Title 22 — Foreign Relations and IntercourseRelease 119-73

§283z–7 Limitations on policy based lending

Title 22 › Chapter CHAPTER 7— - INTERNATIONAL BUREAUS, CONGRESSES, ETC. › Subchapter SUBCHAPTER XII— - INTER-AMERICAN DEVELOPMENT BANK › § 283z–7

Last updated Apr 6, 2026|Official source

Summary

Secretary must push the Bank to limit policy loans during the 4 years starting January 1, 1990: overall to no more than 25% of all Bank lending and to no more than 50% of loans to any one government, except loans to economically less developed or limited-market countries to buy or reduce sovereign debt. Secretary must direct U.S. Executive Director to explore using funds under section 283z–5(a)(2) for debt reduction and report to Congress within the 12-month period beginning December 19, 1989.

Full Legal Text

Title 22, §283z–7

Foreign Relations and Intercourse — Source: USLM XML via OLRC

The Secretary of the Treasury shall—

(1)take all necessary steps to encourage the Bank to limit the aggregate value of the policy based loans made by the Bank (other than policy based loans made to any country which the Bank has determined is economically less developed or has a limited market economy, which are used to purchase sovereign debt of such country or to reduce the debt or debt service burden of such country) during the 4-year period beginning on January 1, 1990, to 25 percent of the aggregate value of all loans made by the Bank during such 4-year period;

(2)take all necessary steps to encourage the Bank to limit the aggregate value of the policy based loans made by the Bank to the government of a particular country during such 4-year period, to 50 percent of the aggregate value of all loans made by the Bank to such government during such 4-year period;

(3)instruct the United States Executive Director of the Bank to explore with the other Executive Directors of the Bank ways to use a portion of the resources made available to the Bank by reason of the subscription and contribution described in section 283z–5(a)(2) of this title for debt reduction and debt service reduction for countries described in paragraph (1); and

(4)before the end of the 12-month period beginning on December 19, 1989, report to the Congress on the matters described in paragraph (3).

Reference

Citations & Metadata

Citation

22 U.S.C. § 283z–7

Title 22 — Foreign Relations and Intercourse

Last Updated

Apr 6, 2026

Release point: 119-73