22 U.S.C. § 262p–16 — United States policy on World Bank Group and Asian Development Bank assistance to the People’s Republic of China
submitted 4 years ago by Pub. L. 95-118 to r/title-22-FOREIGN-RELATIONS-AND-INTERCOURSE · 332 words · no verdicts yet
This law requires the U.S. to vote against World Bank Group and Asian Development Bank loans to China. The only exceptions are if Treasury certifies China meets certain debt-transparency standards, or that the loan serves U.S. national interest.
(a) In general
The Treasury Secretary must instruct the U.S. representative at each World Bank Group institution and at the Asian Development Bank to use America's vote to oppose any loan, financial help, or technical assistance to the People's Republic of China. This vote-against rule applies unless the Treasury Secretary certifies to Congress one of two things:
(1) That China's government, and any China-government-owned or controlled lender, has shown commitment to: (A) the rules of the Paris Club or similar coordinated debt-relief efforts the U.S. takes part in, including debt transparency and fair sharing of the burden among all lenders; (B) publicly disclosing the terms it uses to lend to other governments, no matter the form of that lending; (C) not enforcing any agreement terms that would block itself or borrowers from fully following through on (A) or (B); and (D) not signing any new agreements with terms that would block itself or borrowers from fully following through on (A) or (B). Or,
(2) That the loan or assistance serves the national interest of the United States, as explained in detail by the Secretary along with the certification.
(b) Definitions
(1) "Appropriate congressional committees" means the House Financial Services Committee and the Senate Foreign Relations Committee.
(2) "World Bank Group" means the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, and the Multilateral Investment Guarantee Agency.
The Secretary of the Treasury shall instruct the United States Executive Director at each international financial institution of the World Bank Group and at the Asian Development Bank to use the voice and vote of the United States at the respective institution to vote against the provision of any loan, extension of financial assistance, or technical assistance to the People’s Republic of China unless the Secretary of the Treasury has certified to the appropriate congressional committees that—
the Government of the People’s Republic of China and any lender owned or controlled by the Government of the People’s Republic of China have demonstrated a commitment—
to the rules and principles of the Paris Club, or of other similar coordinated multilateral initiatives on debt relief and debt restructuring in which the United States participates, including with respect to debt transparency and appropriate burden-sharing among all creditors;
to the practice of presumptive public disclosure of the terms and conditions on which they extend credit to other governments (without regard to the form of any such extension of credit);
not to enforce any agreement terms that may impair their own or the borrowers’ capacity fully to implement any commitment described in subparagraph (A) or (B); and
not to enter into any agreement containing terms that may impair their own or the borrowers’ capacity fully to implement any commitment described in subparagraph (A) or (B); or
the loan or assistance is important to the national interest of the United States, as described in a detailed explanation by the Secretary to accompany the certification.
In this section:
The term “appropriate congressional committees” means the Committee on Financial Services of the House of Representatives and the Committee on Foreign Relations of the Senate.
The term “World Bank Group” means the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, and the Multilateral Investment Guarantee Agency.
Source credit: (Pub. L. 95–118, title XVI, § 1632, as added Pub. L. 117–263, div. E, title LVII, § 5701, Dec. 23, 2022, 136 Stat. 3407.)
- 2022Enacted · Pub. L. 95-118 · 136 Stat. 3407
A history note hasn’t been published yet. The record shows enactment by Pub. L. 95-118 on 2022-12-23.
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