Title 22, Foreign Relations and IntercourseRelease 119-110

§9672 Additionality and Avoidance of Market Distortion

Title 22 › CHAPTER 103 — BETTER UTILIZATION OF INVESTMENTS LEADING TO DEVELOPMENT › SUBCHAPTER V — CONDITIONS, RESTRICTIONS, AND PROHIBITIONS › § 9672

Last updated Sep 22, 2026|Official source

Summary

Before the Corporation gives support for a project under subchapter II, it must give private companies a chance to join or help with the project. The Corporation must create rules and safeguards for how it gives support. The rules must make the Corporation’s help add to and encourage private support without competing with it. The rules must follow international best practices to avoid actions that distort markets or push out private lenders, and they must not seriously hurt U.S. jobs.

Full Legal Text

Title 22, §9672

Foreign Relations and Intercourse, Source: USLM XML via OLRC

(a)In general

Before the Corporation provides support for a project under subchapter II of this chapter, the Corporation shall ensure that private sector entities are afforded an opportunity to support the project.

(b)Safeguards, policies, and guidelines

The Corporation shall develop appropriate safeguards, policies, and guidelines to ensure that support provided by the Corporation under subchapter II of this chapter—

(1)supplements and encourages, but does not compete with, private sector support;

(2)operates according to internationally recognized best practices and standards with respect to ensuring the avoidance of market distorting government subsidies and the crowding out of private sector lending; and

(3)does not have a significant adverse impact on United States employment.

Reference

Citations & Metadata

Citation

22 U.S.C. § 9672

Title 22, Foreign Relations and Intercourse

Last Updated

Sep 22, 2026

Release point: 119-110