§5411 Multilateral support for structural adjustment in Poland and Hungary

Summary

If Poland and Hungary keep moving toward democracy and carry out big economic reforms, the United States must lead efforts to get international lenders, like the IMF and World Bank, to give timely money and support. The Treasury Secretary must tell the U.S. Executive Director at the World Bank to push for quick approval and release of a structural adjustment loan for Poland in time to help reforms scheduled for early 1990, including ending certain subsidies and wage indexation. If Poland keeps moving toward democracy and doing reforms, the U.S. must work with OECD countries and financial institutions to help Poland fight hyperinflation, fix structural problems, handle urgent social needs, and meet balance-of-payments needs using tools such as the Exchange Stabilization Fund (31 U.S.C. 5302) and authority in section 5412(c). The U.S. must urge the Paris Club and other creditors to offer generous, early debt rescheduling and speed talks with private creditors consistent with the Treasury’s March 10, 1989 debt policy. The U.S. must also provide agricultural aid under section 5413.