S1685119th CongressWALLET

No Funds for Forced Labor Act

Sponsored By: Senator Sen. Scott, Rick [R-FL]

Introduced

Summary

Oppose IFI loans tied to forced labor. This bill would require U.S. Executive Directors at international financial institutions (IFIs) to use their voice and vote to block projects that pose a significant risk of using forced labor and to demand project-specific vetting and mitigation, with special focus on the Xinjiang Uyghur Autonomous Region (XUAR).

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  • Workers and communities in XUAR would gain a layer of protection because the bill targets projects carried out by state-owned or heavily state-influenced entities in XUAR and defines forced labor to include convict and indentured labor under penal sanctions.
  • International financial institutions would have to provide, for each project, a clear explanation of how they vetted forced labor risks and what actions they will take to mitigate, track, and reverse those risks.
  • The U.S. Treasury would report to four congressional committees with a written implementation report not later than one year after enactment and then annually for five years, listing any IFI-approved projects with possible forced labor and U.S. efforts to persuade other countries to oppose them.

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Bill Overview

Analyzed Economic Effects

1 provisions identified: 1 benefits, 0 costs, 0 mixed.

Stop international loans tied to forced labor

This bill would tell the Treasury to oppose IFI loans that pose a significant risk of forced labor. It would define "forced labor" using the Tariff Act and say convict and indentured labor under penal sanctions count. It would require each international financial institution to give a project-level explanation of how it checked for forced labor and what steps it will take to mitigate and track risks. The Treasury would also have to report to Congress within one year and annually for five years and publish an unclassified version.

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Sponsors & CoSponsors

Sponsor

Sen. Scott, Rick [R-FL]

FL • R

Cosponsors

  • Sen. Merkley, Jeff [D-OR]

    OR • D

    Sponsored 5/8/2025

Roll Call Votes

No roll call votes available for this bill.

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