
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: 22USC2395a]

 
               TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
 
                     CHAPTER 32--FOREIGN ASSISTANCE
 
          SUBCHAPTER III--GENERAL AND ADMINISTRATIVE PROVISIONS
 
                   Part II--Administrative Provisions
 
Sec. 2395a. International agreements concerning debt relief; 
        transmittal to Congressional committees
        
    (1) Repealed. Pub. L. 97-113, title VII, Sec. 734(a)(5), Dec. 29, 
1981, 95 Stat. 1560.
    (2) The Secretary of State shall transmit to such committees a copy 
of the text of any agreement with any foreign government which would 
result in any such debt relief no less than thirty days prior to its 
entry into force, together with a detailed justification of the interest 
of the United States in the proposed debt relief. The requirements of 
this paragraph shall not apply with respect to an agreement if a 
statutory requirement exists that the amount of the debt relief provided 
by the agreement may not exceed the amount approved for such purposes in 
advance in an appropriation Act.

(Pub. L. 95-424, title VI, Sec. 603(a), Oct. 6, 1978, 92 Stat. 960; H. 
Res. 89, Feb. 5, 1979; Pub. L. 97-113, title VII, Sec. 734(a)(5), Dec. 
29, 1981, 95 Stat. 1560.)

                       References in Text

    ``Such committees'' and ``such debt relief'', referred to in par. 
(2), mean the Committee on Foreign Relations of the Senate, the 
Committee on Foreign Affairs of the House of Representatives, and the 
Committee on Appropriations of the each House of Congress named as the 
ongoing recipients of any information respecting debt relief 
negotiations with foreign governments regarding any debts owing to the 
United States in par. (1) provisions prior to repeal thereof by section 
734(a)(1) of Pub. L. 97-113.

                          Codification

    Section enacted as part of the International Development and Food 
Assistance Act of 1978, and not as part of the Foreign Assistance Act of 
1961 which comprises this chapter.


                               Amendments

    1981--Par. (1). Pub. L. 97-113 struck out par. (1) which required 
Secretary of State keep the Committee on Foreign Relations of the 
Senate, the Committee on Foreign Affairs of the House of 
Representatives, and the Committee on Appropriations of each House of 
Congress informed respecting any debt relief negotiations with foreign 
governments regarding any debts owing to the United States.

                         Change of Name

    Committee on International Relations of House of Representatives 
changed to Committee on Foreign Affairs, on Feb. 5, 1979, by House 
Resolution No. 89, 96th Congress.


                             Effective Date

    Section effective Oct. 1, 1978, see section 605 of Pub. L. 95-424, 
set out as an Effective Date of 1978 Amendment note under section 2151 
of this title.


                Actions To Provide Bilateral Debt Relief

    Pub. L. 106-113, div. B, Sec. 1000(a)(5) [title V, Sec. 501], Nov. 
29, 1999, 113 Stat. 1536, 1501A-311, provided that:
    ``(a) Cancellation of Debt.--Subject to the availability of amounts 
provided in advance in appropriations Acts, the President shall cancel 
all amounts owed to the United States (or any agency of the United 
States) by any country eligible for debt reduction under this section, 
as a result of loans made or credits extended prior to June 20, 1999, 
under any of the provisions of law specified in subsection (b).
    ``(b) Provisions of Law.--The provisions of law referred to in 
subsection (a) are the following:
        ``(1) Sections 221 and 222 of the Foreign Assistance Act [of 
    1961] [22 U.S.C. 2181, 2182].
        ``(2) The Arms Export Control Act (22 U.S.C. 2751 et seq.).
        ``(3) Section 5(f) of the Commodity Credit Corporation Charter 
    Act [15 U.S.C. 714c(f)], section 201 of the Agricultural Trade Act 
    of 1978 (7 U.S.C. 5621), or section 202 of such Act (7 U.S.C. 5622), 
    or predecessor provisions under the Food for Peace Act of 1966.
        ``(4) Title I of the Agricultural Trade Development and 
    Assistance Act of 1954 (7 U.S.C. 1701 et seq.).
    ``(c) Other Debt Reduction Authorities.--The authority provided in 
this section is in addition to any other debt relief authority and does 
not in any way limit such authority.
    ``(d) Eligible Countries.--A country that is performing 
satisfactorily under an economic reform program shall be eligible for 
cancellation of debt under this section if--
        ``(1) the country, as of December 31, 2000, is eligible to 
    borrow from the International Development Association;
        ``(2) the country, as of December 31, 2000, is not eligible to 
    borrow from the International Bank for Reconstruction and 
    Development; and
        ``(3)(A) the country has outstanding public and publicly 
    guaranteed debt, the net present value of which on December 31, 
    1996, was at least 150 percent of the average annual value of the 
    exports of the country for the period 1994 through 1996; or
        ``(B)(i) the country has outstanding public and publicly 
    guaranteed debt, the net present value of which, as of the date the 
    President determines that the country is eligible for debt relief 
    under this section, is at least 150 percent of the annual value of 
    the exports of the country; or
        ``(ii) the country has outstanding public and publicly 
    guaranteed debt, the net present value of which, as of the date the 
    President determines that the country is eligible for debt relief 
    under this section, is at least 250 percent of the annual fiscal 
    revenues of the country, and has minimum ratios of exports to Gross 
    Domestic Product of 30 percent, and of fiscal revenues to Gross 
    Domestic Product of 15 percent.
    ``(e) Priority.--In carrying out subsection (a), the President 
should seek to leverage scarce foreign assistance and give priority to 
heavily indebted poor countries with demonstrated need and the capacity 
to use such relief effectively.
    ``(f) Exceptions.--A country shall not be eligible for cancellation 
of debt under this section if the government of the country--
        ``(1) has an excessive level of military expenditures;
        ``(2) has repeatedly provided support for acts of international 
    terrorism, as determined by the Secretary of State under section 
    6(j)(1) of the Export Administration Act of 1979 (50 U.S.C. App. 
    2405(j)(1)) or section 620A(a) of the Foreign Assistance Act of 1961 
    (22 U.S.C. 2371(a));
        ``(3) is failing to cooperate on international narcotics control 
    matters; or
        ``(4) (including its military or other security forces), engages 
    in a consistent pattern of gross violations of internationally 
    recognized human rights.
    ``(g) Additional Requirement.--A country which is otherwise eligible 
to receive cancellation of debt under this section may receive such 
cancellation only if the country has committed, in connection with a 
social and economic reform program--
        ``(1) to enable, facilitate, or encourage the implementation of 
    policy changes and institutional reforms under economic reform 
    programs, in a manner that ensures that such policy changes and 
    institutional reforms are designed and adopted through transparent 
    and participatory processes;
        ``(2) to adopt an integrated development strategy of the type 
    described in section 1624(a) of the International Financial 
    Institutions Act [22 U.S.C. 262p-7], to support poverty reduction 
    through economic growth, that includes monitorable poverty reduction 
    goals;
        ``(3) to take steps so that the financial benefits of debt 
    relief are applied to programs to combat poverty (in particular 
    through concrete measures to improve economic infrastructure, basic 
    services in education, nutrition, and health, particularly treatment 
    and prevention of the leading causes of mortality) and to redress 
    environmental degradation;
        ``(4) to take steps to strengthen and expand the private sector, 
    encourage increased trade and investment, support the development of 
    free markets, and promote broad-scale economic growth;
        ``(5) to implement transparent policy making and budget 
    procedures, good governance, and effective anticorruption measures;
        ``(6) to broaden public participation and popular understanding 
    of the principles and goals of poverty reduction, particularly 
    through economic growth, and good governance; and
        ``(7) to promote the participation of citizens and 
    nongovernmental organizations in the economic policy choices of the 
    government.
    ``(h) Certain Prohibitions Inapplicable.--Except as the President 
may otherwise determine for reasons of national security, a cancellation 
of debt under this section shall not be considered to be assistance for 
purposes of any provision of law limiting assistance to a country. The 
authority to provide for cancellation of debt under this section may be 
exercised notwithstanding section 620(r) of the Foreign Assistance Act 
of 1961 [22 U.S.C. 2370(r)], or any similar provision of law.
    ``(i) Authorization of Appropriations.--For the cost (as defined in 
section 502(5) of the Federal Credit Reform Act of 1990 [2 U.S.C. 
661a(5)]) of the cancellation of any debt under this section, there are 
authorized to be appropriated to the President such sums as may be 
necessary for each of the fiscal years 2000 through 2004, which shall 
remain available until expended.
    ``(j) Annual Reports to the Congress.--Not later than December 31 of 
each year, the President shall prepare and transmit to the Committees on 
Banking and Financial Services [now Committee on Financial Services], 
Appropriations, and International Relations of the House of 
Representatives, and the Committees on Banking, Housing, and Urban 
Affairs, Foreign Relations, and Appropriations of the Senate a report, 
which shall be made available to the public, concerning the cancellation 
of debt under subsection (a), and a detailed description of debt relief 
provided by the United States as a member of the Paris Club of Official 
Creditors for the prior fiscal year.''


           Notification to Congress on Debt Relief Agreements

    Pub. L. 102-391, title V, Sec. 548, Oct. 6, 1992, 106 Stat. 1673, 
provided that: ``The Secretary of State shall transmit to the 
Appropriations Committees of the Congress and to such other Committees 
as appropriate, a copy of the text of any agreement with any foreign 
government which would result in any debt relief no less than thirty 
days prior to its entry into force, other than one entered into pursuant 
to this Act, together with a detailed justification of the interest of 
the United States in the proposed debt relief: Provided, That the term 
`debt relief' shall include any and all debt prepayment, debt 
rescheduling, and debt restructuring proposals and agreements: Provided 
further, That the Secretary of State and the Secretary of the Treasury 
should in every feasible instance notify the Appropriations Committees 
of the Congress and such other Committees as appropriate not less than 
15 days prior to any formal multilateral or bilateral negotiation for 
official debt restructuring, rescheduling, or relief: Provided further, 
That the Secretary of State or the Secretary of the Treasury, as 
appropriate, shall report not later than February 1 of each year a 
consolidated statement of the budgetary implications of all debt-related 
agreements entered into force during the preceding fiscal year.''
    Similar provisions were contained in the following prior 
appropriation acts:
    Pub. L. 101-513, title V, Sec. 550, Nov. 5, 1990, 104 Stat. 2020.
    Pub. L. 101-167, title V, Sec. 555, Nov. 21, 1989, 103 Stat. 1237.
    Pub. L. 100-461, title V, Sec. 557, Oct. 1, 1988, 102 Stat. 2268-38.
    Pub. L. 100-202, Sec. 101(e) [title V, Sec. 563], Dec. 22, 1987, 101 
Stat. 1329-131, 1329-172.
