OPIC INQUIRY RE: IMMDF LOAN PROPOSALS

UNCLAS BAGHDAD 005101 SIPDIS E.O. 12958: N/A TAGS: EAID ECON EINV ETRD KPRV IZ SUBJECT: OPIC INQUIRY RE: IMMDF LOAN PROPOSALS REF: A. STATE 223589 ¶B. BAGHDAD 4904 ¶1. This cable is in response to reftel A re: OPIC request for Embassy comments on potential Iraq Middle Market Development Foundation (IMMDF) loan proposals. ¶2. Post IRMO/Private Sector Development was closely involved in the referral process for projects A (Naseer Oxygen Gas),C (Hilal Al Khair),F (Al-Bareeq Air Conditioning),and H (Tigris Holdings),and is supportive of OPIC involvement. For each of these projects, Post met with the applicant numerous times and: -- explained the loan process and parameters; -- discussed the details of the loan request and possible structures for a credit facility; -- asked questions to gain a comprehensive understanding of their business; and -- assisted (in most cases, directly) in the preparation of a detailed analysis of their business. ¶3. Post is not as familiar with the remaining projects listed in reftel A, though we believe investment in these business sectors would be beneficial for Iraqi reconstruction and development. We are prepared to research these projects more closely, but note this will take longer than the mid-January timeframe by which OPIC would like Post comments. Please advise. KHALILZAD