22 U.S.C. § 286ii: Limitations on Bank policy…

Summary

The Secretary of the Treasury must push the World Bank (International Bank for Reconstruction and Development) to limit policy-based loans. For any bank fiscal year after June 30, 1989, policy-based loans should not be more than 25% of all loans the bank makes that year (except for loans covered by section 286hh(b)). For any single country, policy-based loans over any three consecutive fiscal years should not exceed 50% of all loans to that country in those years (ignoring years when no policy loan was made). The Secretary must tell the U.S. Executive Director at the bank to propose and press for a board resolution making these limits official for fiscal years 1990 through 1995. Until the board adopts that resolution, the Secretary, working with the Secretary of State, must talk with other member governments to win their agreement and help.

Title 22, §286ii

Foreign Relations and Intercourse, Source: USLM XML via OLRC

The Secretary of the Treasury shall—

(1)take all necessary steps to encourage the International Bank for Reconstruction and Development to limit—

(A)the aggregate value of the policy based loans made by such bank (other than for the purpose described in section 286hh(b) of this title) in any fiscal year of such bank beginning after June 30, 1989, to 25 percent of the aggregate value of all loans made by such bank in such fiscal year; and

(B)the aggregate value of the policy based loans made by such bank to the government of a particular country (other than for the purpose described in section 286hh(b) of this title) in any fiscal year of such bank beginning after June 30, 1989, and occurring during any period of 3 consecutive fiscal years of such bank (determined after disregarding any such fiscal year in which such bank did not make a policy based loan to such government), to 50 percent of the aggregate value of all loans made by such bank to such government during such 3-year period;

(2)instruct the United States Executive Director of such bank to propose and actively seek the adoption by the board of Executive Directors of such bank of a resolution establishing as official bank operating policy for fiscal years 1990 through 1995 of such bank the limits specified in paragraph (1); and

(3)until the resolution described in paragraph (2) is adopted, undertake, in consultation with the Secretary of State, discussions with other member country governments to secure the consent and cooperation of such governments with respect to the adoption of the limits specified in paragraph (1).

Notes & Related Subsidiaries

Editorial Notes

Codification Section is based on section 4 of H.R. 4645, One Hundredth Congress, as reported Sept. 28, 1988, and enacted into law by Pub. L. 100–461. Section was not enacted as part of act July 31, 1945, ch. 339, 59 Stat. 512, known as the Bretton Woods Agreements Act, which comprises this subchapter.

§286ii Limitations on Bank Policy Based Lending; Actions Required to Be Taken to Oppose Excessive Policy Based Lending by Bank

Summary

Title 22, §286ii

Notes & Related Subsidiaries

Editorial Notes

Citations & Metadata