The US International Development Finance Corporation (DFC) on Friday said it has committed more than $2 billion to the Indo-Pacific region in fiscal 2022 across 50 projects, bringing its total active commitments in the region to more than $6.6 billion.
Since October 2022, it has approved three new projects worth $110 million in total investment that will promote affordable housing, tech-enabled businesses, and e-mobility in India and Southeast Asia. As part of this, DFC has given a $75-million loan to India-based Home First Finance for affordable home loans to low-income women borrowers.
It has also made a $30-million equity investment in Asia Partners Fund II to help close the late-stage funding gap for technology companies operating in lower-middle-income countries across Southeast Asia, and it has lent $5 million to digital lender Revfin Services to underwrite electric vehicle financing loans to support India’s clean energy transition.
“The Indo-Pacific region is central to global economic and developmental advancement,” said Scott Nathan, CEO, DFC, adding that its current commitments in the region focus on health, digital connectivity, renewable energy, and financial inclusion.
DFC is working with Japan Bank for International Cooperation (JBIC) to each provide $50 million to guarantee financing by Export Finance Australia (EFA) for Telstra’s acquisition of Digicel Pacific’s telecom assets in Papua New Guinea and the Pacific. The project also supports the continued provision of affordable, high-quality mobile voice and data services to subscribers in these markets.
As part of its healthcare investment, DFC is making a $75-million equity investment in Quadria Capital Fund III, an Asian healthcare-focused private equity fund. And in Vietnam, DFC is giving up to $200 million in loan to Southeast Asia Commercial Joint Stock Bank for lending to disadvantaged groups, including women-owned and women-led SMEs.
DFC also said it will be giving a $500-million loan to Tempe, Arizona-based First Solar for a new solar manufacturing facility in Tamil Nadu, India.