Foreign Housing Guaranty Program: Goals Are Not Achieved and Financial
Condition Is Poor (Testimony, 06/28/95, GAO/T-NSIAD-95-181).

Since 1961, the Agency for International Development's Housing Guaranty
Program has guarantied more than $2.7 billion in loans in 44 countries
for home construction, mortgages, home improvements, urban
infrastructure, and other shelter projects. A fundamental program goal
is to increase housing for low-income families in developing countries
by motivating local institutions to provide investment capital and other
resources.  However, Congress should consider terminating the program
because it has failed to spur private-sector investment in low-income
housing in developing countries, its benefits often go to higher-income
persons, and its loan defaults may ultimately cost the U.S. government
as much as $1 billion.  Moreover, program assistance has gone
increasingly to creditworthy developing nations that have ready access
to international financing.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-NSIAD-95-181
     TITLE:  Foreign Housing Guaranty Program: Goals Are Not Achieved 
             and Financial Condition Is Poor
      DATE:  06/28/95
   SUBJECT:  Housing programs
             Foreign aid programs
             Foreign economic assistance
             Developing countries
             International economic relations
             Foreign loans
             Loan defaults
             Investments abroad
             Government guaranteed loans
             Technical assistance
IDENTIFIER:  AID Housing Guaranty Program
             
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