Title 22, Foreign Relations and IntercourseRelease 119-102

§286y Promoting Conditions for Exchange Rate Stability

Title 22 › CHAPTER 7 — INTERNATIONAL BUREAUS, CONGRESSES, ETC. › SUBCHAPTER XV — INTERNATIONAL MONETARY FUND AND BANK FOR RECONSTRUCTION AND DEVELOPMENT › § 286y

Last updated Aug 21, 2026|Official source

Summary

The Secretary of the Treasury must work to make sure money provided under section 286e–1i supports growth and exchange-rate stability. The Secretary must, with the Secretary of State and the U.S. Trade Representative, start talks with other countries about problems caused by big, structural exchange-rate imbalances. The Secretary must also tell the United States Executive Director of the Fund to push the Fund to adopt policies that promote stable exchange rates and avoid manipulation. The Secretary should propose stronger article IV consultations so countries keeping rates artificially low or high move to market-based exchange rates. When deciding how to vote on giving more help to a Fund borrower, the United States Executive Director of the Fund must consider whether that borrower’s policies follow article IV of the Fund’s Articles of Agreement.

Full Legal Text

Title 22, §286y

Foreign Relations and Intercourse, Source: USLM XML via OLRC

(a)In order to help assure that the resources provided under section 286e–1i of this title are used to support pro-growth policies which will help establish the economic conditions necessary for more appropriate financial and exchange rate alignment and stability, it is the sense of Congress that the Secretary of the Treasury shall—

(1)in consultation with the Secretary of State and the United States Trade Representative, initiate discussions with other countries regarding the economic dislocations which result from structural exchange rate imbalances; and

(2)instruct the United States Executive Director of the Fund to work for adoption of policies in the Fund, both within the framework of article IV (of the Articles of Agreement of the Fund) consultations and with respect to the conditions associated with Fund-supported balance of payments adjustments programs, which promote conditions contributing to the stability of exchange rates and avoid the manipulation of exchange rates between major currencies. Among other initiatives, the Secretary of the Treasury shall propose strengthening the article IV consultation procedures of the Fund to attempt to ensure that countries which are artificially maintaining undervalued or overvalued rates of exchange agree to adopt market determined exchange rates.

(b)In determining his vote on extensions of assistance to any Fund borrower, the United States Executive Director of the Fund shall take into account whether such borrower’s policies are consistent with the requirements of article IV of the Articles of Agreement of the Fund.

Reference

Citations & Metadata

Citation

22 U.S.C. § 286y

Title 22, Foreign Relations and Intercourse

Last Updated

Aug 21, 2026

Release point: 119-102