24 October 2003
U.S. Government Agency Grants $3 Million to Build Afghan Homes
Planned project will ultimately see 20,000 homes built in Kandahar Valley
The Overseas Private Investment Corporation (OPIC) is providing a $3 million loan to a Virginia-based company, AFCO International, to construct more than 2,500 homes near the southern Afghanistan city of Kandahar, according to an October 23 OPIC press release.
The money will also be used for infrastructure projects such as roads, water and sewer systems, and community buildings, including a school, according to the press release.
The press release said the home construction is the first stage of a project to ultimately construct "more than 20,000 homes, associated shops and community infrastructure," and "will provide moderately-priced, modern housing to an area devastated by more than two decades of conflict."
The U.S. company AFCO International is mostly comprised of Afghan-American businessmen who are seeking to help with Afghanistan's reconstruction. According to the press release, the Afghan government deeded their subsidiary AFCO -- Kandahar Valley 10,000 acres of land for the company's project.
Following is the text of the OPIC press release:
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OPIC Press Release 3-31: 05/12/03
FOR IMMEDIATE RELEASE
Thursday, October 23, 2003
For further information, contact:
Lawrence Spinelli (202) 336-8690
Timothy Harwood (202) 336-8744
U.S. SMALL BUSINESS USES OPIC LOAN TO BUILD SINGLE-FAMILY HOMES IN AFGHANISTAN
WASHINGTON, D.C. -- In a significant boost to Bush Administration efforts to support the reconstruction of Afghanistan, financing from the Overseas Private Investment Corporation (OPIC) will enable a U.S. small business to build more than 2,500 homes near the southern city of Kandahar, OPIC President and CEO Dr. Peter Watson announced today.
OPIC has concluded a loan agreement to provide a $3 million loan to AFCO -- Kandahar Valley, a subsidiary of AFCO International of Chantilly, VA, for the construction of more than 2,500 single-family homes and associated infrastructure such as roads, water and sewer systems, and community buildings, including a school. The homes are the first stage in a project designed to construct more than 20,000 homes, associated shops and community infrastructure; the result, called Kandahar Valley, will provide moderately-priced, modern housing to an area devastated by more than two decades of conflict.
AFCO International is comprised largely of Afghan-American businessmen who pooled their resources to participate in the reconstruction of Afghanistan. The Kandahar Valley project derived from their desire to improve health conditions in the city. The company was deeded 10,000 acres of previously government-owned land by the city for the project. "Afghanistan urgently needs adequate housing as a foundation for its economic development. OPIC and the successful Afghan-American businessmen of AFCO International have worked closely together to begin to meet that need with housing and related infrastructure that is both modern and affordable," Dr. Watson said. "Brick by brick, the goals for the reconstruction of Afghanistan are starting to materialize with the critical involvement of U.S. private sector investment supported by OPIC."
OPIC was established as an agency of the U.S. government in 1971. It helps U.S. businesses invest overseas, fosters economic development in new and emerging markets, complements the private sector in managing risks associated with foreign direct investment, and supports U.S. foreign policy. Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers. OPIC's political risk insurance and financing help U.S. businesses of all sizes invest in more than 150 emerging markets and developing nations worldwide. Over the agency's 32-year history, OPIC has supported $145 billion worth of investments that have helped developing countries to generate over $11 billion in host-government revenues and create over 680,000 host-country jobs. OPIC projects have also generated $65 billion in U.S. exports and created more than 254,000 American jobs.
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(Distributed by the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)
This page printed from: http://usinfo.state.gov/xarchives/display.html?p=washfile-english&y=2003&m=October&x=20031024180616namfuaks0.7443354&t=usinfo/wf-latest.html
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