[Federal Register Volume 61, Number 115 (Thursday, June 13, 1996)]
[Notices]
[Pages 30094-30095]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-15029]
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AGENCY FOR INTERNATIONAL DEVELOPMENT
Housig Guaranty Program; Notice of Investment Opportunity
The U.S. Agency for International Development (USAID) has
authorized the guaranty of a loan to Fonds d'Equipment Communal (FEC)
(``Borrower'') guarantied by the Government of the Kingdom of Morocco
as part of USAID's development assistance program. The proceeds of this
loan will be to provide infrastructure and environmental services for
shelter projects for the benefit of low-income families in Morocco. At
this time, the Borrower has authorized USAID to request proposals from
eligible lenders for a loan under this program of $15 Million U.S.
Dollars (US$15,000,000). The name and address of the Borrower's
representative to be contacted by interested U.S. lenders or investment
bankers, and the amount of the loan and project number are indicated
below:
Fonds d'Equipment Communal (FEC) (Kingdom of Morocco)
Project No.: 608-HG-004.
Housing Guaranty Loan No.: 608-HG-007 A01.
Amount: U.S. $15,000,000.
Attention: Mr. Abdelghani Guezzar, Directeur Financier du FEC,
Fonds d'Equipement Communal.
Mailing address: Fonds d'Equipement Communal BP 8020, Rabat,
Morocco.
Telex No.: 212-7-365-81.
Telefax No: 212-7-77-80-95 (preferred communication).
Telephone No.: 212-777-8055 and 212-7-77-80-91.
Interested lenders should contact the Borrower as soon as possible
and indicate their interest in providing financing for the Housing
Guaranty Program. Interested lenders should submit their bids to the
Borrower's representative by Tuesday, June 25, 1996, 12:00 noon Eastern
Daylight Time. Bids should be open for a period of 48 hours from the
bid closing date. Copies of all bids should be simultaneously sent to
the following: Ms. Erna Kerst, Housing and Urban Development Office,
RHO USAID/Rabat, Morocco, c/o American Embassy, PSC 74, Box 022, APO AE
09718, (Street address: USAID/Rabat, 137 Avenue Allal Ben Abdellah,
B.P. 120, Rabat, Morocco.
Telex No: 31005M.
Telefax No: 212-7-70-79-30 (preferred communication).
Telephone No.: 212-7-76-22-65, ext. 2346.
Address: Mr. Peter Pirnie, U.S. Agency for International
Development,
[[Page 30095]]
Office of Environment and Urban Programs, G/ENV/UP, Room 409, SA-18,
Washington, D.C. 20523-1822.
Telex No: 892703 AID WSA.
Telefax No: (703) 875-4639 or (703) 875-4384 (preferred
communication).
Telephone No: (703) 875-4300 or (703) 875-4510.
For your information the Borrower is currently considering the
following terms:
(1) Amount: U.S. $15 million.
(2) Term: 30 years.
(3) Grace Period: Ten years grace on repayment of principal.
(During grace period, semi-annual payments of interest only). If
variable interest rate, repayment of principal to amortize in equal,
semi-annual installments over the remaining 20-year life of the loan.
If fixed interest rate, semi-annual level payments of principal and
interest over the remaining 20-year life of the loan.
(4) Interest Rate: Alternatives of both fixed and variable rates,
are requested.
(a) Fixed Interest Rate: If rates are to be quoted based on a
spread over an index, the lender should use as its index a long bond,
specifically the 6% U.S. Treasury Bond due February 15, 2026. Such rate
is to be set at the time of acceptance.
(b) Variable Interest Rate: To be based on the six-month British
Bankers Association LIBOR, preferably with terms relating to Borrower's
right to convert to fixed. The rate should be adjusted weekly.
(5) Prepayment:
(a) Offers should include any options for prepayment and mention
prepayment premiums, if any, and specify the earliest date the option
can be exercised without penalty.
(b) Only in an extraordinary event to assure compliance with
statutes binding USAID, USAID reserves the right to accelerate the loan
(it should be noted that since the inception of the USAID Housing
Guaranty Program in 1962, USAID has not exercised its right of
acceleration).
(6) Fees: Offers should specify the placement fees and other
expenses, including USAID fees and Paying and Transfer Agent fees.
Lenders are requested to include all legal fees and out-of-pocket
expenses in their placement fee. Such fees and expenses shall be
payable at closing from the proceeds of the loan. All fees should be
clearly specified in the offer.
(7) Closing Date: As early as practicable, but not to exceed 60
days from date of selection of lender.
Selection of investment bankers and/or lenders and the terms of the
loan are initially subject to the individual discretion of the
Borrower, and thereafter, subject to approval by USAID. Disbursements
under the loan will be subject to certain conditions required of the
Borrower by USAID as set forth in agreements between USAID and the
Borrower.
The full repayment of the loans will be guaranteed by USAID. The
USAID guaranty will be backed by the full faith and credit of the
United States of America and will be issued pursuant to authority in
Section 222 of the Foreign Assistance Act of 1961, as amended (the
``Act'').
Lenders eligible to receive the USAID guaranty are those specified
in Section 238(c) of the Act. They are: (1) U.S. citizens; (2) domestic
U.S. corporations, partnerships, or associations substantially
beneficially owned by U.S. citizens; (3) foreign corporations whose
share capital is at least 95 percent owned by U.S. citizens; and, (4)
foreign partnerships or associations wholly owned by U.S. citizens.
To be eligible for the USAID guaranty, the loans must be repayable
in full no later than the thirtieth anniversary of the disbursement of
the principal amount thereof and the interest rates may be no higher
than the maximum rate established from time to time by USAID.
Information as to the eligibility of investors and other aspects of
the USAID housing guaranty program can be obtained from: Ms. Viviann
Gary, Director, Office of Environment and Urban Programs, U.S. Agency
for International Development, Room 409, SA-18, Washington, D.C. 20523-
1822. Fax Nos: (703) 875-4384 or 875-4639. Telephone: (703) 875-4300.
Dated: June 10, 1996.
Michael G. Kitay,
Assistant General Counsel, Bureau for Global Programs, Field Support
and Research, U.S. Agency for International Development.
[FR Doc. 96-15029 Filed 6-12-96; 8:45 am]
BILLING CODE 6116-01-M