

Rwanda Ltd. 9,000,000.00 Expansion of an electric motorcycle 

taxi company. Rwanda Sub-Saharan 

Africa
 dfc.gov | 32

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Investment 

Guaranty 

Compagnie 

Générale 

de Banque 

(Cogebanque)

7,008,760.00 

Loan portfolio guaranty with 

Cogebanque to support lending to 

agriculture SMEs, with support from 

USAID/Rwanda.

Rwanda Sub-Saharan 

Africa

Investment 

Guaranty Orabank Niger 3,000,000.00 

Loan portfolio guaranty to encourage 

lending in Niger s agriculture and 

livestock sectors aligned with USAID/

Niger s resilience strategy.

Niger Sub-Saharan 

Africa

Investment 

Guaranty 

UCCMS Senegal 

Loan Portfolio 

Guaranty

10,000,000.00 

Microfinance lending to agriculture 

and WASH SMEs aligned with USAID/

Senegal s priorities.

Senegal Sub-Saharan 

Africa

Technical 

Assistance

Taiba Wind 

Farm Expansion 590,000.00 

Feasibility study for a grid study, wind 

measurements and identification of 

land users for the expansion of the 

existing DFC-financed wind farm.

Senegal Sub-Saharan 

Africa

Technical 

Assistance Ifria 343,000.00 Feasibility studies for Ifria s cold chain 

anchor hubs in Senegal and Morocco.

Africa 

Regional

Sub-Saharan 

Africa

Investment 

Guaranty 

Caisse Regionale 

de Refinancement 

Hypothecaire

256,000,000.00 

Long-term financing to a wholesale 

financial institution that supports 

mortgage lending in CFA countries.

Africa 

Regional

Sub-Saharan 

Africa

Technical 

Assistance

Atlantica Ventures 

Fund Tech Platform 359,370.00 

Technical assistance to design, 

implement, and launch a digital 

database with machine learning data 

analysis capabilities.

Africa 

Regional

Sub-Saharan 

Africa

Investment 

Guaranty Sidian Bank Limited 4,000,000.00 

Loan portfolio guaranty to support 

lending to health SMEs, with support 

from USAID/Kenya.

Kenya Sub-Saharan 

Africa

Technical 

Assistance

Lending for 

Education in 

Africa Partnership 

(LEAP) Technical 

Assistance

282,104.00 

Technical assistance to improve 

IT platform and increase share 

of female students.

Kenya Sub-Saharan 

Africa

Direct 

Investment ETG 50,000,000.00 

Working capital loan for commodity 

trade finance activities for maize, 

cashews, and pulses in Mozambique, 

Zambia, and Tanzania.

Mozambique Sub-Saharan 

Africa

Investment 

Guaranty 

Absa Bank 

Mozambique, SA 8,250,000.00 

Loan portfolio guaranty to support 

lending to SMEs, particularly 

agriculture SMEs, with support from 

USAID/Mozambique.

Mozambique Sub-Saharan 

Africa
 dfc.gov | 33

PROJECT 

TYPE

PROJECT NAME AMOUNT PROJECT DESCRIPTION COUNTRY REGION

Direct 

Investment

BlueOrchard 

COVID-19 

Emerging and 

Frontier Markets

45,000,000.00 

Support for microfinance and 

other financial institutions 

supporting MSMEs impacted by 

the COVID-19 pandemic.

Worldwide Worldwide

Investment 

Guaranty Trine AB 10,000,000.00 MSME lending. Worldwide Worldwide

Direct 

Investment

Sarona Global 

Growth Markets PE 

Fund 2-B LP 

100,000,000.00 

Investment in private equity funds 

targeting high-growth companies in 

frontier markets with strong 

ESG standards.

Worldwide Worldwide

Direct 

Investment MISIF LLC 20,000,000.00 Agri SME lending facility in Africa 

via a charitable network. Worldwide Worldwide

Direct 

Investment

Parsyl 

Syndicate Limited 25,000,000.00 

Loan to facilitate cost-effective 

insurance policies for shipments 

of vaccines and medical products 

to developing countries.

Worldwide Worldwide

Direct 

Investment

Microvest EDF 

Master Fund Ltd. 48,000,000.00 

Expansion of fund lending to 

microfinance institutions and 

other responsible financial 

institutions globally.

Worldwide Worldwide

Direct 

Investment

DFC-MASSIF 

COVID-19 

Response 

Co-Financing 

Facility

50,000,000.00 

Loans to financial intermediaries 

facing COVID-19-related liquidity 

constraints, with a focus on those 

lending to MSMEs.

Worldwide Worldwide

Direct 

Investment

Global Partnerships 

Impact First 

Growth Fund (IFGF)

37,500,000.00 

2X and COVID response debt fund 

lending to highly impactful social 

enterprises that expand opportunity 

for people living in poverty.

Worldwide Worldwide

Direct 

Investment

Energy Access 

Relief Fund B.V. 10,000,000.00 

Support for off-grid energy providers 

impacted by COVID-related liquidity 

constraints.

Worldwide Worldwide

Direct 

Investment

BUILD Fund S.A., 

SICAV-RAIF 10,000,000.00 Financing for high-impact SMEs in 

Least Developed Countries. Worldwide Worldwide

Equity

PG Impact Credit 

Strategies 2020 

S.C.A., SICAV RAIF

25,000,000.00 

Financing to SMEs in the financial 

inclusion, healthcare, food security, 

education, and energy access sectors. 

Worldwide Worldwide

Technical 

Assistance

Parsyl Risk 

Management 

Accelerator

2,250,800.00 

Technical assistance to reduce risk 

and strengthen supply chains for the 

delivery of COVID-19 vaccines and 

other healthcare commodities.

Worldwide Worldwide
 dfc.gov | 34

2021 Portfolio Company Investments

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

AfricInvest Fund IV 

LLC

CMGP SA Morocco Irrigration equipment and services

Fidelity Bank, Ltd. Ghana Commerical bank

Asia Partners I LP Commeasure Pte Ltd (RedDoorz) Singapore Hospitality company

Carsome Malaysia Automotive e-commerce 

marketplace

SnapAsk Southeast Asia Online education platform

SCI Ecommerce Singapore Cross-border e-commerce enabler

Gudangada Pte. Ltd Indonesia B2B fast-moving consumer goods 

marketplace 

Doctor Anywhere Pte. Ltd. Singapore Omnichannel healthcare provider

Chiratae Ventures 

International Fund 

IV LLC

Abita Innovations Private Limited India B2B for dental supplies

Acquire, Inc. India Creative intelligence and marketing 

technology

Aether Biomedial Sp, Z.o.o India Medical robotics company

Alpha Digital Health Pvt Ltd. India Digital-first platform for healthcare

Beep Innovations Private Limited India Fuel-agnostic platform to digitize 

and organize the used-2-wheeler 

(2W) market

Brainbees Solutions Private Limited India E-commerce platform for baby care 

& beauty products 

Byelearn Inc. India AI-based math solver for student 

assistance

Chakadola Technologies Private 

Limited 

India Video-first sales intelligence 

platform

Cropin Technology Solutions 

Private Limited

India SaaS ERP & data analytics platform 

for agri businesses

DreamVu Inc. India Omnidirectional 3D vision system

Ergos Business Solutions Private 

Limited

India Integrated micro-warehousing 

and agri-marketplace platform for 

farmers
 dfc.gov | 35

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

Getvantage Tech Pvt Ltd. India Revenue Based Financing (RBF) 

tech platform for digital first brands

Globalbees Brands Private Limited India Acquires D2C micro brands and 

scales them up on e-commerce 

platforms 

HealthifyMe Wellness Products & 

Services Pvt. Ltd.

Singapore Digital platform for health and 

wellness

Hevo Data, Inc. India Cloud-based real-time data pipeline 

platform

KBCols Sciences Pvt Ltd. India Natural color extraction from 

microbes

Lenskart Solutions Private Limited India India’s largest eyewear brand 

Local AI Inc. India Operational analytics SaaS

Locofast Online Services Pvt Ltd. India B2B marketplace for garment 

manufacturers and apparel brands

Newbazaar Technologies Private 

Limited 

India A unified platform for banks to 

integrate their EMI options at PoS

PB Fintech Private Limited India Online insurance distributor

R N Chidakashi Technologies 

Private Limited 

India India’s first companion robot for 

kids

Reallearning Technologies Private 

Limited 

India AI based homework and 

assessments platform

SquadRun, Inc. India Data intelligence-driven software

Targetone Innovations Private 

Limited 

India Auto repair and maintenance 

marketplace

Uable Pte Ltd. Singapore Ed-tech platform player solely 

focused on early learning and career 

discovery for children

Uniphore Technologies, Inc. India Speech recognition platform

Vianam Healthtech Private Limited India One stop platform for patients' 

hospitalization needs
 dfc.gov | 36

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

Wandx Solutions Pvt Ltd. India Supply chain traceability platform 

built on Blockchain technology

ECP Africa Fund IV Mukuru Africa Pty Ltd. South Africa Money remittance business focused 

on serving low- and middle-income 

migrants

Atinkou Cote d'Ivoire Combined cycle power generation 

to meet regional electricity needs

Gazelle Fund LP Apaga Tour LLC Armenia Recreational and hospitality 

services

Arsev LLC Armenia Contractor of infrastructure 

projects, construction materials 

producer

Bumba Georgia Production of plastic and aluminum 

beverage packaging products

Dak Group LLC Armenia Aluminum foil capsule coffee 

manufacturer and wholesaler

David Construction LLC Armenia Construction services

Degusto Georgia Chain of fast and casual food 

restaurants

Forest Fair LLC Armenia Grape cultivation and restaurant 

complex

Fruit Logistics LLC Georgia Transportation and logistics of fruits 

and vegetables

Global Parts LLC Armenia Retailer of spare parts for trucks, 

construction and agricultural 

machines

GNGK LLC Armenia Auto parts and repairment services

Gold Plast LLC Armenia Styrofoam production

Manna LLC Georgia Processing and packaging 

fermented tea

Mosmieri Georgia Wine chateau and restaurant

Nout.am LLC Armenia Online retailer and AI developer

Nutsge Georgia Hazelnut processing plant
 dfc.gov | 37

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

Ordunet Georgia Wi-fi and fiber-optic 

internet provider

Raymann LLC Georgia Outpatient clinic

Saniore Georgia Wine production

Smart Energy Technologies LLC Armenia Installer of solar power plants

Sonati LLC Armenia Producer of household textiles

LeapFrog Emerging 

Consumer Fund III

AIICO Nigeria Insurance Services

BIMA Global Digital health and insurance 

provider

Fincare Small Finance Bank, Ltd. India Microfinance institution providing 

loans and savings to financially 

underserved

MeGenome Global Genetics-driven research 

and diagnostics

Pasarpolis Indonesia Insurtech

SoftLogic Sri Lanka Insurance solutions provider

National Investment 

& Infrastructure Fund

Athaang Devanahalli Tollway Pvt. 

Ltd.

India Operating roads

Athaang Dichpally Tollway Pvt. Ltd. India Operating roads

Athaang Infrastructure Pvt. Ltd. India Roads development

Ayana Renewable Power Pvt. Ltd. India Utility-scale renewables

Hindustan Infralog Pvt. Ltd. India Ports and logistics

Intellismart Infrastructure Pvt. Ltd. India Smart metering platform

Navis Asia Fund 

VIII, L.P.

Hernan Corporation Sdn. Bhd Malaysia Durian fruit products producer

Quadria Capital Fund 

II PAR L.P.

Nobel Hygiene Private Limited India Marketing and manufacturing of 

disposable hygiene products across 

adult, feminine and baby segments

PT Medikaloka Hermina Tbk Indonesia Hospital group
 dfc.gov | 38

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

Sarona Global 

Growth Markets 

PE Fund 2-B, LP

2Go Group, Inc. Philippines Integrated logistics and 

transportation provider

Apis Growth Fund II, L.P. Asia and Africa Private equity fund focusing on 

Asia and Africa

Archipelago Asia Focus Fund II, L.P. South East Asia Small- to mid-market private equity 

investment funds

Busybees Logistics Solutions Pvt. 

Ltd.

India E-commerce logistics service 

provider

Despegar.com Corp. Latin America Online travel company

Gaja Capital Fund IV India PE Fund focused on education, 

financial services, consumer, 

healthcare

Innova/6 SCA SICAV-RAIF Central Europe Private equity fund

L Catterton Latin America III, L.P. Latin America Private equity fund focused on 

middle-market business

MaxAB Egypt Food and grocery B2B e-commerce 

and distribution platform

Mediterrania Capital III, L.P. North Africa Growth-stage SME fund

Mekong Enterprise Fund III Vietnam Vietnamese-focused private 

equity fund

Mekong Enterprise Fund IV, L.P. Vietnam Vietnamese-focused private 

equity fund

Oria Fund III, L.P. Brazil IT-focused private equity fund

South Asia Growth Fund II, L.P. India PE fund focused on energy 

efficiency, clean energy value chain, 

water, waste, food and agriculture

Zenvia Mobile Servicos Digitais S.A. Brazil End-to-end communications 

platform

Somerset Indus 

Healthcare Fund II

Genworks Health Pvt. Ltd. India Medtech distribution platform for 

medical services

South Asia Growth 

Fund II, L.P.

ESDS Software Solution Private, 

Ltd.

India Managed data center and cloud 

hosting solutions

3SC India Supply chain decarbonizations 

solutions provider
 dfc.gov | 39

FUND NAME PORTFOLIO COMPANY COUNTRY/

REGION

DESCRIPTION 

Premier Energies India Integrated solar cell and module 

manufactuer

Prince Pipes and Fittings, Ltd. India Manufacturer and distributor of 

water pipes & fittings

SeedWorks International Pvt. Ltd. India Breeding, production and marketing 

of hybrid seeds

Syrma Technology Private, Ltd. India Industry leader in RFID, magnetics 

and momtor controller solutions

SPE AIF I, LP Ademat Cote d'Ivoire Power security solutions

Amanys Pharma Morocco Manufacturer of antibiotics and 

injectable solutions

Future Pharmaceuticals Industries Eqypt Production of generic medicines 

and manufacturing for third parties

H&S Invest Holding Morocco Leading FMCG distributor

Holged Tunisie Tunisia Private K–12 education provider

WWBCP II Non-SSA Aflore SAS Colombia Micro-enterprise finance

PT Amartha Mikro Fintek Indonesia Micro-enterprise finance

SEWA GRIH RIN, Ltd. India Housing Finance

WWBCP II SSA Pula Kenya Agriculture insurance

Convergence 

Partners Digital 

Infrastructure Fund

Ctrack South Africa Telematics software-as-a-service 

vendor

Openspace Ventures Finaccel Indonesia Automated credit risk scoring and 

access to credit

Halodoc Indonesia Healthcare software and service 

provider

Kumu Philippines Social entertainment platform that 

aims to amplify Filipino creativity, 

community, and commerce

Jiaw Indonesia Tech-enabled food and beverage

Pluang Indonesia Financial technology application 

that specializes in digital 

micro-savings and 

micro-investment products
 dfc.gov | 40

Financial Statements

Balance Sheet

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Assets

Intragovernmental:

Fund Balance with Treasury (Note 2)

Investments (Note 3)

Total Intragovernmental

With the Public:

Accounts Receivable, Net (Note 4)

Loans Receivable, Net (Note 5)

General Property and Equipment, Net (Note 6)

Securities and Investments (Note 3)

Advances and Prepayments (Note 7)

Total Assets

Liabilities

Intragovernmental:

Debt (Note 9)

Advances from Others and Deferred Revenue (Note 12)

Other Liabilities

Liability to the General Fund of the US Government for 

Other Non-Entity Assets (Note 13)

Other Liabilities (Note 13)

Total Intragovernmental

With the Public:

Accounts Payable

Federal Employee Benefits Payable (Note 10)

Loan Guaranty Liability (Note 5)

Insurance Program Liabilities (Note 11)

Advances from Others and Deferred Revenue (Note 12)

Other Liabilities (Note 13)

Total Liabilities

Net Position

Unexpended Appropriations–Funds Other than those from 

Dedicated Collections 

Cumulative Results of Operations–Funds Other than those 

from Dedicated Collections

Total Net Position

Total Liabilities and Net Position 

The accompanying notes are an integral part of these statements

 $ 2,208,571 

 6,156,487 

 8,365,058 

 107,932 

 6,730,788 

 311

95,318 

 3,794 

 $ 15,303,201 

 $ 7,723,761 

 5,053 

 

1,071,893 

 1,025

8,801,732 

1

 7,487

 246,081

 13,727

140,541

6,063

 $ 9,215,632 

171,177

 5,916,392

 6,087,569 

 $ 15,303,201 

$ 1,616,126

 6,195,838 

 7,811,964 

 98,357 

 4,112,784 

 482 

 –

642

 $ 12,024,229 

 $ 4,677,759 

 – 

 

999,425 

 1,466

5,678,650 

759

 5,643 

 13,052 

 15,717 

134,663

3,467

 $ 5,851,951 

 105,992

 6,066,286 

 6,172,278 

 $ 12,024,229
 dfc.gov | 41

Statement of Net Cost

(in thousands)

For the Period Ended September 30, 2021 2020

Insurance Program

Gross Costs

Operating Costs

Total Gross Costs

Less: Earned Revenue

Net Insurance Program Costs

Financing Program

Gross Costs

Operating Costs

Subsidy Costs/(Reduction)

Reestimates

Total Gross Costs

Less: Earned Revenue

Net Financing Program Costs

Equity Program

Gross Costs

Operating Costs

Total Gross Costs

Net Equity Program Costs

Technical Assistance Program 

Gross Costs 

Operating Costs 

Total Gross Costs 

Net Technical Assistance Program Costs

Net Cost of Operations

$ 8,862 

 8,862 

 (157,335)

 (148,473) 

 264,347

(234,711)

166,838

 196,474

 (225,855)

 (29,381)

 15,236

 15,236

 (1,642)

13,594

2,594 

2,594

2,594

$ (161,666)

$ 15,131 

 15,131 

 (141,557)

 (126,426)

 134,753 

 (212,938)

 119,516 

 41,331 

 (156,229)

 (114,898)

 8,935 

 8,935 

 –

8,935 

–

–

–

$ (232,389)

The accompanying notes are an integral part of these statements.
 dfc.gov | 42

Statement of Changes in Net Position

(in thousands)

For the Period Ended September 30, 2021 2020

Unexpended Appropriations

Beginning Unexpended Appropriations

Appropriations Received

Appropriations Transferred-In

Other Adjustments

Appropriations Used

Total Unexpended Appropriations

Cumulative Results of Operations 

Beginning Balance 

Other Adjustments 

Appropriations Used

Transfers In/Out Without Reimbursement

Imputed Financing

Offset to Non-entity Collections

Net Cost of Operations

Net Change

Cumulative Results of Operations

Net Position

 $ 105,992 

 594,494 

 30,000 

 –

 (559,309) 

171,177 

6,066,286

(116)

 559,309 

 14

 3,069 

(873,836)

 161,666

 (149,894) 

 5,916,392

$ 6,087,569 

$ –

 286,391 

 122,382 

 (7,927)

 (294,854)

105,992 

–

–

 294,854 

 (2,585,265)

 2,192

(406,050)

 232,389 

 6,066,286 

 6,066,286 

 $ 6,172,278 

The accompanying notes are an integral part of these statements. 
 dfc.gov | 43

Combined Statement of Budgetary Resources

(in thousands)

For the Period Ended September 30, 2021 Budgetary

Non-Budgetary 

Credit Reform 

Financing Accounts 

Budgetary Resources

Unobligated Balance from Prior Year Budget Authority, Net

Appropriations

Borrowing Authority

Spending Authority from Offsetting Collections

Total Budgetary Resources

Status of Budgetary Resources

New obligations and upward adjustments (total)

Unobligated Balance, End of Year

Apportioned, unexpired accounts

Unapportioned, unexpired accounts

Unexpired unobligated balance, end of year

Expired unobligated balance, end of year

Unobligated Balance, end of year (total)

Total Budgetary Resources

Outlays (Net) and Disbursements (Net)

Outlays, net

Distributed Offsetting Receipts

Agency Outlays, Net

Disbursements, Net

$ 6,336,812

 594,494

 -

 555,705 

 $ 7,487,011 

 $ 965,363 

 273,204 

 6,214,921 

 6,488,125 

 33,523 

 6,521,648 

 $ 7,487,011 

 $ 24,442)

 (783,325)

 $ (758,883)

$ 443,540 

 - 

 4,409,313 

 726,817 

$ 5,579,670 

$ 4,262,794 

 157,512 

 1,159,364 

 1,316,876 

 - 

 1,316,876 

$ 5,579,670 

$ 2,633,100 

The accompanying notes are an integral part of these statements.
 dfc.gov | 44

Combined Statement of Budgetary Resources

(in thousands)

For the Period Ended September 30, 2020 Budgetary

Non-Budgetary 

Credit Reform 

Financing Accounts 

Budgetary Resources

Unobligated Balance from Prior Year Budget Authority, Net

Appropriations

Borrowing Authority

Spending Authority from Offsetting Collections

Total Budgetary Resources

Status of Budgetary Resources

New obligations and upward adjustments (total)

Unobligated Balance, End of Year

Apportioned, unexpired accounts

Unapportioned, unexpired accounts

Unexpired unobligated balance, end of year

Expired unobligated balance, end of year

Unobligated Balance, end of year (total)

Total Budgetary Resources

Outlays (Net) and Disbursements (Net)

Outlays, net

Distributed Offsetting Receipts

Agency Outlays, Net

Disbursements, Net

$ 6,072,305 

 286,391 

 - 

 695,603 

 $ 7,054,299 

 $ 558,128 

 90,071 

 6,362,427 

 6,452,498 

 43,673 

 6,496,171 

 $ 7,054,299 

 $ (91,921)

 (357,761)

 $ (449,682)

$ 553,597 

 - 

 4,107,290 

 482,066 

 $ 5,142,953 

 $ 4,524,224 

 243,870 

 374,859 

 618,729 

 - 

 618,729 

 $ 5,142,953 

 $ 641,793 

The accompanying notes are an integral part of these statements.
 dfc.gov | 45

Note 1: Summary of Significant Accounting Policies

A. Reporting Entity

The U.S. International Development Finance Corporation (DFC) is a United States (U.S.) Government corporation created 

under the Better Utilization of Investments Leading to Development (BUILD) Act. DFC facilitates U.S. private investment in 

developing countries and emerging market economies, primarily by providing direct loans, loan guaranties, equity investments, 

technical assistance, and political risk insurance. On October 5, 2018, the President of the United States signed the BUILD 

Act (Public Law 115-254) establishing DFC. The BUILD Act specified a transition period during which the assets, liabilities, 

and functions of the Overseas Private Investment Corporation (OPIC) and certain functions of the United States Agency for 

International Development (USAID) were to be transferred to DFC. The transition period occurred during FY 2020, which 

coincides with DFC’s first year of operation. 

B. Basis of Accounting and Presentation

The format of the financial statements and footnotes are presented in accordance with the form and content guidance 

provided in Office of Management and Budget (OMB) Circular No. A-136, Financial Reporting Requirements (A-136). DFC’s 

financial statements are presented on the accrual and budgetary basis of accounting in accordance with U.S. Generally 

Accepted Accounting Principles (GAAP) promulgated by the Financial Accounting Standards Advisory Board (FASAB). Under 

the accrual basis, revenues are recognized when earned, and expenses are recognized when a liability is incurred, without 

regard to receipt or payment of cash. Budgetary accounting recognizes the legal commitment or obligation of funds in advance 

of the proprietary accruals and facilitates compliance with legal constraints and controls over the use of Federal funds. The 

accompanying Balance Sheet, Statement of Net Cost, and Statement of Changes in Net Position have been prepared on an 

accrual basis. The Statement of Budgetary Resources has been prepared in accordance with budgetary accounting rules. 

The format of the Balance Sheet has changed to reflect more detail for certain line items, as required for all significant reporting 

entities by OMB Circular A-136. This change does not affect totals for assets, liabilities, or net position and is intended to 

allow readers of this Report to see how the amounts shown on the Balance Sheet are reflected on the Government-wide 

Balance Sheet, thereby supporting the preparation and audit of the Financial Report of the United States Government. The 

presentation of the FY 2020 Balance Sheet was modified to be consistent with the FY 2021 presentation. 

Significant intra-agency transactions and balances have been eliminated from the principal statements for presentation on a 

consolidated basis, except for the Statement of Budgetary Resources, which is presented on a combined basis in accordance 

with A-136. As such, intra-agency transactions have not been eliminated from the Statement of Budgetary Resources. 

DFC began activities in December 2019. As a result, the activities presented in these statements and notes for FY 2020 do not 

reflect a full twelve months of operations.

C. Fund Balance with Treasury

Fund Balance with Treasury (FBWT) is the aggregate amount of funds in DFC’s accounts with the U.S. Department of Treasury 

(Treasury). Treasury processes cash receipts and disbursements on DFC’s behalf to pay liabilities and finance authorized 

purchases. DFC’s accounting records are reconciled with Treasury’s records on a regular basis. DFC’s FBWT includes all of 

its general, revolving, and deposit funds. The general fund is used for subsidy and reestimates, revolving funds are used for 

operating expenses and DFC’s finance and insurance programs, and deposit funds are for taxes withheld on payments to 

contractors.

D. Investments

DFC has authority to make investments in Treasury securities and direct equity investments in specific projects and 

emerging market investment funds. Investments in Treasury securities are carried at face value, net of unamortized discount 

or premium, and are held to maturity. DFC also has the authority to make equity investments in non-Treasury projects 

and emerging market investment funds. Since fair value is not defined in federal accounting standards, DFC follows the 

accounting and reporting in Financial Accounting Standards Codification (ASC) 321 Investments – Equity Securities. Under 

ASC 321, equity investments are reported at fair value. When a readily determined fair value is not available, the equity 

investment can be reported at cost minus any impairment. DFC has the ability and intent to hold its investments until 

maturity or until the carrying cost can be otherwise recovered.
 dfc.gov | 46

E. Property and Equipment, Net

DFC’s property and equipment consists of general-purpose equipment used by the agency. Most of DFC property and 

equipment was transferred from OPIC, including equipment and internal use software. DFC capitalizes property and 

equipment at historical cost for acquisitions that have an estimated useful life of two years or more. DFC has a capitalization 

threshold of $50,000 for equipment, furniture, vehicles, and leasehold improvements, and $250,000 for internal use 

software. DFC expenses property and equipment acquisitions that do not meet the capitalization criteria when purchased, 

as well as normal repairs and maintenance. The cost of property and equipment acquired under a capital lease is the amount 

recognized as a liability for the capital lease at its inception. Depreciation and amortization of property and equipment are 

computed using the straight-line method over the estimated useful life of the asset or lease term, whichever is shorter, with 

periods ranging from 5 to 10 years.

F. Federal Employee Benefits

LEAVE 

Employee annual leave is accrued as it is earned and reduced as leave is taken. Each year the balance of accrued annual leave 

is adjusted to reflect current pay rates as well as forfeited “use or lose” leave. Amounts are reported as unfunded to the extent 

current or prior year appropriations are not available to fund annual leave earned but not taken. Sick leave and other types of 

non-vested leave are expensed as taken. 

EMPLOYEE HEALTH AND LIFE INSURANCE BENEFITS 

DFC employees may choose to participate in the contributory Federal Employees Health Benefit and the Federal Employees 

Group Life Insurance programs. DFC matches a portion of the employee contributions to each program. Such matching 

contributions are recognized as current operating expenses. 

EMPLOYEE PENSION BENEFITS

DFC employees participate in either the Civil Service Retirement System or the Federal Employees Retirement System 

(FERS) and Social Security. These systems provide benefits upon retirement and in the event of death, disability, or other 

termination of employment, and may also provide pre-retirement benefits. They may also include benefits to survivors 

and their dependents, and they may contain early retirement or other special features. DFC’s contributions to both 

retirement plans, as well as to the government-wide Federal Insurance Contribution Act, administered by the Social Security 

Administration, are recognized as current operating expenses. Federal employee benefits also include the Thrift Savings Plan. 

For FERS employees, DFC matches employee contributions to the plan, subject to limitations. The matching contributions 

are recognized as current operating expenses.

IMPUTED FINANCING COSTS

DFC recognizes the full cost of providing all employee benefits and future retirement benefits, including life and health 

insurance, at the time employee services are rendered. Eligible retired DFC employees, and retired OPIC employees, can 

continue to participate in health and life insurance plans. The cost of these benefits is funded through DFC contributions, 

employee compensation to the extent withheld from employee and retiree pay, from matching of employee withholding for 

Thrift Savings Plan and Federal Insurance Contributions Act (FICA), and by the Office of Personnel Management (OPM) 

which administers the retirement programs for DFC employees. OPM calculates imputed costs as the actuarial present 

value of future benefits attributed to services rendered by covered employees and eligible retired DFC employees during the 

accounting period, net of the amounts contributed by employees, retirees, and DFC. DFC recognizes these imputed costs in 

the Statement of Net Cost and imputed financing in the Statement of Changes in Net Position. 

FEDERAL EMPLOYEES’ COMPENSATION ACT 

The Federal Employees’ Compensation Act (FECA) provides income and medical cost protection to covered Federal civilian 

employees injured on the job and to beneficiaries of employees whose deaths are attributable to job-related injury or disease. 

The FECA program is administered by the Department of Labor (DOL). DOL pays valid claims as they occur, which are billed 

to DFC annually and funded and paid approximately 15 months later. DOL also calculates an estimated actuarial liability for 

future benefits based upon historical experience and other economic variables. 
 dfc.gov | 47

G. Insurance Program 

In accordance with Statement of Federal Financial Accounting Standards (SFFAS) No. 51, Insurance Programs, the Insurance 

Program liability represents the liability for unearned premiums and fees, claims incurred but not reported, claims submitted 

but not yet paid, and estimated losses on remaining coverage. The losses on remaining coverage includes the estimated 

amounts to be paid to settle claims, including claim adjustment expenses for the remaining open arrangement period, net of 

unearned premiums as of the end of the fiscal year, and net of future premiums due after the end of the fiscal year that relate 

to the remaining open arrangement period. 

H. Commitments and Contingencies

DFC is currently involved in certain legal claims and has received notifications of potential claims in the normal course of 

business. There are substantial factual and legal issues that might bar any recovery in these matters. It is not possible to 

evaluate the likelihood of any unfavorable outcome, nor is it possible to estimate the amount of compensation, if any, that may 

be determined to be owed in the context of a settlement. Management believes that the resolution of these claims will not 

have a material adverse impact on DFC. 

I. Classified Activities

Accounting standards require all reporting entities to disclose that accounting standards allow certain presentations and 

disclosures to be modified, if needed, to prevent the disclosure of classified information. 

At September 30, 2020, there were no unreconciled differences between Treasury records and balances reported on DFC’s 

general ledger. DFC’S FBWT is classified as unobligated balance available, unobligated balance unavailable, and obligated 

balance not yet disbursed. Unobligated available balances represent amounts that are apportioned for obligation in the 

current fiscal year and unexpired appropriations available for incurring new obligations. Unobligated unavailable balances 

represent amounts that are in expired appropriations and not available for incurring new obligations. Obligated balances not 

yet disbursed include undelivered orders or delivered orders received but not yet paid.

Note 2: Fund Balance with Treasury

(dollars in thousands)

As of September 30, 2021 2020

Status of Fund Balance with Treasury

Unobligated Balance

Available

Unavailable

Obligated Balance not yet Disbursed

Total FBWT

$ 560,084

 33,523

 1,614,964 

 $ 2,208,571

$ 913,202

 43,673

 659,251

 $ 1,616,126
 dfc.gov | 48

By statute, DFC is authorized to invest funds derived from fees and other revenues related to its insurance programs in Treasury 

non-marketable, market-based Securities and make equity investments in non-Treasury projects and emerging market 

investment funds. Treasury market-based securities are carried at face value, net of unamortized discount or premium, and 

are held to maturity. Premiums or discounts are amortized using the effective yield method. Interest income is compounded 

semi-annually by Treasury and adjusted to include an accrual for interest earned to September 30. DFC has the ability and 

intent to hold its investments until maturity or until the carrying cost can be otherwise recovered.

DFC’s Other Securities and Investments include investments in limited partnerships, preferred stock, common stock, and equity 

shares in investment funds. DFC began making these investments in FY 2021. As of September 30, 2021, the investments have 

no impairment, and there are no readily determined fair values for the investments. DFC is reporting non-Federal investments 

listed above at purchase price in accordance with ASC 321.

Note 3: Investments

(dollars in thousands)

As of September 30, 2021

Acquisition 

value 

Amortized 

(Premium)/ 

Discount

Interest 

Receivable

Net 

Investments

Unrealized 

Gain/(Loss) 

Market 

Value

Treasury Non-Marketable, 

Market-based Securities

Notes

Bonds

Total Intragovernmental 

Securities and Investments

Other Securities and 

Investments

$ 5,912,806

 215,617

$ 6,128,423 

$ (132)

 (374)

$ (506) 

$ 26,883

 1,687 

$ 28,570

$ 5,939,557

 216,930 

$ 6,156,487 

$ 163,955

 31,464 

$ 195,419 

$ 6,103,512

 248,394

$ 6,351,906

Available for Sale Equity

Securities

Total Other Securities 

and Investments

$ 95,318

$ 95,318

$ –

$ –

$ –

$ –

$ 95,318

$ 95,318

$ –

$ –

$ 95,318

$ 95,318

(dollars in thousands) 

As of September 30, 2020

Acquisition 

value 

Amortized 

(Premium)/ 

Discount

Interest 

Receivable

Net 

Investments

Unrealized 

Gain/(Loss) 

Market 

Value

Treasury Non-Marketable, 

Market-based Securities

Notes

Bonds

Total Intragovernmental 

Securities and Investments

$ 5,864,236 

 300,312 

$ 6,164,548 

$ 1,149 

 (114)

$ 1,035 

$ 27,734 

 2,521

$ 30,255 

$ 5,893,119 

 302,719

$ 6,195,838 

$ 371,298

 52,748 

$ 424,046 

$ 6,264,417 

 355,467 

$ 6,619,884 

Note 2: Fund Balance with Treasury 

(dollars in thousands) 

As of September 30, 2021 Purchase Price Total

Available for Sale Equity Securities

Total Non-Federal Securities 

$ 95,318

$ 95,318

$ 95,318

$ 95,318
 dfc.gov | 49

DFC’s non-Federal investment activity is as follows: 

(dollars in thousands) 2021

Other Securities and Investments 

Balance as of October 1, 2020

Acquisitions of investments

Balance as of September 30, 2021

$ –

95,318

$ 95,318

Note 4: Accounts Receivable, Net

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Public Accounts Receivable

Accounts Receivable

Insurance Settlement 

Allowance for Uncollectible Amounts

Accounts Receivable, Net

$ 100,483

 20,804 

 (13,355)

 $ 107,932 

$ 90,842

 20,757

 (13,242)

$ 98,357

Accounts receivable are amounts due to DFC from the public from fees and premiums from insurance policies, fees from loan 

and loan guaranty agreements, and assets acquired in insurance claims settlements. Accounts receivable are reduced to net 

realizable value by an allowance for uncollectible amounts. Allowances are based on management’s periodic evaluations of the 

underlying assets. In its evaluation, management considers numerous factors, including, but not limited to, general economic 

conditions, asset composition, and prior loss experience.

DFC also has hybrid investments that are structed as loans that may convert to equity investments. These hybrid investments 

are accounted for under the Federal Credit Reform Act (FCRA) while the loans are active, and are therefore not reported in 

the above schedules of investments. 
 dfc.gov | 50

The FCRA governs direct loans made after fiscal year 1991. FCRA loans are valued at the present value of expected future 

cash flows, discounted at the interest rate of Treasury Marketable Securities. The subsidy allowance represents the difference 

between the outstanding loans receivable balance and the net present value of the estimated cash flows of the loans over their 

remaining term. The subsidy allowance is subtracted from the outstanding loans receivable balance to obtain the net loans 

receivable balance. FCRA also governs loan guaranties made after fiscal year 1991. The liability is determined by calculating 

the net present value of expected future cash flows for outstanding guaranties in a manner similar to that used to determine 

the subsidy allowance for direct loans. Loan guaranty liability can be positive or negative, and if negative, is reported as an 

asset on the Balance Sheet. Guarantied loans acquired by DFC upon borrower default are established as loans receivable and 

are valued in a similar manner as direct loans under FCRA.

DFC also has direct loans related to capitalized fees that are not covered under FCRA in the amount of $1,533 thousand as of 

September 30, 2021.

BUDGETARY ACCOUNTING FOR LOAN PROGRAMS

DFC’s loan disbursements are financed by appropriation authority for long-term loan subsidy cost and borrowings from 

Treasury for the remaining non-subsidized portion of the loans. Congress may authorize one-year, multi-year, or no year 

appropriation authority to cover the estimated long-term costs of the loan programs. The non-subsidized portion of each 

loan disbursement, financed initially under permanent indefinite authority to borrow funds from Treasury, is repaid from 

collections of loan fees, loan repayments, and default recoveries. Permanent indefinite authority is available to fund any 

reestimate increase of subsidy costs that occurs after the year in which a loan is disbursed. Reestimate reductions of 

subsidy costs are returned to Treasury and are unavailable to DFC. As required by the FCRA, DFC uses budgetary “program 

accounts” to account for appropriation authority in its credit programs and non-budgetary “financing accounts” to account 

for credit program cash flow. Estimates and reestimates of credit program subsidy expenses are recorded in DFC’s 

program accounts.

Note 5: Loans Receivable, 

Net and Loan Guaranty Liabilities

A. Direct Loan and Loan Guaranty Programs

DFC has the following direct loan and loan guaranty programs:

NAME OF 

PROGRAM

DESCRIPTION

Direct Loan Program Direct loans by DFC, and loans transferred from OPIC and USAID’s Development Credit Authority 

(DCA) to DFC. Direct loans are disbursements to a borrower under a contract that requires 

repayment to DFC with interest. DFC’s direct loans invest across sectors including energy, 

healthcare, critical infrastructure, and technology. DFC also provides financing for small businesses 

and women entrepreneurs in order to create jobs in emerging markets. 

Loan Guaranties Loan Guaranties by DFC, and agreements transferred from OPIC and DCA to DFC. Loan guaranties 

are agreements where DFC provides guaranties with respect to the payment of all or a part of the 

principal or interest on any debt obligation of a borrower to a lender. DFC’s loan guaranties support 

investments across sectors including energy, healthcare, critical infrastructure, and technology. 

DFC also provides loan guaranties for small businesses and women entrepreneurs in order to 

create jobs in emerging markets.

Legacy Loans DFC administers loans that were previously initiated by USAID under the Debt Reduction Loan 

program, initiated after FY 1991, and the Economic Assistance Loan program, which were initiated 

prior to FY 1992. 

Legacy Loan 

Guaranties 

DFC administers loan guaranties that were previously administered by USAID under the 

Microenterprise and Small Enterprise Development Guarantied Loan program; the Urban and 

Environmental Credit Guarantied Loan programs, and the Housing and Other Credit Guaranty 

programs. These programs include loans that were initiated before FY 1992 and after FY 1991. 
 dfc.gov | 51

NON-BUDGETARY CREDIT REFORM FINANCING ACCOUNTS

Actual cash flows for direct loan and loan guaranty programs are recorded in separate Credit Reform Financing Accounts 

within Treasury. These accounts borrow funds from Treasury; make direct loan disbursements; pay claims on guarantied 

loans; collect principal, interest, and fees from borrowers; earn interest from Treasury on any un-invested funds; pay interest 

expense on outstanding borrowings; and transfer negative subsidy to Treasury’s general fund receipt account. New subsidy 

funded from DFC’s non-credit spending authority and appropriated upward subsidy reestimate are received in program 

accounts and transferred to non-budgetary credit reform financing accounts. The budgetary resources and activities for 

these accounts are presented separately in the Statement of Budgetary Resources and the Budget of the United States and 

are excluded from the determination of the budget deficit or surplus. 

SUBSIDY FUNDING UNDER FEDERAL CREDIT REFORM

FCRA requires that the credit subsidy costs of direct loans and loan guaranties be expensed in the year loans are disbursed. 

The cost expressed as a percentage of loans disbursed is termed the subsidy rate. DFC receives an annual appropriation 

from Congress and transfers from USAID to fund its credit program subsidy. DFC records subsidy expenses when loans are 

disbursed. Subsidy for loans disbursed in foreign currencies is calculated in U.S. dollars and DFC does not change the subsidy 

amount for foreign currency fluctuations during the year. In accordance with FCRA, subsidy costs are reestimated annually.

INTEREST RECEIVABLE

Interest receivable is comprised of accrued interest on loans receivable (direct loans and defaulted loan guaranties). Initial 

unpaid interest on defaulted loan guaranties that DFC acquires with the loan is treated as part of the principal of the loan 

receivable. Interest income is accrued at the contractual rate on the outstanding principal. Purchased interest is carried 

at cost. 

VALUATION METHODOLOGY FOR DIRECT LOANS AND LOAN GUARANTIES

The value of direct loans and loan guaranties is based on the net present value of their expected future cash flows. DFC 

estimates future cash flows for direct loans and loan guaranties using economic and financial credit subsidy models. DFC’s 

models vary in the specific methodologies employed to forecast future program cash flows. In general, however, models 

for all major credit programs use historical data as the basis for assumptions about future program performance and then 

translate these assumptions into nominal cash flow estimates by applying rules about program structure. Nominal cash 

flow forecasts are discounted using OMB’s Credit Subsidy Calculator that has both forecasted and actual Treasury interest 

rates. Loans have been made in both U.S. dollars and foreign currencies. Loans extended in foreign currencies that were 

originated by USAID and transferred into DFC were made with or without “Maintenance of Value” (MOV). Foreign currency 

exchange gain or loss is recognized upon receipt of loan repayments on loans extended without MOV, and reflected in the net 

credit programs receivable balance. The net loans receivable or the value of assets related to direct loans is not the same as 

expected proceeds from selling the loans.

Historical data is used as the basis for program performance assumptions. The historical data undergoes quality review and 

analysis prior to its use in developing model assumptions. Key input to the subsidy models varies by program and includes 

items such as:

• Contractual terms of the loan or guaranty such as loan amount, interest rate, maturity and grace period

• Borrower characteristics

• Estimated changes in foreign currency valuations

• Loan performance assumptions, such as default and recovery rates

• Loan fee rates

DFC’s rating methodology for its Federal Credit Reform reestimates is based on industry best practices and the expert 

judgment of a core panel of officers from origination, monitoring, credit policy and risk management who worked in 

conjunction with Moody’s Analytics. The methodology rates the portfolio risk with a consistent and standardized approach. 
 dfc.gov | 52

B. Direct Loans, Net

(dollars in thousands)

As of September 30, 2021

Loans 

Receivable, 

Gross

Fees & Interest 

Receivable

Allowance for 

Loan Loss (or 

Present Value 

Allowance)

Allowance 

for Subsidy 

Cost (Present 

Value)

Value of 

Assets Related 

to Direct 

Loans, Net

Loans Obligated Prior to FY 1992

Legacy Loans

Loans Obligated After FY 1991

Direct Loans

Legacy Loans

Total Loans Receivable

$ 394,226 

 6,197,890 

 655,960 

 $ 7,248,010 

$ 403,303 

 85,511 

 38,540 

 $ 525,354 

$ (535,868)

 -

$ (535,868)

$ - 

 (83,567)

 (865,467)

$ (949,034)

$ 261,661 

 6,197,834 

 (171,033)

$ 6,288,462 

(dollars in thousands) 

As of September 30, 2020

Loans 

Receivable, 

Gross

Fees & Interest 

Receivable

Allowance for 

Loan Loss (or 

Present Value 

Allowance)

Allowance 

for Subsidy 

Cost (Present 

Value)

Value of 

Assets Related 

to Direct 

Loans, Net

Loans Obligated Prior to FY 1992

Legacy Loans

Loans Obligated After FY 1991

Direct Loans

Legacy Loans

Total Loans Receivable

$ 593,361 

 3,659,289 

 655,960 

$ 4,908,610 

$ 389,345 

 97,775 

 21,206 

 $ 508,326 

$ (535,868)

 -

 $ (535,868)

$ - 

 (238,276)

 (838,249)

 $ (1,076,525)

$ 446,838 

 3,518,788 

 (161,083)

 $ 3,804,543 

C. Total Amount of Direct Loans Disbursed

(dollars in thousands)

As of September 30, 2021 2020

Direct Loan Disbursements $ 3,140,075 $ 919,700

D. Subsidy Expense and Reestimates for Direct Loan Programs by Component

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Subsidy Expense for New Direct Loans Disbursed

Interest Differential

Defaults

Fees and Other Collections

Other

Total Subsidy Expense for New Direct Loans Disbursed

Modifications and Reestimates

Total modifications 

Interest Rate Reestimates

Technical Reestimates

Total Reestimates

Total Direct Loan Subsidy Expense

$ (4,744)

96,633

 (212,563)

 (36,484)

 (157,158)

(967)

(45,493)

79,423

33,930

$ (124,195)

$ (1,883)

 85,974

 (193,080)

$ 18,456

(90,533)

 -

 

14,751 

 59,234 

 73,985

 $ (16,548)
 dfc.gov | 53

F. Defaulted Loan Guaranties

(dollars in thousands)

As of September 30, 2021

Defaulted Loan 

Guaranties 

Receivable, 

Gross

Interest 

Receivable

Allowance for 

Loan Loss (or 

Present Value 

Allowance)

Allowance for 

Subsidy Cost 

(Present Value)

Value of Assets 

Related to 

Defaulted Loan 

Guaranties 

Receivable, Net

Loans Obligated Prior to FY 1992

Legacy Loan Guaranties

Loans Obligated After FY 1991

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 82,624

578,162

78,447

$ 739,233

$ 13,865

26,510

56,772

$ 97,147

$ (40,581)

-

-

$ (40,581)

 $ - 

 (353,473)

-

$ (353,473)

$ 55,908

251,199

135,219

$ 442,326

(dollars in thousands)

As of September 30, 2020

Defaulted Loan 

Guaranties 

Receivable, 

Gross

Interest 

Receivable

Allowance for 

Loan Loss (or 

Present Value 

Allowance)

Allowance for 

Subsidy Cost 

(Present Value)

Value of Assets 

Related to 

Defaulted Loan 

Guaranties 

Receivable, Net

Loans Obligated Prior to FY 1992

Legacy Loan Guaranties

Loans Obligated After FY 1991

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 85,046 

 366,371 

 77,174 

 $ 528,591

 $ 11,671 

 18,103 

 53,839 

 $ 83,613 

 $ (40,609)

-

 - 

$ (40,609)

 $ - 

 (263,354)

 - 

$ (263,354)

 $ 56,108 

 121,120 

 131,013 

 $ 308,241

E. Schedule for Reconciling Direct Loan Subsidy Cost Allowance

(dollars in thousands)

As of September 30, 2021 2020

Beginning balance of the subsidy cost allowance

Subsidy cost allowance transferred-in

Add: subsidy expense for direct loans disbursed during the year

Adjustments:

Loan modifications

Fees accrued

Loans written off

Subsidy allowance amortization

Other

Total adjustments

Ending balance of the subsidy cost allowance before reestimates

Add or subtract subsidy reestimates

Ending balance of the subsidy cost allowance

$ (1,076,525)

 157,158

 967

 (2,829) 

 109,099

(102,964)

(10)

3,296

(915,104)

(33,930)

$ (949,034)

$ -

(962,425)

 90,533

 -

(508)

 3,196 

 (134,329)

993

 (130,648)

 (1,002,540)

 (73,985)

 $ (1,076,525)
 dfc.gov | 54

(dollars in thousands)

As of September 30, 2020

Principal of Guarantied Loans, 

Face Value Amount of Principal Guarantied

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 1,331,896

 - 

 $ 1,331,896

 $ 1,246,620 

 - 

 $ 1,246,620 

(dollars in thousands)

As of September 30, 2021

Principal of Guarantied Loans, 

Face Value Amount of Principal Guarantied

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 1,353,910

-

$ 1,353,910

 $ 1,082,922

-

$ 1,082,922

NEW LOAN GUARANTIES DISBURSED

G. Guarantied Loans Outstanding

GUARANTIED LOANS OUTSTANDING

(dollars in thousands)

As of September 30, 2021

Outstanding Principal of 

Guarantied Loans, Face Value

Amount of Outstanding 

Principal Guarantied

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 10,397,305

134,600

$ 10,531,905

 $ 10,064,675

134,600

$ 10,199,275

(dollars in thousands)

As of September 30, 2020

Outstanding Principal of 

Guarantied Loans, Face Value

Amount of Outstanding 

Principal Guarantied

Loan Guaranties

Legacy Loan Guaranties

Total

 $ 10,629,819

 186,560

$ 10,816,379

 $ 10,322,937 

 186,560 

 $ 10,509,497 
 dfc.gov | 55

H. Liability for Loan Guaranties

(dollars in thousands)

As of September 30, 2021

Liabilities for 

Losses on Pre1992 Guaranties, 

Present Value

Liabilities for 

Post-1991 

Guaranties, 

Present Value

Loan 

Guaranties 

Liabilities for 

Loan Guaranties

Loans Obligated Prior to FY 1992

Legacy Loan Guaranties

Loans Obligated After FY 1991

Loan Guaranties

Legacy Loan Guaranties

Total Liability for Loan Guaranties

$ (4,681)

-

-

$ (4,681)

$ -

84,028

166,734

$ 250,762

 $ (4,681)

84,028

166,734

$ 246,081

(dollars in thousands)

As of September 30, 2020

Liabilities for 

Losses on Pre1992 Guaranties, 

Present Value

Liabilities for 

Post-1991 

Guaranties, 

Present Value

Loan 

Guaranties 

Liabilities for 

Loan Guaranties

Loans Obligated Prior to FY 1992

Legacy Loan Guaranties

Loans Obligated After FY 1991

Loan Guaranties

Legacy Loan Guaranties

Total Liability for Loan Guaranties

$ (1,924) 

 - 

 -

 $ (1,924) 

$ - 

 (149,006) 

 163,982

 $ 14,976

 $ (1,924) 

 (149,006) 

 163,982

 $ 13,052

I. Subsidy Expense for Loan Guaranties by Program and Component

(dollars in thousands)

As of September 30, 2021 Loan Guaranties

Legacy Loan 

Guaranties Total

Subsidy Expense for New Loan Guaranties Disbursed

Defaults

Fees and Other Collections

Other 

Total Subsidy Expense for New Loan Guaranties Disbursed

Modifications and Reestimates

Total modifications

Interest Rate Reestimates

Technical Reestimates

Total Reestimates

Total Loan Guaranty Subsidy Expense

$ 68,833

(193,895)

47,577

(77,485)

899

19,836

115,256

135,092

$ 58,506

$ -

-

-

-

-

34,012

(36,196)

(2,184)

$ (2,184)

$ 68,833

(193,895)

47,577

(77,485)

899

53,848

79,060

132,908

$ 56,322
 dfc.gov | 56

(dollars in thousands)

As of September 30, 2020 Loan Guaranties

Legacy Loan 

Guaranties Total

Subsidy Expense for New Loan Guaranties Disbursed

Defaults 

Fees and Other Collections 

Other 

Total Subsidy Expense for New Loan Guaranties Disbursed

Reestimates 

Interest Rate Reestimates 

Technical Reestimates 

Total Reestimates 

Total Loan Guaranty Subsidy Expense

 $ 110,386 

 (288,339)

 55,548 

 (122,405)

 (9,627)

 59,234 

 49,607 

 $ (72,798)

$ - 

 - 

 - 

 - 

 (3,317)

 (759)

 (4,076)

 $ (4,076)

$ 110,386 

 (288,339)

 55,548 

 (122,405)

 (12,944)

 58,475 

 45,531

 $ (76,874)

J. Schedule for Reconciling the Loan Guaranty Liability

(dollars in thousands)

As of September 30, 2021 2020

Beginning balance of the loan guaranty liabilities

Loan guaranty liability transferred-in

Less claims paid to lenders

Add fees accrued

Add loans acquired

Add subsidy expense for guarantied loans disbursed during the year

Less negative subsidy payments

Add upward reestimate

Less downward reestimate

Subsidy allowance amortized

Loan guaranty modifications

Other

Ending balance of the loan guaranty liability

$ 14,976

(265,904)

281,183

159,121

25,900

(103,385)

371,740

(238,832)

5,064

899

-

$ 250,762

 $ - 

 (51,531) 

 (180,524)

 192,058

 107,966

15,143

 (137,548)

 293,863

(248,332)

 23,553

-

 328

$ 14,976
 dfc.gov | 57

K. Subsidy Rates by Program and Component

As of September 30, 2020

Defaults, net of 

recoveries Interest Fees Other Total

Direct Loans

Direct Loans

Direct Loan Investment Funds

Loan Guaranties

USAID Mission-led Guaranties

Loan Guaranties

Limited Arbitral Award Coverage

9.64%

4.68%

5.07%

9.21%

4.38%

-

-4.37%

-

-

-

-14.79%

-9.04%

-2.02%

-21.69%

-8.07%

-

-

-

-

-

-5.15%

-8.73%

3.05%

-12.48%

-3.69%

The subsidy rates presented above are consistent with the estimated subsidy rates published in the Federal Credit 

Supplement to the Budget of the U.S. Government except for differences due to rounding. The published budget 

formulation subsidy rates are notional, for illustrative purposes only, as DFC estimates subsidy on a loan-by-loan basis at 

the time of obligation. These rates cannot be applied to the direct loans and loan guaranties disbursed during the current 

reporting year to yield the subsidy expense. The subsidy expense for new loans reported in the current year could result from 

the disbursements of loans obligated in the current and prior fiscal years. Subsidy expense reported in the current year also 

includes the cost of subsidy reestimates. 

L. Administrative Expenses

DFC incurs administrative expenses to carry out its credit reform programs. This amount is determined by annual 

appropriation legislation. The administrative expense for direct loan and loan guaranties is $93,462 and $64,119 

thousand for the period ended September 30, 2021 and 2020, respectively.

(dollars in thousands)

As of September 30, 2020 Acquisition Cost

 Accumulated 

Depreciation Net Book Value 

Equipment

Internal-Use Software

Total Property and Equipment, Net

$ 3,925 

 9,584 

 $ 13,509 

 $ (3,443)

 (9,584)

 $ (13,027)

$ 482 

 -

 $ 482 

(dollars in thousands) Acquisition Cost 

 Accumulated 

Depreciation Net Book Value 

Balance as of October 1, 2019

Transfers In

Depreciation Expense

Balance as of September 30, 2020

Depreciation Expense

Balance as of September 30, 2021

 $ -

13,509

-

$ 13,509 

$ 13,509

 $ -

(12,882)

(145)

$ (13,027)

(171)

$ (13,198)

$ -

627

(145)

$ 482

(171)

$ 311

(dollars in thousands)

As of September 30, 2021 Acquisition Cost 

 Accumulated 

Depreciation Net Book Value 

Equipment

Internal-Use Software

Total Property and Equipment, Net

$ 3,925 

 9,584 

 $ 13,509 

 $ (3,614)

 (9,584)

$ (13,198)

 $ 311

 -

 $ 311

Note 6: Property And Equipment, Net
 dfc.gov | 58

DFC’s advances are related to the Legacy Loan Guaranty programs. The amounts represent advances for claims that DFC 

pays to a bank that processes the loan guaranties. DFC processes an advance when a claim payment request is received 

from the bank, and recognizes the decrease to the loan guaranty liability when the claim reconciliation information is 

received from the bank.

Note 7: Advances and Prepayments

(dollars in thousands)

As of September 30, 2021 2020

Advances

Total Advances and Prepayments

$ 3,794

$ 3,794

$ 642

$ 642

Note 8: Liabilities Covered and Not Covered by 

Budgetary Resources

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Intragovernmental

Unfunded FECA Liability

Total Intragovernmental

With the Public

Federal Employee Benefits Payable

Insurance and Guaranty Program Liabilities

Total With the Public

Total Liabilities Not Covered by Budgetary Resources

Total Liabilities Covered by Budgetary Resources

Total Liabilities Not Requiring Budgetary Resources

Total Liabilities 

$ 386

386

6,134

132

6,266

6,652

9,049,701

159,279

$ 9,215,632

$ 301 

301 

5,643 

- 

5,643 

5,944 

5,833,398

12,609

$ 5,851,951

Liabilities of Federal agencies are classified as liabilities covered, liabilities not covered by budgetary resources, and liabilities 

not requiring budgetary resources. 

Liabilities covered by budgetary resources consist of liabilities incurred which are covered by realized budgetary resources as 

of the Balance Sheet date. Budgetary resources encompass not only new budget authority but also other resources available 

to cover liabilities for specified purposes in a given year. Liabilities are considered covered by budgetary resources if they are 

to be funded by permanent indefinite appropriations, which have been enacted and signed into law and are available for use 

as of the Balance Sheet date, provided that the resources may be apportioned by OMB without further action by the Congress 

and without a contingency having to be met first.

Liabilities not covered by budgetary resources require future congressional action whereas liabilities covered by budgetary 

resources reflect prior congressional action. Regardless of when the congressional action occurs, when the liabilities are 

liquidated, Treasury will finance the liquidation in the same way that it finances all other disbursements, which is to borrow 

from the public if the Government has a budget deficit, and to use current receipts if the Government has a budget surplus. 

DFC’s liabilities not covered by budgetary resources primarily consist of accrued unfunded annual leave.

Liabilities not requiring budgetary resources consist mostly of unearned revenues that will be earned by providing services by 

the passage of time.
 dfc.gov | 59

Note 9: Debt

DFC’s debt comes from direct borrowings from the U.S. Treasury to fund the portion of direct loans not covered by subsidy 

appropriations, disbursements of downward subsidy reestimates, and pay claims in excess of the amount of subsidy and 

collections maintained in the non-budgetary financing funds. During FY 2020 borrowings from Treasury were transferred in 

from OPIC and USAID to DFC. 

(dollars in thousands)

As of September 30, 2021 2020

Debt to the Treasury

Beginning Balance

Borrowings Transferred In

Net Borrowings

Ending Balance

$ 4,677,759

-

3,046,002

$ 7,723,761

$ - 

 5,341,670

 (663,911) 

$ 4,677,759

Note 10: Federal Employee Benefits Payable

DFC employees accrue annual leave, which DFC records as a liability to funded in future years. FECA provides coverage to 

federal civilian employees who have sustained work-related injuries or disease by providing appropriate monetary and medical 

benefits and help in returning to work. The program is funded DOL, and DFC is charged by DOL for FECA payments made on 

DFC’s behalf. The FECA liability above is the actuarial estimated amount to be provided in the future.

(dollars in thousands)

As of September 30, 2021 2020

Accrued Unfunded Annual Leave

Employer Contributions and Payroll Taxes Payable

Actuarial FECA Liability

Total Federal Employee Benefits Payable:

$ 5,705

1,354

428

$ 7,487

 $ 5,215

-

428

 $ 5,643
 dfc.gov | 60

(dollars in thousands) 2021

Unpaid Insurance Claims as of October 1, 2020

Claims Expense

Less: Claims Paid

Unpaid Insurance Claims as of September 30, 2021

$ -

259

(126)

$ 133

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Unearned Insurance Premiums

Unpaid Insurance Claims

Total Insurance Program Liabilities:

$ 13,594

133

$ 13,727

$ 15,717

-

$ 15,717

In FY 2021, DFC has unpaid insurance claims that are recorded as unfunded liabilities. DFC did not have any claims incurred 

or paid, or claims recoveries received during FY 2020. DFC’s liability for unpaid insurance claims and activity for FY 2021 is 

as follows:

Note 11: Insurance Program Liabilities

DFC provides Political Risk Insurance for overseas investments against five different risks: (1) inconvertibility of currency; (2) 

expropriation; (3) bid, performance, advance payment, and other guaranty coverages; (4) political violence; and (5) breach of 

contract for capital markets. On a case-by-case basis, DFC may rewrite and renew insurance coverage beyond the initial term 

of the original insurance contract issued. The initial term is typically 3 to 20 years. Policies are renewable yearly at the option 

of the insured. Insurance premiums received are amortized over the coverage period. 

1) Insurance coverage against inconvertibility protects the investor from increased restrictions on the investor’s 

ability to convert local currency into U.S. dollars. Inconvertibility insurance does not protect against devaluation of a 

country’s currency. 

2) Expropriation coverage provides compensation for losses due to confiscation, nationalization, or other 

governmental actions that deprive investors of their fundamental rights in the investment. 

3) Guaranties issued on behalf of a U.S. exporter of goods or services, or a U.S. contractor in favor of a foreign 

government buyer can be covered against the risk of a wrongful calling. The guaranties usually are in the form of 

irrevocable, on-demand, standby letters of credit. A wrongful calling is one that is not justified by the terms of the 

underlying contract, or the invitation for bids.

4) Insurance against political violence insures investors against losses caused by politically motivated acts of violence 

(war, revolution, insurrection, or civil strife, including terrorism and sabotage).

5) Reinsurance can increase underwriting capacity and support development in countries where investors have 

difficulty obtaining political risk insurance, DFC can reinsure licensed U.S. and international insurance companies.

6) DFC political risk insurance supports U.S. capital market financing structures that catalyze private capital in 

emerging markets.

In general, pricing is determined based on the individual coverage issues and the unique risk profile of the investment project. 

Under most DFC insurance contracts, investors may obtain all coverages, but claim payments may not exceed the single 

highest coverage amount. Claim payments are limited by the value of the investment and the amount of current coverage in 

force at the time of the loss and may be reduced by the insured’s recoveries from other sources. In certain instances, DFC’s 

requirement to pay up to the single highest coverage amount may be reduced by stop-loss and risk-sharing agreements. 

Finally, losses on insurance claims may be reduced by recoveries by DFC as subrogee of the insured’s claim against the host 

government. Payments made under insurance contracts that result in recoverable assets are included in Accounts Receivable 

net of an allowance for uncollectible amounts.

DFC’s Insurance Program liabilities consists of the following: 
 dfc.gov | 61

The liability for losses on remaining coverage represents the estimated amounts to be paid to settle claims, including claim 

adjustment expenses, for the remaining open arrangement period in excess of the sum of both:

a) related unearned premiums as of the end of the reporting period, and

b) premiums due after the end of the reporting period that relate to the remaining open arrangement period.

The open arrangement period is the elected coverage period under the insurance policy, since it is the period the insurance is 

in-force and unexpired. DFC has no liability for losses on remaining coverage as of September 30, 2021.

In addition to requiring formal applications for claimed compensation, DFC’s contracts generally require investors to notify 

DFC promptly of host government action that the investor has reason to believe is or may become a claim. Compliance with 

this notice provision sometimes results in the filing of notices of events that do not mature into claims. 

DFC’s current exposure for all policies in force, or Current Exposure to Claims at September 30, 2021 was $2.6 billion. DFC’s 

broader measure of exposure is limited to Maximum Contingent Liability of $5.7 billion at September 30, 2021. This amount is 

DFC’s estimate of maximum exposure to insurance claims, which includes standby coverage for which DFC is committed but 

not currently at risk.

DFC’s advances from others and deferred revenue is the result of their ability to charge a retainer and other working capital 

fees in conjunction with each project. Working capital fees are maintained in funds for DFC’s use in future years. Facility fees 

collected in excess of $50,000 are amortized over the life of the project.

Note 13: Other Liabilities

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Intragovernmental

Liability to the General Fund of the U.S. Government 

for Custodial and Other Non-Entity Assets

Other Liabilities

Employer Contributions & Payroll Taxes Payable

Unfunded FECA Liability

Total Intragovernmental

With the Public

Accrued Funded Payroll and Benefits

Liability for Deposit Funds 

Total With the Public

Total Other Liabilities

$ 1,071,893

639

386

1,072,918

5,972

91

6,063

$ 1,078,981

 

 $ 999,425

1,165

301

1,000,891

3,376

91

3,467

$ 1,004,358

Note 12: Advances from Others and Deferred Revenue

(dollars in thousands)

As of September 30, 2021

(Reclassified)

2020

Finance Retainer Fees and Deferred Facility Fees

Rent Incentives

Total Advances from Others and Deferred Revenue

$ 127,750

12,791

$ 140,541

 $ 122,054 

 12,609 

 $ 134,663
 dfc.gov | 62

Note 14: Leases

Operating Leases

DFC leases commercial facilities under a multi-year operating lease agreement, as amended, which expires in April 2029. Under 

the terms of the lease, DFC receives a tenant improvement allowance for space refurbishment as well as other incentives. 

The value of these incentives is deferred in the Balance Sheet and are amortized to recognize rent expense on a straight-line 

basis over the life of the lease. Rental expense was approximately $8.6 million and $6.9 million for fiscal years 2021 and 2020, 

respectively. The following table presents future non-cancelable rental payments.

(dollars in thousands)

For the Years Ending:

Non-Federal Lease 

Payments

2022

2023

2024

2025

2026

After 2026

Total Future Lease Payments

$ 9,638

9,660

9,901

10,148

10,401

28,082

$ 77,830

DFC’s liability to the General Fund of the U.S. Government for Custodial and Other Non-Entity Assets consists of amounts due 

to Treasury for downward reestimates and capital transfers due to Treasury. Federal credit programs are required to transfer 

to Treasury excess funding. Loans and loan guaranties made after FY 1991 that are covered under FCRA are reestimated each 

year. The loans and loan guaranties where the reestimate indicates that the amount of subsidy needed will be less than the 

prior year, or where the present value of the cash flows is positive, is a downward reestimate, requiring funds to be transferred 

to Treasury. DFC cannot transfer these funds until they receive authority from OMB, which will occur in the succeeding fiscal 

year. Loan and loan guaranties made prior to FY 1992 are not covered under the Federal Credit Reform Act, however, excess 

funding is required to be transferred to Treasury in the form of a capital transfer. 
 dfc.gov | 63

Note 15: Budgetary Resources

A. Permanent Indefinite Appropriations

The Federal Credit Reform Act of 1990 authorizes permanent, indefinite appropriations from Treasury, as appropriate, to carry 

out all obligations resulting from the financing program. Permanent indefinite authority is available to fund any reestimated 

increase of subsidy costs that occurs after the year in which a loan is disbursed. Reestimated reductions of subsidy costs are 

returned to Treasury and are unavailable to DFC. 

The BUILD Act established a fund which shall be available for discharge of liabilities under insurance or reinsurance or under 

similar predecessor authority. All valid claims arising from insurance issued by DFC constitute obligations on which the full 

faith and credit of the United States of America is pledged for full payment. DFC is authorized by statute to borrow from 

Treasury should funds in DFC’s reserves be insufficient to discharge obligations arising under its insurance program. 

B. Annual Appropriations

DFC receives an annual appropriation for operations and programs. Under current law (Public Law 116-94, 133 Stat. 2840), 

DFC’s offsetting collections derived from investment earnings, non-insurance fees, and negative subsidy are to be used to 

reduce DFC’s annual appropriation from the General Fund to zero. 

C. Borrowing Authority

DFC is required to borrow from Treasury’s Bureau of the Fiscal Service to fund the unsubsidized portion of direct loan 

disbursements. DFC is authorized to borrow funds to disburse negative subsidy or pay claims in excess of the amount of 

subsidy and collections maintained in the financing funds. As of September 30, 2021 and 2020, DFC had $8,084 million and 

$5,534 million, respectively, in borrowing authority carried over to fund direct loans and pay future claims.

D. Undelivered Orders at the End of the Period

Undelivered Orders include loan and related subsidy obligations that have been issued but not disbursed and obligations for 

goods and services ordered that have not been received. 

(dollars in thousands)

As of September 30, 2021 Federal Non-Federal Total

Unpaid

Paid

Total Obligations

$ 898,540

-

$ 898,540

 $ 4,693,153

3,794

$ 4,696,947

$ 5,591,693

3,794

$ 5,595,487

(dollars in thousands)

As of September 30, 2020 Federal Non-Federal Total

Unpaid

Paid

Total Obligations

 $ 1,042,158 

- 

$ 1,042,158 

$ 4,694,430 

642

$ 4,695,072 

$ 5,736,588 

642 

$ 5,737,230 
 dfc.gov | 64

E. Explanation of Differences Between the SBR and the Budget of the U.S. Government

Agencies are required to explain material differences between their Statement of Budgetary Resources (SBR) and the Budget 

of the U.S. Government. This disclosure reconciles the prior year’s Statement of Budgetary Resources to the actual balances 

per the upcoming year’s budget. For example, DFC’s FY 2021 SBR will be reconciled to the actual balances per the 2023 Budget 

of the U.S. Government which will be released in FY 2022. The Budget with the actual amounts for this current year will be 

available at a later date at https://www.whitehouse.gov/omb/budget/. 

Balances reported in the FY 2020 Statement of Budgetary Resources and the related President’s Budget are shown in the 

table above for Budgetary Resources, Obligations, Distributed Offsetting Receipts, Net Outlays, and any related differences. 

The differences reported are due to differing reporting requirements for expired and unexpired appropriations between the 

Treasury guidance used to prepare the SBR and the OMB guidance used to prepare the President’s Budget. The SBR includes 

both unexpired and expired appropriations, while the President’s Budget discloses only unexpired budgetary resources that 

are available for new obligations. Additionally, differences exist as a result of the mid-fiscal year creation of DFC during FY 

2020 during which some funds remained in OPIC fund symbols, while others were transferred to DFC. Other minor differences 

are the result of rounding variances.

Note 16: Reconciliation of Net Cost of Operations to 

Net Outlays

Budgetary accounting is used for planning and control purposes and relates to both the receipt and use of cash, as well as 

reporting the federal deficit. Financial accounting is intended to provide a picture of the government's financial operations 

and financial position, so it presents information on an accrual basis. The accrual basis includes information about costs 

arising from the consumption of assets and the incurrence of liabilities. The reconciliation of net outlays, presented on 

a budgetary basis, and the net cost, presented on an accrual basis, provides an explanation of the relationship between 

budgetary and financial accounting information. The reconciliation serves not only to identify costs paid for in the past and 

those that will be paid in the future, but also to assure integrity between budgetary and financial accounting. The analysis 

below illustrates this reconciliation by listing the key differences between net cost and net outlays. In accordance with OMB 

Circular A-136 guidance, the presentation of the Reconciliation of Net Costs of Operations to Net Outlays excludes financing 

funds activity for programs subject to FCRA. Line items presented below, such as the Net Cost as well as the increases and 

decreases in assets and liabilities do not include financing funds and cannot be compared to the consolidated Statement of 

Net Cost and the consolidated Balance Sheet. Loans Receivable and Loan Guaranty Liability activity is reported below for the 

liquidating funds for loans and loan guaranties made prior to FY 1992.

(dollars in millions) 

For the Period Ended September 30, 2020

Budgetary 

Resources

New Obligations 

and Upward 

Adjustments

Distributed 

Offsetting 

Receipts Net Outlays

Combined Statement of Budgetary

Resources 

Expired Funds not reported in 2022

President's Budget

Variances as a result of OPIC Transfer 

to DFC

Rounding

Budget of the U.S. Government 

$ 12,197

(50)

-

(5)

$ 12,142

$ 5,082 

-

-

(2)

$ 5,080

$ (358)

-

(57)

-

$ (415)

$ 550

-

(8)

1

$ 543
 dfc.gov | 65

(dollars in thousands)

For the Period Ended September 30, 2021 Intra Governmental With the Public Total

Net Cost

Components of Net Cost That Are Not Part of Net Outlays:

Property and Equipment Depreciation

Year-end Credit Reform subsidy Re-estimates

Increase/(decrease) in assets:

Accounts Receivable

Loans Receivable

Investments 

Advances

(Increase)/decrease in liabilities:

Accounts Payable

Federal Employee Benefits Payable

Loan Guaranty Liability

Insurance Program Liabilities

Advances from Others and Deferred Revenue

Subsidy Payable to the Financing Account

Other Liabilities

Other Financing Sources:

Imputed Costs 

Total Components of Net Cost That Are Not Part of 

Net Outlays

Components of Net Outlays That Are Not Part of Net Cost:

Transfers out (in) without reimbursement

Distributed Offsetting Receipts

Total Components of Net Outlays That Are Not Part of 

Net Cost

Net Outlays (calculated)

Related Amounts on the Statement of 

Budgetary Resources

Outlays, Net 

Distributed Offsetting Receipts

Total Agency Outlays, Net

$ 98,689 

-

(168,649)

-

-

773

-

-

-

-

-

-

462,178

(912)

(3,069)

290,321

 (286,733)

(783,325)

(1,070,058)

(681,048)

$ 26,364

(171)

-

(13,990)

(178,197)

95,318

1,239

758

(491)

2,757

1,991

(10,817)

-

(2,596)

-

(104,199)

-

-

-

(77,835)

$ 125,053

(171)

(168,649)

(13,990)

(178,197)

96,091

1,239

758

(491)

2,757

1,991

(10,817)

462,178

(3,508)

(3,069)

186,122

(286,733)

(783,325)

(1,070,058)

(758,883)

24,442

(783,325)

$ (758,883)
 dfc.gov | 66

(dollars in thousands)

For the Period Ended September 30, 2020

(Reclassified)

Intra Governmental

(Reclassified) 

With the Public

(Reclassified) 

Total

Net Cost

Components of Net Cost That Are Not Part of Net Outlays:

Property and Equipment Depreciation

Year-end Credit Reform subsidy Re-estimates

Increase/(decrease) in assets:

Accounts Receivable

Loans Receivable

Investments 

(Increase)/decrease in liabilities:

Accounts Payable

Federal Employee Benefits Payable

Loan Guaranty Liability

Insurance Program Liabilities

Advances from Others and Deferred Revenue

Subsidy Payable to the Financing Account

Liability to the General Fund of the US Government for 

Other Non-Entity Assets

Other Liabilities

Other Financing Sources:

Imputed Costs 

Total Components of Net Cost That Are Not Part of 

Net Outlays

Components of Net Outlays That Are Not Part of Net Cost: 

Transfers out (in) without reimbursement

Distributed Offsetting Receipts

Total Components of Net Outlays That Are Not Part of 

Net Cost

Net Outlays (calculated)

Related Amounts on the Statement of 

Budgetary Resources

Outlays, Net 

Distributed Offsetting Receipts

Total Agency Outlays, Net

$ 47,009

-

(118,200)

-

-

68,067

-

(428)

-

-

-

284,391

(656,763)

(1,466)

(2,192)

(426,591)

512,994

(357,761)

155,233

(224,349)

$ (25,288)

(145)

-

10,055 

(53,288)

-

(759)

(5,214)

1,924 

(15,717)

(133,434)

-

-

(3,467)

-

(200,045)

-

-

-

(225,333)

$ 21,721

(145)

(118,200)

10,055 

(53,288)

68,067 

-

(759)

(5,642)

1,924 

(15,717)

(133,434)

284,391 

(656,763)

(4,933)

-

(2,192)

(626,636)

512,994

(357,761)

155,233

(449,682)

 (91,921)

 (357,761) 

$ (449,682)
 dfc.gov | 67

Note 17: Reclassification of Balance Sheet, Statement 

of Net Costs, and Statement of Changes in Net Position 

for Financial Reporting Contemplating Process

To prepare the Financial Report of the U.S. Government (FR), the Department of the Treasury requires agencies to 

submit an adjusted trial balance, which is a listing of amounts by U.S. General Ledger account that appear in the financial 

statements. Treasury uses the trial balance information reported in the Governmentwide Treasury Account Symbol 

Adjusted Trial Balance System (GTAS) to develop a Reclassified Balance Sheet, Reclassified Statement of Net Cost, and a 

Reclassified Statement of Changes in Net Position for each agency, which are accessed using GTAS. Treasury eliminates 

all intragovernmental balances from the reclassified statements and aggregates lines with the same title to develop the 

FR statements. This note shows DFC’s financial statements and DFC’s reclassified statements prior to elimination of 

intragovernmental balances and prior to aggregation of repeated FR line items. The GTAS balances on the Reclassified 

Balance Sheet and Statement of Changes in Net Position require additional manual adjustments in order to accurately 

reflect DFC’s activity. A copy of the 2020 FR can be found here: https://www.fiscal.treasury.gov/reports-statements/ and 

a copy of the 2021 FR will be posted to this site as soon as it is released.

The term “intragovernmental” is used in this note to refer to amounts that result from other components of the 

Federal Government. 

The term “non-Federal” is used in this note to refer to Federal Government amounts that result from transactions with 

non-Federal entities. These include transactions with individuals, businesses, non-profit entities, and State, local, and 

foreign governments.

FY 2021 DFC Statement 

of Net Cost

Line Items Used to Prepare FY 2021 Government-wide Statement of Net Cost

Financial 

Statement Line

Amounts

(in thousands)

All Other 

Amounts

(in thousands)

Plus: Manual 

Adjustment 

(in thousands)

Adjusted 

Amounts 

(in thousands)

Reclassified Financial Statement 

Line

Gross Costs $ - $ 50,032 $ 272 $ 50,304 Non-Federal Gross Cost

Operating Costs 291,039 - - -

Subsidy Costs (234,711) - - -

166,838 - - -

- 11,409 - 11,409 Benefit Program Costs

- 3,069 3,069 Imputed Costs

- 2,808 - 2,808 Buy/Sell Costs

 - 155,576 155,576 Borrowing and Other Interest 

Expense

Total Gross Costs 223,166 222,894 272 223,166 Total Reclassified 

Gross Costs

Earned Revenue (384,832) (185,332) - (185,332) Non-Federal Earned Revenue 

(6,169) - (6,169) Buy/Sell Revenue

(131,499) - (131,499) Federal Securities Interest 

Revenue Including Associated 

Gains/Losses (Exchange)

(61,832) - (61,832) Borrowing and Other Interest 

Revenue

(199,500) - (199,500) Total Federal Earned Revenue

Total Earned

Revenue

 (384,832) (384,832) - (384,832) Total Reclassified Earned 

Revenue

Net Cost $ (161,666) $ (161,938) $ 272 $ (161,666) Net Cost
 dfc.gov | 68

FY 2021 DFC Statement 

of Changes in Net Position

 Line Items Used to Prepare FY 2021 Government-wide 

Financial 

Statement Line

Amounts

(in thousands)

Amounts

(in thousands)

Plus: Manual 

Adjustment 

(in thousands)

Adjusted 

Amounts 

(in thousands)

Reclassified Financial 

Statement Line

Unexpended 

Appropriations

Unexpended 

Appropriations

Unexpended 

Appropriations, 

Beginning Balance

$ 105,992 $ 115,782 $ (9,790) $ 105,992 Net Position, Beginning of 

Period

Corrections of Errors - (10,343) 10,343 - Corrections of Errors

Appropriations 

received

594,494 594,494 - 594,494 Appropriations Received as 

Adjusted

Appropriations 

transferred in/out

30,000 30,000 - 30,000 Non-Expenditure 

Transfers-In of Unexpended 

Appropriations and 

Financing Sources

Appropriations Used (559,309) (558,864) (445) (559,309) Appropriations Used 

Total Unexpended 

Appropriations

171,177 171,069 108 171,177 Total Unexpended 

Appropriations

Cumulative Results, 

Beginning Balance 

6,066,286 6,056,225 10,061 6,066,286 Net Position, Beginning of 

Period

Corrections of Errors - 10,343 (10,343) - Corrections of Errors

Other Adjustments (116) (116) - (116) Other Adjustments

Appropriations Used 559,309 558,864 445 559,309 Appropriations Expended

Transfers In/

Out without 

Reimbursement

14 14 - 14 Transfers In/Out without 

Reimbursement

Imputed Financing 3,069 3,069 - 3,069 Imputed Financing Sources

Offset to Non-entity 

Collections

(873,836) (873,836) - (873,836) Non-entity collections 

transferred to the 

General Fund of the U.S. 

Government 

Net (Cost)/Benefit of 

Operations

161,666 161,937 (271) $161,666 Reclassified Net Cost of 

Operations

Net Change (149,894) (150,068) 174 (149,894)

Ending Balance - 

Cumulative Results of 

Operations 

5,916,392 5,916,500 (108) 5,916,392 Net Position - Ending 

Balance

Total Net Position $ 6,087,569 $ 6,087,569 $ - $ 6,087,569 Total Net Position
 dfc.gov | 69

Data and Transparency

Outreach to Minority and 

Women-owned Businesses

22 U.S.C. § 9621(i)(2) “(A)(i) the amount of insurance and financing provided by the Corporation to [minority-owned and 

women-owned] businesses in connection with projects supported1 by the Corporation;”

Note: 

DFC is committed to supporting women and other underserved groups. Due to the global nature of DFC’s investments, 

DFC is in the process of defining what constitutes “minority-owned” in the context of different regional markets. DFC is also 

working to strengthen data collection to build a comprehensive list of all women-owned businesses that benefit from DFC 

investment. “Women-owned businesses” are businesses that are at least 51 percent controlled by one or more women.

Economic and 

Social Development Impact

22 U.S.C. § 9653(a)(1) “the economic and social development impact, ... of projects supported by 

the Corporation.”

Maximizing Positive Impacts using Impact Quotient

Impact measurement is critical to understand, enhance, and promote the impact DFC is having around the world. In 

January 2020, DFC launched its impact management framework, the Impact Quotient, or IQ, that calculates a development 

IQ Score based on each project’s projected and actual contribution to Economic Growth, Inclusion, and Innovation. Using 

industry-standard metrics organized across these three themes, the IQ Score helps inform decision-making during the 

project approval process and enables the DFC to measure the development performance of each project. The IQ Score 

reflects both the positive and negative impacts of the investment, considers the relevance of the impacts within the host 

country context, and creates mechanisms to enhance impacts on the environment, the workforce, and the local community 

through inclusive governance. 

Of DFC’s committed projects in FY2021, 93 were categorized as Highly Developmental and 15 were categorized as 

Developmental. During this reporting period, no projects were assessed as Indeterminant. For more detail See table under 

Developmental Outcomes reporting for 22 U.S.C. § 9653(b)(1)(A).

For additional information on External Verification of IQ’s Alignment with Industry Best Practices, see Appendix A on p.77
 dfc.gov | 70

Complementary and Coordinated 

Development Activities 

22 U.S.C. § 9653(a)(2) the extent to which the operations of the Corporation complement or are compatible with the 

development assistance programs of the United States and qualifying sovereign entities; 

DFC’s operations complement the development assistance programs of other U.S. Government (USG) departments 

and agencies, in addition to development finance institutions (DFIs), international financial institutions (IFIs), and other 

sovereign entities. Today’s challenges, including daunting investment gaps in the infrastructure sector, require DFC and 

other USG agencies to continuously deepen and refine our collaboration to maximize development outcomes. DFC is an 

active participant in USG initiatives such as Prosper Africa and Power Africa, and the Corporation has strengthened strategic 

relationships with other DFIs and IFIs.

Linkages with U.S. Government 

22 U.S.C. § 9653(a)(3) the Corporation’s institutional linkages with other relevant United States Government department [1] 

and agencies, including efforts to strengthen such linkages; 

Over the course of DFC’s first two years in operation, the Corporation established formal relationships, routine highlevel interagency briefings, blended finance mechanisms, and training modules on DFC’s products for the interagency to 

strengthen institutional linkages and to ensure greater cross-fertilization on development. Furthermore, in June 2020, 

DFC launched the Development Finance Coordination Group (DFCG) to bring working-level officials from the interagency 

together on a regular basis to identify ways to strengthen and operationalize better interagency collaboration. Examples of 

ways DFC has strengthened its institutional linkages with the interagency include the following: 

ADVANCING USG DEVELOPMENT INITIATIVES 

DFC is a critical partner of B3W, Prosper Africa, Power Africa, and Asia EDGE initiatives, among other programs, with DFC’s 

CEO serving as the Executive Chairman of Prosper Africa. USAID is funding Power Africa, Prosper Africa and Food Security 

deals teams at DFC that are advancing the agencies’ mutual trade and development goals. For example, DFC’s Prosper 

Africa Deal unit is underwriting and executing transactions that will advance Prosper Africa, an all-of-government initiative 

to increase investment between the U.S. and Africa. The deal teams complement DFC’s new team of regional investment 

advisors in Africa and Managing Directors in Singapore, Indonesia, India, and Thailand, which are all supported by funding 

from the Department of State. 

EMPOWERING ENTREPRENEURS IN AFRICA WITH USADF 

DFC and the U.S. African Development Foundation (USADF) have developed the African Small Business Catalyst (ASBC) 

program, a joint blended-financing program that will target entrepreneurs in select African countries. The ASBC program 

will provide loans between $100,000 and $1,000,000 accompanied by grants between $10,000 and $100,000 to African 

entrepreneurs in LICs and LMICs whose projects advance and or deploy innovation or technology. DFC has partnered 

with Stanford University to ensure that the developed product includes customer voice and robust analytics as part of its 

development. 

CATALYZING INVESTMENTS WITH MCC

The Millennium Challenge Corporation (MCC) and DFC announced a formal blended finance mechanism called the American 

Catalyst Facility for Development. DFC and MCC are working to operationalize the new mechanism which is designed 

enable coordinated catalytic investments aimed at crowding-in the private sector and maximizing the overall impact of the 

USG development efforts, thereby furthering American strategic interests abroad. 
 dfc.gov | 71

SUPPORTING USG FOREIGN SERVICE OFFICERS

DFC developed a Foreign Service Development Finance Fellows program, in coordination with USAID and the Department 

of State. The one to three-year fellowship enables USAID and State Foreign Service Officers develop deal origination skills. 

Once complete, fellows will assume positions as Deal Team leaders in posts around the world.

Environmental and Social Compliance 

of Supported Projects

22 U.S.C. § 9653(a)(4) “the compliance of projects supported13 by the Corporation under subchapter II of this chapter with 

human rights, environmental, labor, and social policies, or other such related policies that govern the Corporation’s support for 

projects, promulgated or otherwise administered by the Corporation.”

DFC continues to work with and monitor one project supported by the Corporation that is developing remedial measures to 

comply with DFC’s human rights, environmental, labor, and social policies, or other such related policies. 

Developmental Outcomes 

22 U.S.C. § 9653 (b)(1)(A) “the desired development outcomes for projects and whether or not the Corporation is meeting 

the associated metrics, goals, and development objectives, including, to the extent practicable, in the years after conclusion 

of projects;” 22 U.S.C. § 9653 (b)(3)projections of—(A)development outcomes, and whether or not support for projects are 

meeting the associated performance measures, both during the start-up phase and over the duration of the support, and to the 

extent practicable, measures of such development outcomes should be on a gender-disaggregated basis, such as changes in 

employment, access to financial services, enterprise development and growth, and composition of executive boards and senior 

leadership of enterprises receiving support under subchapter II of this chapter;

Indicator Definition Impact Projections, DFC Committed Projects 

(by year 5) (FY21 Aggregated)

ECONOMIC GROWTH PILLAR

Factors of 

Production

Increase or improvements in 

physical infrastructure and 

critical inputs to economic 

growth, such as energy, roads, 

ports, ICT, oil and gas, critical 

minerals. 

591 Gwh of energy to be produced per year

136,000 off-grid solar beneficiaries

31 MW of IT load capacity installed

*This estimate comprises 135,000 units expected to be sold to households and 1,000 un ts expected to be sold to SMEs by year 5.
 dfc.gov | 72

Human

Capacity

Development

Number of beneficiaries 

receiving products and 

services involving basic human 

needs, such as healthcare; 

education; food security; 

housing; and water, sanitation, 

and hygiene (WASH).

730,000 healthcare patient consultations per year

2,000 healthcare loan beneficiaries

850 patient beds

7,500 housing units to be constructed

113,000 housing loan beneficiaries

4,800 education loan beneficiaries

Local

Income

Increase in income through 

payments to the host 

government and domestic

purchases of goods/services.

$15 billion in local procurement and payments to local 

governments (5-year total)

Jobs

Increase in the number of 

full-time equivalent 

employees.

10,400 host country jobs supported

Financial

Intermediaries

Increase in funding to financial

intermediaries for the purpose 

of investing in local companies 

through debt or equity.

$8.7 billion in access to credit to local companies made through 

financial intermediaries

Balance of

Trade Increase in export earnings. $8 billion in export earnings per year

Projects with workforce policies that support human 

capacity building and families that exceed local legal 

requirements, including initiatives to advance women 

in the workplace.

13% of DFC committed projects (14 projects) reported 

exemplary human capacity building and benefit programs.

*DFC will begin collecting local income and salaries to add to this metric when its new data collection tools are implemented. Payments to the host government includes corporate 

income or profit taxes, sales taxes, net VAT, royalties, dividends and related taxes, management and/or concession fees, license fees, tax on payment of interest, and other material 

payments net of any direct subsidies received.

**The estimate includes directly hired individuals and individuals to be hired through third party agencies as long as those individuals will provide on-s te services related to the 

operations of the client company. The estimate also includes seasonal, contractual and part-time jobs that were converted to full-time equivalent jobs on a pro rata basis.
 dfc.gov | 73

INCLUSION PILLAR

Inclusive

Customer

Base

Number of underrepresented

customers to be served.

1.2 million low-income/microfinance customers to be served

751,000 women or women-owned/led enterprises to be served

1.1 million smallholder farmers to be served

137,000 SMEs to be served

3,300 customers from other underrepresented groups to 

be served

Inclusive

Employment

Increase in full-time 

equivalent jobs held 

by underrepresented 

populations.

1,900 jobs for female workers to be supported/maintained

1,400 jobs for young adults to be supported/maintained

Inclusive

Supply

Chains

Increase in suppliers from

underrepresented groups. 36,000 smallholder farmer suppliers to benefit

Projects with inclusive governance (including women 

owned and or led enterprises) and/or inclusive CSR 

programs.

31% of the DFC committed projects (34 projects) reported 

inclusive governance structures and/or inclusive 

CSR programs

***Underrepresented/marginalized populations may include low-income, smallholder farmers, young adu ts, women and women-owned enterprises, people with disabilities, 

indigenous peoples, refugees, and ethnic and religious minor ties, and other populations that are underrepresented/marginalized within the context of the host country. 

Beneficiaries who are part of two underrepresented/marginalized populations (e.g., poor and refugees) are included in both totals.
 dfc.gov | 74

INNOVATION PILLAR

Market and

Energy

Diversification

Projects that introduce new or

uncommon products/services

(including renewable energy) 

to the market or introduces 

new or uncommon operational 

techniques that will result in 

improved costs or product/

service quality for 

end-beneficiaries.

44% of DFC committed projects (48 projects) involve the 

introduction of new or improved products and services or 

have other demonstration effects

Knowledge

and

Technology

Transfer

Number of beneficiaries of 

technical assistance programs 

for customers, investees, 

suppliers, or the community.

This includes the value-add 

that equity fund managers 

provide to their investees.

177,000 beneficiaries of technical assistance programs and 

fund manager engagement

Voluntary environmental sustainability measures to

reduce environmental footprint

3% of the DFC committed projects (3 projects) reported 

voluntary measures to reduce the company's environmental

footprint, such as IFC EDGE green building certification
 dfc.gov | 75

Indicator Definition Impact Projections, DFC Active Projects 

(by year 5) (Aggregated)

ECONOMIC GROWTH PILLAR

Factors of 

Production

Increase or improvements in 

physical infrastructure and 

critical inputs to economic 

growth, such as energy,

roads, ports, ICT, oil and gas, 

critical minerals.

2,902 Gwh of energy to be produced per year

136,000 off-grid solar beneficiaries

Human

Capacity

Development

Number of beneficiaries 

receiving products and 

services involving basic

human needs, such as 

healthcare; education; food 

security; housing; and

water, sanitation, and hygiene

(WASH).

40 million vaccines manufactured and distributed

554,000 healthcare patient consultations per year

850 patient beds

2,000 healthcare loan beneficiaries

889,000 WASH loan beneficiaries

7,900 education loan beneficiaries

Local Income

Increase in income through 

payments to the host 

government and domestic

purchases of goods/services.

$14.4 billion in local procurement and payments to local 

governments (5-year total)

Jobs

Increase in the number of 

full-time equivalent 

employees.

14,300 host country jobs supported

*DFC will begin collecting local income and salaries to add to this metric when its new data collection tools are implemented. Payments to the host government includes corporate 

income or profit taxes, sales taxes, net VAT, royalties, dividends and related taxes, management and/or concession fees, license fees, tax on payment of interest, and other material 

payments net of any direct subsidies received.

**The estimate includes directly hired individuals and individuals to be hired through third party agencies as long as those individuals will provide on-s te services related to the 

operations of the client company. The estimate also includes seasonal, contractual and part-time jobs that were converted to full-time equivalent jobs on a pro rata basis.

 dfc.gov | 77

INNOVATION PILLAR

Market and

Energy

Diversification

Projects that introduce new 

or uncommon products/

services (including 

renewable energy) to the

market or introduces new or

uncommon operational 

techniques that will result in 

improved costs or

product/service quality for 

end-beneficiaries.

25% of 117 DFC active projects (30 projects) involve the 

introduction of new or improved products and services or 

have other demonstration effects

2,902 Gwh of renewable energy generated per year

Knowledge

and

Technology

Transfer

Number of beneficiaries 

of technical assistance 

programs for customers,

investees, suppliers, or the

community. This includes 

the value-add that equity 

fund managers provide

to their investees.

1.3 million beneficiaries of technical assistance programs 

and fund manager engagement

Voluntary environmental sustainability measures to

reduce environmental footprint

4% of the 117 DFC active projects (5 projects) 

reported voluntary measures to reduce the company's 

environmental footprint, such as IFC EDGE green building 

certification

Appendix A

External Verification of IQ’s Alignment with Industry Best Practices

In FY2021, DFC underwent an external, independent verification of the IQ framework’s alignment with industry best 

practices in impact management as part of its obligation as a Signatory to the Operating Principles of Impact 

Management.[1] The external verification confirmed that the IQ is a best-in-class impact management framework once the 

monitoring and evaluation functions are fully implemented. DFC is building the monitoring and evaluation components of 

the IQ framework that will enable the Corporation to track and assess the development performance at both the project 

and portfolio levels.Some of the initiatives that are currently underway include:

• Establishing an impact monitoring and management team that will be dedicated to tracking 

development results.

[1] A summary of the findings can be found here: https://www.dfc.gov/sites/default/files/media/documents/DFCBlueMark_Ver fier%20Statement_Summary%20Assessment 

_06.22.21 pdf.
 dfc.gov | 78

• Developing IT systems and processes to create IQ Project Results Tables that will be used to efficiently track and 

assess the development performance of investments every six months. This approach will ensure that the project’s 

Core indicators that drove the IQ scoring at the time of approval are tracked in a timely manner to assess project 

performance and identify issues early in the project lifecycle.

• Utilizing DFC’s technical assistance resources to amplify DFC’s value-add from the development perspective, 

including assisting clients that may need additional support to deliver on their development impact objectives. DFC 

is creating a technical assistance facility for its 2X programs and another facility that will support the Corporation’s 

climate initiative.

• Building DFC’s project evaluation functions, starting with an evaluation of DFC’s existing financial intermediary 

projects in Latin America.

Lessons Learned

Since its implementation in January 2020, the IQ has become an integral part of the project approval process. DFC’s 

economists, environmental and social analysts work with the project origination team early in the process to assess potential 

development impacts and work to mitigate any identified risks. The IQ score and assessment are incorporated in all project 

approval documents and discussed at Investment Committees and Board Meetings.

DFC is continually assessing and evaluating the IQ framework and making refinements, as needed. Some of the lessons 

gleaned since the implementation of the IQ are summarized below:

• The incorporation of environmental and social risks into the scoring has been an effective way to communicate 

these risks to senior management during the project approval process. However, the Corporation reevaluated the 

weighting of the risk deductions and determined that the maximum points deducted should be scaled the same as 

the maximum points awarded for a positive impact.

• The IQ is a tool to measure the development performance of DFC projects over its lifecycle by identifying up to 

three Core impacts and up to two Ancillary impacts for each project. Core impacts are weighed on a higher scale 

than Ancillary impacts. One of the IQ indicators, “Investment in a Low/Low-Middle Income Country” was found to 

be a poor indicator for measuring the development performance of a project over time. In some cases, it displaced 

another impact that would have been a better indicator of development performance for that project. As the 

Corporation’s statutory mandate and development strategy are more appropriate frameworks for geographical deal 

sourcing, DFC updated the IQ tool to better reflect the specific impacts of the project and the relevance of those 

impacts within the context of the host country, regardless of the country’s income level. The “Investment in LIC/

LMIC” indicator is now only scored as an Ancillary impact.

• The scoring in IQ was initially focused on measuring positive changes to indicators to assess impact. In light of the 

economic fallout from the COVID-19 pandemic, DFC needed to adjust the scoring to better evaluate projects that 

prevent negative outcomes and those that maintain existing operations, including projects such as emergency 

liquidity facilities.
 dfc.gov | 79

Private Capital Mobilization

22 U.S.C. § 9653 (b)(1)(B) “the effect of the Corporation’s support23 on access to capital and ways in which the Corporation 

is addressing identifiable market gaps or inefficiencies and and what impact, if any, such support has on access to credit for a 

specific project, country, or sector;”

The total private capital mobilized figure for FY 2021 is $22.4 billion, with $16 billion in Africa, $3.6 billion in Asia, and $0.4 

billion in Latin America. The remainder is through transactions with a footprint in multiple regions.

Cooperation with Qualifying Sovereign Entities

22 U.S.C. § 9653(b)(2) “cooperation with a qualifying sovereign entity in support25 of each project;” 22 U.S.C. § 9653(b)(3)(B) 

"the value of private sector assets brought to bear relative to the amount of support provided by the Corporation and the value 

of any other public sector support;”

To facilitate a holistic approach to development finance, DFC works to ensure that its operations complement the 

development assistance programs of other U.S. Government (USG) departments and agencies, in addition to development 

finance institutions (DFIs), international financial institutions (IFIs), and other sovereign entities. DFC is an active participant 

in USG initiatives such as Prosper Africa and Power Africa, and the Corporation has strengthened strategic relationships 

with other DFIs and IFIs. Examples of how the operations of DFC complements USG development programs, as well as other 

sovereign entities, to ensure a coordinated approach include the following:

COORDINATING RESPONSE TO COVID-19 PANDEMIC

In response to COVID-19, DFC coordinated with other DFIs to support the development of vaccines for African countries. 

DFC, together with IFC, the French development institution Proparco, and DEG – the German development finance 

institution, announced a joint financing package for Aspen Pharmacare Holdings Limited, a leading pharmaceutical company 

in South Africa that is playing a major role producing COVID therapies and vaccines on the African continent.

HELPING CENTRAL AMERICAN SMSES RESPOND TO COVID DISRUPTIONS

DFC financing to the Central American Bank for Economic Integration (CABEI) to support lending to micro, small and 

medium enterprises in Honduras, El Salvador, and Guatemala that have been impacted by the pandemic, is part of a larger 

financing package from other DFCs including KfW Bankengruppe (“KfW”) of Germany; ICDF of Taiwan, and European 

Investment Bank of the European Union. 

Monitoring and Evaluation

22 U.S.C. § 9653(b)(4) “an assessment of the extent to which lessons learned from the monitoring and evaluation activities of the 

Corporation, and from annual reports from previous years compiled by the Corporation, have been applied to projects.”

DFC supported projects have not had enough operational time to realize significant development results, and the COVID-19 

pandemic has halted DFC’s ability to conduct on-site project evaluations, DFC has been actively building its monitoring and 

evaluation functions in line with recommendations from the third-party assessment of the IQ framework (see “External 

Verification of IQ’s Alignment with Industry Best Practices”). Specifically, DFC is developing an effective end-to-end 

impact management function, with its focus on establishing a team of impact specialists; improving the IQ impact scoring 

methodology; and instilling a culture of impact management through the Corporation. 

Effective impact management includes a robust evaluation and learning function that considers the long-term impact 
 dfc.gov | 80

performance of DFC’s portfolio and distills these learnings for the agency to inform investment strategy. DFC is building its 

capacity to perform in-depth assessments of projects and segments of the portfolio to understand the longitudinal impact of 

transactions and programs. 

Taken together, routine monitoring and in-depth assessments inform DFC’s investment strategy, and enhance the 

Corporation’s ability determine DFC’s progress to in meeting its impact objectives. These lessons may be used to improve 

future projects, recommend changes to DFC’s policies and procedures, help inform the Corporation’s development strategy, 

and contribute to broader learning within the impact investing community.

Below is a chart of the monitoring and evaluation activities that the Corporation performed in fiscal year 2021.

• Credit Action is defined the number of activities performed by Financial monitoring of DFC Finance 

Program-originated loans and guaranties including, but not limited to a change in ownership, disbursement 

clearances, finance transaction loan reviews, waivers, amendments or concurrence actions, or a workout action plan.

• Risk Rating Evaluations is defined as the number of risk rating scorecards completed annually. The frequency of risk 

rating evaluations depends upon the quality of the transaction. Assets with higher risk require more frequent and 

detailed attention. 

• Credit Management Project Visit is defined as a Financial monitoring officer visiting a Project to reinforce 

relationships with key counterparty managers, offer in-person guidance and support for improvement of 

counterparty performance and personally verify operational/implementation information that has been provided in 

reports and phone calls.

• Environmental & Social Compliance Monitoring is defined as the number of visits (physical or virtual) conducted by 

a DFC employee in a fiscal year to ensure compliance with project loan covenants.

• Development Impact Monitoring Review is defined as the number of Projects rescored on IQ in a given fiscal year 

and/or the number of projects where data is validated by a DFC or USG employee. The systems and processes to 

conduct Development Impact Monitoring are still under development.

• Development Impact Project Evaluation is defined as the number of Projects a DFC employee or contractor visits 

either physically or virtually in a fiscal year to examine realized development impact.

• Programmatic Reviews is defined as a monitoring activity by DFC’s Technical Development Program, Insurance 

Monitoring Team, or an Officer from the Office of Investment Funds.

MONITORING & EVALUATION TYPE NUMBER OF M&E ACTIONS

Credit Action 0

Risk Rating Scorecard 0

Credit Management Project Visit 0

Development Impact Monitoring Review 0

Development Impact Project Evaluation 0

Environmental & Social Compliance Monitoring 34

Programmatic Reviews 0
 dfc.gov | 81

Sector

Number 

of

Projects

Final Destination of Project Output

U.S.

Procurement

Effect 

on U.S.

Employment

Effect on U.S. 

Trade Balance

Projects with Positive Effect on Employment

Multiple 1 0 0 50,000,000 5,000,000 5 5,000,000

Utilities 5 572,692,335 0 7,000,000,000 512,850,000 1,443 512,850,000

Positive 

Subtotal 6 572,692,335 0 7,050,000,000 517,850,000 1,448 517,850,000

Projects with Neutral Effect on Employment

Multiple 97 3,215,881,400 0 66,000,000 0 0 0

Utilities 7 88,050,877 0 0 0 0 0

Neutral 

Subtotal 104 3,303,932,278 0 66,000,000 0 0 0

Projects with Negative Effect on Employment

Negative 

Subtotal 0 0 0 0 0 0 0

Grand 

Total (All 

Projects) 110 3,876,624,613 0 7,116,000,000 517,850,000 1,448 517,850,000

U.S. Employment and Associated Effects of 

DFC-supported Projects

U.S. Employment and Associated Effects of DFC-Supported Projects “Statutory reporting requirements Any statutory reporting 

requirement that applied to an agency transferred to the Corporation under this subchapter immediately before October 5, 

2018, shall continue to apply following that transfer if the statutory requirement refers to the agency by name”'

Outstanding (ODP)

Exhibit 1

Host Country U.S. 3rd Country
 dfc.gov | 82

Sector Country

Projects with Positive Effect on Employment

Multiple Worldwide 572,692,335

Positive 

Subtotal 572,692,335

Projects with Neutral Effect on Employment

Multiple Worldwide 3,279,085,278

Neutral 

Subtotal 3,279,085,278

Project with a Negative Effect on U.S. Employment

Negative 

Subtotal 0

Grand Total 3,851,777,613

Exhibit 2

Exhibit 3

In FY2021, DFC supported 110 new projects in 30 countries and 4 regions, across the globe. 

Of the 110 projects supported, 6 expect to have positive impact on U.S. jobs:

• All of these are in the infrastructure and utilizes sectors of Mozambique, Brazil, Iraq, Colombia, Ecuador, and 

Sierra Leone.

Of the 110 new projects supported, 104 expect to have neutral impact on U.S. jobs:

• 85 in multiple finance and insurance, including investment funds in for countries and regions in Africa, Latin 

America, and Asia 

• 5 in utilities in Brazil, Vietnam, India, Ecuador and Sierra Leone 

• 14 in services, including vaccine distribution in multiple regions, as well as Colombia, India and Kenya

Of the 110 new projects supported, zero expect to have a negative impact on U.S. jobs.
 
U.S. International Development Finance Corporation 

Investing in Development

1100 New York Ave., NW 

Washington, DC 20527 

202.336.8400 

dfc.gov