97 



Testimony of Eugene L. Bovee 

 June 23, 1994 



-9- 



GSM-103 



($ Millions) 

 FISCAL YEAR 



ALLOCATIONS REGISTRATIONS % 



MAJOR 

 USERS ($) 



1987 



410.90 



250.35 60.9% Morocco: $91.7 



Iraq: $85.1 

 Jordan: $17.3 



1986 



377.00 



12.65 3.4% 



Iraq: $9.7 



It is interesting to note the decline in 1993 in both allocations and registrations, which has 

 continued through May 6, 1994. The registration of guarantees relative to allocations has 

 declined significantly as above evidenced. This recent decline obviously is a result of the 

 way the programs are being utilized and moving from public sector buying to more private 

 sector buying. The period 1988 through 1992 was marked by large allocations and 

 registrations where foreign government buying entities financed the importation of 

 foodstuffs under these programs through government banks with a CGA (contract guarantee 

 assurance) provided to the Commodity Credit Corporation by the foreign government, 

 effectively guaranteeing repayments to the CCC by the foreign government. Principal users 

 of the program with CGAs during this period of time were Algeria and Mexico on a 



