§ 262p-4i. — Multilateral development banks and debtfornature exchanges.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 22USC262p-4i]
TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
CHAPTER 7--INTERNATIONAL BUREAUS, CONGRESSES, ETC.
Sec. 262p-4i. Multilateral development banks and debt-for-nature
exchanges
(a) Directions to United States Executive Directors
The Secretary of the Treasury shall direct the United States
Executive Directors of the multilateral development banks to--
(1) negotiate for the creation in each respective multilateral
development bank, except where the Secretary of the Treasury
determines that the provisions of this subsection have previously
been met, of a department that will--
(A) be responsible for environmental protection and resource
conservation, including support for restoration, protection, and
sustainable use policies;
(B) develop and monitor strict environmental guidelines and
policies to govern lending activities; and
(C) actively promote, coordinate and facilitate debt-for-
nature exchanges and the restoration, protection, and
sustainable use of tropical forests, renewable natural
resources, endangered ecosystems and species in debtor
countries;
(2) support and encourage the approval of multilateral
development bank loans which include provisions that foster and
facilitate the implementation of a sound and effective environmental
policy in the borrowing country;
(3) encourage the banks to assist such countries in reducing and
restructuring private debt through the use of a portion of a project
or policy based environmental loan in ways which will enable such
countries to buy back private debt at a rate of discount available
for such debt, at auction in the secondary market or through
negotiations with creditors holding such debt;
(4) seek to ensure that staff of each bank facilitate debtor
countries' collaboration with local and international non-
governmental or private organizations in implementing debt-for-
nature exchanges; and
(5) seek to ensure that each bank adopts policy guidelines which
to the maximum extent possible provide for--
(A) the inclusion of sustainable use policies in loan
agreements negotiated with borrower members;
(B) the adoption of economic programs to foster sound
environmental policies; and
(C) the provision of debtor countries' policy changes or
significant increases in financial resources for use in at least
1 of the following--
(i) restoration, protection, or sustainable use of the
world's oceans and atmosphere;
(ii) restoration, protection, or sustainable use of
diverse animal and plant species;
(iii) establishment, restoration, protection, and
maintenance of parks and reserves;
(iv) development and implementation of sound systems of
natural resource management;
(v) development and support of local conservation
programs;
(vi) training programs to strengthen conservation
institutions and increase scientific, technical, and
managerial capabilities of individuals and organizations
involved in conservation efforts;
(vii) efforts to generate knowledge, increase
understanding, and enhance public commitment to
conservation;
(viii) design and implementation of sound programs of
land and ecosystem management; and
(ix) promotion of regenerative approaches in farming,
forestry, and watershed management.
(b) Negotiation of guidelines for restoration, protection, or
sustainable use policies
The United States Executive Directors of the multilateral
development banks shall seek to negotiate with the other executive
directors to provide guidelines for restoration, protection, or
sustainable use policies. Pending the outcome of such negotiations, the
United States Executive Directors shall consider restoration,
protection, or sustainable use policies to be those which--
(1) support development that maintains and restores the
renewable natural resource base so that present and future needs of
debtor countries' populations can be met, while not impairing
critical ecosystems and not exacerbating global environmental
problems;
(2) are environmentally sustainable in that resources are
conserved and managed in an effort to remove pressure on the natural
resource base and to make judicious use of the land so as to sustain
growth and the availability of all natural resources;
(3) support development that does not exceed the limits imposed
by local hydrological cycles, soil, climate, vegetation, and human
cultural practices;
(4) promote the maintenance and restoration of soils,
vegetation, hydrological cycles, wildlife, critical ecosystems
(tropical forests, wetlands, and coastal marine resources),
biological diversity and other natural resources essential to
economic growth and human well-being and shall, when using natural
resources, be implemented to minimize the depletion of such natural
resources; and
(5) take steps, wherever feasible, to prevent pollution that
threatens human health and important biotic systems and to achieve
patterns of energy consumption that meet human needs and rely on
renewable resources.
(c) Inclusion of certain items in guidelines
The United States Executive Directors shall endeavor to include the
provisions of paragraphs (1) through (5) of subsection (b) of this
section in the guidelines developed through the negotiations specified
in this section.
(Pub. L. 95-118, title XVI, Sec. 1614, as added Pub. L. 101-240, title
V, Sec. 512, Dec. 19, 1989, 103 Stat. 2508.)
Prior Provisions
A prior section 1614 of Pub. L. 95-118 was renumbered section 1622
and is classified to section 262p-5 of this title.
Definitions
The definitions in section 262p-5 of this title apply to this
section.
