OPIC Approves $45 Million to Plaza Logística to Expand Logistics Infrastructure in Argentina
May 9, 2019
BUENOS AIRES – The Overseas Private Investment Corporation (OPIC), the U.S. Government’s development finance institution, has approved $45 million in financing to Plaza Logística S.R.L. to support the expansion of critical logistics infrastructure in Argentina. The approval was highlighted during a signing ceremony in Buenos Aires with OPIC Chief Operating Officer Ryan Brennan, U.S. Ambassador to Argentina Edward Prado, and Argentine Minister of Foreign Affairs Jorge Faurie.
Proceeds of the OPIC loan will be used to expand five warehousing facilities in the greater Buenos Aires metropolitan area. By strengthening supply chain infrastructure in Argentina, where development and logistics connectivity lag behind many of its neighbors, the expanded warehouses will support businesses in sectors ranging from manufacturing to e-commerce and consumer goods.
“A developed logistics network creates opportunity for businesses to expand, create local jobs and contribute to their communities in impactful ways,” said OPIC COO Ryan Brennan. “Our continued partnership with Plaza Logística will address unmet demand for quality warehousing in Argentina—bolstering logistics connectivity and spurring economic growth.”
The project will advance the United States’ commitment to supporting economic growth in Argentina, a key partner in fostering stability and security in the Western Hemisphere. Ambassador Prado characterized the step as “part of the United States’ whole-of-government approach to bilateral collaboration. We are pleased to see this first loan approved as a follow-through on our commitment from last year’s G20 Leaders’ Summit.”
A previous recipient of OPIC financing, Plaza Logística was formed in 2009 to address the supply-demand imbalance for warehousing facilities in Greater Buenos Aires. Today, it is a leading developer of Class A warehouses in the market, operating 13 facilities in and around Buenos Aires.
The Overseas Private Investment Corporation (OPIC) is a self-sustaining U.S. Government agency that helps American businesses invest in emerging markets. Established in 1971, OPIC provides businesses with the tools to manage the risks associated with foreign direct investment, fosters economic development in emerging market countries, and advances U.S. foreign policy and national security priorities. OPIC helps American businesses gain footholds in new markets, catalyzes new revenues and contributes to jobs and growth opportunities both at home and abroad. OPIC fulfills its mission by providing businesses with financing, political risk insurance, advocacy and by partnering with private equity fund managers.
OPIC services are available to new and expanding businesses planning to invest in more than 160 countries worldwide. Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers. All OPIC projects must adhere to best international practices and cannot cause job loss in the United States.