22 U.S. Code § 2151v - Aid to relatively least developed countries
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(a) Characterization of least developed countries
Relatively least developed countries (as determined on the basis of criteria comparable to those used for the United Nations General Assembly list of “least developed countries”) are characterized by extreme poverty, very limited infrastructure, and limited administrative capacity to implement basic human needs growth strategies. In such countries special measures may be necessary to insure the full effectiveness of assistance furnished under subchapter I of this chapter.
(b) Assistance on grant basis
For the purpose of promoting economic growth in these countries, the President is authorized and encouraged to make assistance under this part available on a grant basis to the maximum extent that is consistent with the attainment of United States development objectives.
(c) Waiver of principal and interest on prior liability
(1) The Congress recognizes that the relatively least developed countries have virtually no access to private international capital markets. Insofar as possible, prior assistance terms should be consistent with present grant assistance terms for relatively least developed countries. Therefore, notwithstanding section 2370 (r) of this title and section 321 of the International Development and Food Assistance Act of 1975 but subject to paragraph (2) of this subsection, the President on a case-by-case basis, taking into account the needs of the country for financial resources and the commitment of the country to the development objectives set forth in sections 2151 and 2151–1 of this title—
(A) may permit a relatively least developed country to place amounts, which would otherwise be paid to the United States as payments on principal or interest on liability incurred by that country under subchapter I of this chapter (or any predecessor legislation) into local currency accounts (in equivalent amounts of local currencies as determined by the official exchange rate for United States dollars) for use by the relatively least developed country, with the concurrence of the Administrator of the agency primarily responsible for administering subchapter I of this chapter, for activities which are consistent with section 2151–1 of this title; and
(B) may waive interest payments on liability incurred by a relatively least developed country under subchapter I of this chapter (or any predecessor legislation) if the President determines that that country would be unable to use for development purposes the equivalent amounts of local currencies which could be made available under subparagraph (A).
(2) The aggregate amount of interest waived and interest and principal paid into local currency accounts under this subsection in any fiscal year may not exceed the amount approved for such purpose in an Act appropriating funds to carry out this part for that fiscal year, which amount may not exceed the amount authorized to be so approved by the annual authorizing legislation for development assistance programs. Amounts due and payable during fiscal year 1981 to the United States from relatively least developed countries on loans made under this subchapter (or any predecessor legislation) are authorized to be approved for use, in accordance with the provisions of paragraph (1) of this subsection, in an amount not to exceed $10,845,000.
(d) Waiver of requirement of contribution
Source(Pub. L. 87–195, pt. I, § 124, as added Pub. L. 95–424, title I, § 112(a)(1),Oct. 6, 1978, 92 Stat. 948; amended Pub. L. 96–53, title I, § 109,Aug. 14, 1979, 93 Stat. 363; Pub. L. 96–533, title III, § 308,Oct. 16, 1980, 94 Stat. 3147.)
References in Text
Section 321 of the International Development and Food Assistance Act of 1975, referred to in subsec. (c)(1), is section 321 ofPub. L. 94–161, Dec. 20, 1975, 89 Stat. 868, which is set out as a note under section 2220a of this title.
References to Subchapter I Deemed To Include Certain Parts of Subchapter II
References to subchapter I of this chapter are deemed to include parts IV (§ 2346 et seq.), VI (§ 2348 et seq.), and VIII (§ 2349aa et seq.) of subchapter II of this chapter, and references to subchapter II are deemed to exclude such parts. See section 202(b) ofPub. L. 92–226, set out as a note under section 2346 of this title, and sections 2348c and 2349aa–5 of this title.
1980—Subsec. (c)(2). Pub. L. 96–533substituted “fiscal year 1981” and “$10,845,000” for “fiscal year 1980” and “$18,800,000”, respectively.
1979—Subsec. (c)(2). Pub. L. 96–53inserted provisions respecting use of funds due and payable during fiscal year 1980 to the United States.
Effective Date of 1979 Amendment
Amendment by Pub. L. 96–53effective Oct. 1, 1979, see section 512(a) ofPub. L. 96–53, set out as a note under section 2151 of this title.
Pub. L. 95–424, title I, § 112(a)(2),Oct. 6, 1978, 92 Stat. 949, provided that: “The authority granted by section 124(c) of the Foreign Assistance Act of 1961 [subsec. (c) of this section] shall not become effective until October 1, 1979.”
Section effective Oct. 1, 1978, see section 605 ofPub. L. 95–424, set out as an Effective Date of 1978 Amendment note under section 2151 of this title.
Delegation of Functions
For delegation of functions of President under this section, see Ex. Ord. No. 12163, Sept. 29, 1979, 44 F.R. 56673, as amended, set out as a note under section 2381 of this title.
Presidential Authority During Fiscal Years 1990 and 1991
Pub. L. 100–461, title V, § 572,Oct. 1, 1988, 102 Stat. 2268–44, provided that during fiscal years 1990 and 1991, President could use authority of paragraphs (A) and (B) of subsection (c)(1) of this section with respect to such aggregate amounts of principal and interest payable during each of those fiscal years as President determined, or at any time after Sept. 30, 1989, President could, if he determined it was in national interest to do so, use authority of those paragraphs with respect to such aggregate amounts of outstanding principal and interest payable at any time after that date, and that such authority could be exercised with respect to specified countries, and be exercised notwithstanding subsection (c)(2) of this section.