Form DFC‐003 Application for Political Risk Insurance

FOR REFERENCE ONLY – THIS FORM IS TO BE COMPLETED ONLINE – PAPER SUBMISSIONS WILL NOT BE ACCEPTED

Application for Political Risk Insurance (DFC-003)

OMB No. 3015-0003

Expiration Date: 8/31/2022

United States International Development Finance Corporation

1100 New York Avenue, NW Washington, DC 20527-0001

An Agency of the United States Government

Responses to questions which call for estimates or projections should take the form of good faith statements made to the best of the applicant’s knowledge and belief. Statements of fact provided in this document must be accurate as of the date of submission. Anyone who knowingly makes a false statement with the intent to influence DFC’s guarantees, loans, or other investments may be criminally prosecuted.  Such false statements are also grounds for DFC to terminate a commitment or declare a contract default.  These rights are in addition to any other rights or remedies available to United States government. Neither submission nor acceptance of this application implies that the proposed transaction is eligible for support or that support will be provided.

When trade secrets or confidential commercial or financial information are submitted to the agency in this collection, they will be held in confidence to the extent permitted by applicable law including the Freedom of Information Act (“FOIA”) at 5 U.S.C. § 552(b)(4) and the agency’s implementing regulations at 22 C.F.R. Part 706.

Paperwork Reduction Act Notice: This information is required to obtain or retain benefits. Federal agencies may not collect information unless a valid OMB Control Number with an expiration date that has not expired is displayed. The public reporting burden for this collection of information is estimated to average 3 hours per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding this burden estimate or any other aspects of this collection of information, including suggestions for reducing this burden, to Agency Clearance Officer, Records Management, United States International Development Finance Corporation, 1100 New York Avenue, NW, Washington, DC, 20527 and to the DFC Desk Officer at the Office of Information and Regulatory Affairs, Office of Management and Budget, New Executive Office Building, Room 10202, Washington, DC 20503.

Application for Political Risk Insurance (Form 003)

INSTRUCTIONS:

1. All applicants must fill out a complete application.

2. All applicants must provide the certifications requested.

3. If you use an attachment to answer any of the questions in this application, please write “see Attachment” in the appropriate answer block and indicate the corresponding question number on your attachment.

4. All applicants applying for DFC insurance must sign this application. If an Investor is applying for DFC insurance on behalf of other eligible Investors, DFC also will require the ultimate beneficiary Investors to sign this application.

QUESTION 1: Identify the Investor(s)*

Name of Investor:

DFC Project ID:

(See Request for Registration for Political Risk Insurance (DFC Form 002))

Address:

City:

State:

Zip/Postal Code:

Country:

Telephone:

E-Mail:

Website:

Occupation (if individual):

Location of registration/incorporation (if entity):

DUNS number:

QUESTION 2: Identify the Authorized Representative

Name of Person DFC should contact for information:

Title:

Company:

Address:

City:

State:

Zip/Postal Code:

Country:

Telephone:

E-Mail:

[*Note to Forms Portal and Insight Programmers: Please add ability for additional Investors to complete this Question.]

DFC strongly encourages Investors to consider carefully the availability of private political risk insurance for their investments abroad. DFC only offers insurance to Investors who, having investigated the possibility of obtaining insurance from private political risk insurers, decide to pursue DFC insurance because private insurance is not available on terms sufficient to make the investment viable for the Investor, or because of specific benefits DFC participation will bring to the investment.

QUESTION 3: Have you sought political risk insurance from the private political risk insurance market for the project?

• Yes

• No

QUESTION 4a: If private political risk insurance is available, is it in the amount necessary and on terms sufficient for the project’s viability?

• Yes

• No

QUESTION 4b: If Yes, please explain why political risk insurance is being sought from DFC. If No, please explain.

QUESTION 5: Project Description

• Briefly describe the project and investment structure.

• Please attach a copy of information memoranda, business plans, investment structure diagram or other descriptions of the project that would be helpful to DFC’s understanding of the project. Please also include a description (or a copy) of the project’s plans for 1) environmental and social due diligence, mitigation, and monitoring processes; 2) consultation with project-affected communities (including disadvantaged and vulnerable groups); and 3) access to accountability and remedy for negative project impacts on individuals and communities. Also provide copies of any project documentation such as company charter, joint venture documents, loan agreements, technical assistance agreements, management service agreements, lease agreements, loan guaranties, licenses or agreements with the host government, etc. All documentation must be in English.

• If entering into a contract to provide goods/services to a foreign government, please indicate total amount, date contract was/will be signed, and approximate date work will commence. Please attach a copy of the contract as well.

QUESTION 6: Please specify whether this project is:

• An expansion of an existing enterprise

• A new (greenfield) enterprise

• A privatization of a state-owned company

• Other (please explain) ____________

QUESTION 7: Where is the project located? (If in a remote location, please include GPS coordinates or attach a map showing the location.)

QUESTION 8: Name of the entity (the “Foreign Enterprise”) in the host country into which the investment will be made (if applicable):

Foreign Enterprise:

Address:

City:

Postal Code:

Country: Telephone:

E-Mail:

QUESTION 9: Government Involvement

• Describe any host government involvement in the project such as any contracts, concession, or licenses from the government, any planned government purchasing or supplying, or any form of joint venture with the government.

• If entering into a contract to provide goods/services to a foreign government, give the name and address of the department or agency involved. Briefly describe any previous experience the Investor has had with this foreign government.

QUESTION 10: Current and Past Disputes

Please identify and describe briefly any current or past disputes with respect to this project that involve any agency or instrumentality of the host government. Include all disputes that involved or currently involve the Investor, the Foreign Enterprise, or any participants in the project.

QUESTION 11: Type of Investment to be Insured (check all that apply)
Equity	$ ______
Leases	$ ______
Loans or Loan Guaranties	$ ______
Technical Assistance/Management/Supply/or Contractors and Exporters Agreements	$ ______
Performance Guaranty/Advance Payment Guaranty/Other Guaranty/Contract Disputes	$ ______
Other (please explain)	$ ______

QUESTION 12: Type of Coverage Sought (check all that apply)

• Expropriation (including Arbitral Award Default and Denial of Justice)

• Non-Honoring of a Sovereign Guarantee*

• Breach of Contract for Capital Markets

• Inconvertibility

• Political Violence - Assets

• Political Violence – Business Income

• Political Violence – Forced Abandonment

• Wrongful Calling of a Guaranty (Bid bonds, advance payment, etc.)

(If seeking coverage for wrongful calling of a guaranty, please provide draft/final copy of each of the guaranties you wish to insure).

*Please consult with DFC regarding specific eligibility requirements for this coverage before proceeding.

Question 13: Term of DFC Contract: _____ years

QUESTION 14: Investment Schedule
Initial Investment	Date	Amount
Subsequent Investments
Expected date that commercial operations will begin

Yes

No

QUESTION 15: May DFC share the following information with other development finance institutions (DFIs) who may be interested in working with DFC on the type of project/transaction you are proposing?

• The Name of Investor and Location from Question 1

• The Authorized Representative name, Title, and E-mail address from Question 2

• The DFC-designated sectoral category (i.e. financial services, power generation) that corresponds with the nature of your project/transaction.

Please note that this is not a guarantee that DFC will share the information nor a guarantee that recipients of the information will provide additional support to the transaction.

Each Investor must sign this application.

Applicant (Investor): ____________________ Applicant (Investor): ____________________

By: __________________________________ By: __________________________________

Name & Title (print) ____________________ Name & Title (print) _____________________

By signing this form, the Investor(s) hereby represents and warrants that (a) this form is identical in all material and substantive respects to OMB form No. [ ] sent to the Investor by DFC and (b) that the Investor understands that DFC shall regard the Investor’s answers to the questions on this form to be answers to the questions as asked on OMB form No. [ ].

[*Note to Forms Portal and Insight Programmers: System should autofill Project ID on signature page, since the signature page is submitted as a separate physical attachment to the completed application. That way, the signature page can be related to the correct project file in the DFC’s electronic file system.]

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