
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 22USC1942]

 
               TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
 
                   CHAPTER 24--MUTUAL SECURITY PROGRAM
 
                   SUBCHAPTER III--ECONOMIC ASSISTANCE
 
              Part D--Special Assistance and Other Programs
 
Sec. 1942. Development assistance in Latin America; 
        Congressional declaration of policy
        
    (a) It is the sense of the Congress that--
        (1) the historic, economic, political, and geographic 
    relationships among the American Republics are unique and of special 
    significance and, as appropriate, should be so recognized in future 
    legislation;
        (2) although governmental forms differ among the American 
    Republics, the peoples of all the Americas are dedicated to the 
    creation and maintenance of governments which will promote 
    individual freedom;
        (3) the interests of the American Republics are so interrelated 
    that sound social and economic progress in each is of importance to 
    all and that lack of it in any American Republic may have serious 
    repercussions in others;
        (4) for the peoples of Latin America to continue to progress 
    within the framework of our common heritage of democratic ideals, 
    there is a compelling need for the achievement of social and 
    economic advance adequate to meet the legitimate aspirations of the 
    individual citizens of the countries of Latin America for a better 
    way of life;
        (5) there is a need for a plan of hemispheric development, open 
    to all American Republics which cooperate in such plan, based upon a 
    strong production effort, the expansion of foreign trade, the 
    creation and maintenance of internal financial stability, the growth 
    of free economic and social institutions, and the development of 
    economic cooperation, including all possible steps to establish and 
    maintain equitable rates of exchange and to bring about the 
    progressive elimination of trade barriers;
        (6) mindful of the advantages which the United States has 
    enjoyed through the existence of a large domestic market with no 
    internal trade barriers, and believing that similar advantages can 
    accrue to all countries, it is the hope of the people of the United 
    States that all American Republics will jointly exert sustained 
    common efforts which will speedily achieve that economic cooperation 
    in the Western Hemisphere which is essential for lasting peace and 
    prosperity; and
        (7) accordingly, it is declared to be the policy of the people 
    of the United States to sustain and strengthen principles of 
    individual liberty, free institutions, private enterprise, and 
    genuine independence in the Western Hemisphere through cooperation 
    with all American Republics which participate in a joint development 
    program based upon self-help and mutual efforts.

    (b) In order to carry forward the above policy, the Congress 
hereby--
        (1) urges the President through our constitutional processes to 
    develop cooperative programs on a bilateral or multilateral basis 
    which will set forth specific plans of action designed to foster 
    economic progress and improvements in the welfare and level of 
    living of all the peoples of the American Republics on the basis of 
    joint aid, mutual effort, and common sacrifice;
        (2) proposes the development of workable procedures to expand 
    hemispheric trade and to moderate extreme price fluctuations in 
    commodities which are of exceptional importance in the economies of 
    the American Republics, and encourages the development of regional 
    economic cooperation among the American Republics;
        (3) supports the development of a more accurate and sympathetic 
    understanding among the peoples of the American Republics through a 
    greater interchange of persons, ideas, techniques, and educational, 
    scientific, and cultural achievements;
        (4) supports the strengthening of free democratic trade unions 
    to raise standards of living through improved management-labor 
    relations;
        (5) favors the progressive development of common standards with 
    respect to the rights and the responsibilities of private investment 
    which flows across national boundaries within the Western 
    Hemisphere;
        (6) supports the consolidation of the public institutions and 
    agencies of inter-American cooperation, insofar as feasible, within 
    the structure of the Organization of American States and the 
    strengthening of the personnel resources and authority of the 
    Organization in order that it may play a role of increasing 
    importance in all aspects of hemispheric cooperation; and
        (7) declares that it is prepared to give careful and sympathetic 
    consideration to programs which the President may develop for the 
    purpose of promoting these policies.

(Pub. L. 86-735, Sec. 1, Sept. 8, 1960, 74 Stat. 869.)

                          Codification

    This section was not enacted as part of the Mutual Security Act of 
1954 which comprises this chapter.


                               Short Title

    Pub. L. 88-205, pt. IV, Sec. 401(a), Dec. 16, 1963, 77 Stat. 390, 
amended Pub. L. 86-735 to provide: ``That this Act [enacting this 
section and sections 1943 to 1945 of this title and amending section 
1753a of this title] may be cited as the `Latin American Development 
Act'.''


            Revision of Social Progress Trust Fund Agreement

    Pub. L. 93-189, Sec. 36, Dec. 17, 1973, 87 Stat. 734, as amended by 
Pub. L. 97-113, title VII, Sec. 734(a)(9), Dec. 29, 1981, 95 Stat. 1560, 
provided that:
    ``(a) The President or his delegate shall seek, as soon as possible 
a revision of the Social Progress Trust Fund Agreement (dated June 19, 
1961) between the United States and the Inter-American Development Bank. 
Such revision should provide for the--
        ``(1) periodic transfer of unencumbered capital resources of 
    such trust fund, and of any future repayments or other accruals 
    otherwise payable to such trust fund, to the Inter-American 
    Foundation, to be administered by the Foundation for purposes of 
    part IV of the Foreign Assistance Act of 1969 (22 U.S.C. 290f and 
    following);
        ``(2) utilization of such unencumbered capital resources, future 
    repayments, and other accruals by the Inter-American Development 
    Bank for purposes of sections 1 and 2 of the Latin American 
    Development Act (22 U.S.C. 1942 and 1943) in such a way that the 
    resources received in the currencies of the more developed member 
    countries are utilized to the extent possible for the benefit of the 
    lesser developed member countries; or
        ``(3) both the transfer described in paragraph (1) and the 
    utilization described in paragraph (2).
    ``(b) Any transfer or utilization under this section shall be in 
such proportions as may be agreed to between the United States and the 
Inter-American Development Bank.
    ``(c) Any transfer under subsection (a)(1) shall be in the amounts, 
and in available currencies, determined in consultation with the Inter-
American Foundation, to be required for its program purposes.
    ``(d) The revision of the Social Progress Trust Fund Agreement 
pursuant to this section shall provide that the President or his 
delegate shall specify, from time to time, after consultation with the 
Inter-American Development Bank, the particular currencies to be used in 
making the transfer or utilization described in this section.
    ``(e) [Repealed. Pub. L. 97-113, title VII, Sec. 734(a)(9), Dec. 29, 
1981, 95 Stat. 1560].''
    [For amendment of provisions of section 36 of Pub. L. 93-189, set 
out above, see Pub. L. 106-113, div. B, Sec. 1000(a)(2) [title V, 
Sec. 586(h)(2), (j)], Nov. 29, 1999, 113 Stat. 1535, 1501A-120, set out 
in an Abolition of the Inter-American Foundation note under section 290f 
of this title.]

                  Section Referred to in Other Sections

    This section is referred to in sections 1943, 1945 of this title.
