§ 286oo. — Principles for International Monetary Fund lending.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 22USC286oo]
TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
CHAPTER 7--INTERNATIONAL BUREAUS, CONGRESSES, ETC.
SUBCHAPTER XV--INTERNATIONAL MONETARY FUND AND BANK FOR RECONSTRUCTION
AND DEVELOPMENT
Sec. 286oo. Principles for International Monetary Fund lending
It is the policy of the United States to work to implement reforms
in the International Monetary Fund (IMF) to achieve the following goals:
(1) Short-term balance of payments financing
Lending from the general resources of the Fund should
concentrate chiefly on short-term balance of payments financing.
(2) Limitations on medium-term financing
Use of medium-term lending from the general resources of the
Fund should be limited to a set of well-defined circumstances, such
as--
(A) when a member's balance of payments problems will be
protracted;
(B) such member has a strong structural reform program in
place; and
(C) the member has little or no access to private sources of
capital.
(3) Premium pricing
Premium pricing should be introduced for lending from the
general resources of the Fund, for greater than 200 percent of a
member's quota in the Fund, to discourage excessive use of Fund
lending and to encourage members to rely on private financing to the
maximum extent possible.
(4) Redressing misreporting of information
The Fund should have in place and apply systematically a strong
framework of safeguards and measures to respond to, correct, and
discourage cases of misreporting of information in the context of a
Fund program, including--
(A) suspending Fund disbursements and ensuring that Fund
lending is not resumed to members that engage in serious
misreporting of material information until such time as remedial
actions and sanctions, as appropriate, have been applied;
(B) ensuring that members make early repayments, where
appropriate, of Fund resources disbursed on the basis of
misreported information;
(C) making public cases of serious misreporting of material
information;
(D) requiring all members receiving new disbursements from
the Fund to undertake annually independent audits of central
bank financial statements and publish the resulting audits; and
(E) requiring all members seeking new loans from the Fund to
provide to the Fund detailed information regarding their
internal control procedures, financial reporting and audit
mechanisms and, in cases where there are questions about the
adequacy of these systems, undertaking an on-site review and
identifying needed remedies.
(July 31, 1945, ch. 339, Sec. 63, as added Pub. L. 106-429, Sec. 101(a)
[title VIII, Sec. 805], Nov. 6, 2000, 114 Stat. 1900, 1900A-67.)
Codification
Section 101(a) [title VIII, Sec. 805] of Pub. L. 106-429, which
directed amendment of the Bretton Woods Agreement Act by adding this
section, was executed by amending the Bretton Woods Agreements Act by
adding this section, to reflect the probable intent of Congress.
