§1727d Local Currency Accounts

Summary

Require that revenue from selling agricultural commodities under section 1727c(2) be placed, when the Administrator thinks it is appropriate, into a separate account in the recipient country (it can earn interest). That money must be spent for the country’s benefit under local currency agreements between the recipient government and the Administrator. The Administrator can choose not to make the separate account if the funds are programmed for the economic development purposes listed in section 1727e(a) and the country agrees to program an equal amount. The sale proceeds belong either to the recipient country or to the United States as the agreement states. Those proceeds must be jointly planned by the Administrator and the recipient government, used for the country’s benefit, and treated as part of the Agency for International Development’s overall development strategy.