22 U.S.C. § 262p — Impact adjustment lending programs

Page 64 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 262p translated as meaning the date of enactment of Pub. L. 109–102, which enacted this section, to reflect the prob- able intent of Congress. Statutory Notes and Related Subsidiaries DEFINITIONS The definitions in section 262p–5 of this title apply to this section. § 262p. Impact adjustment lending programs (a) Establishment of guidelines; impact state- ments The Secretary of the Treasury shall instruct the United States Executive Director of the International Bank for Reconstruction and De- velopment and the International Development Association to initiate discussions with other directors of the respective institutions and to propose that— (1) guidelines be established which reflect clear and tangible concern for the impact ad- justment lending programs, and the activities in support of which such lending is made, have and will have on human welfare; and (2) impact statements be required which as- sess the effect an adjustment lending program, and the activities in support of which such lending is made, will have on the poor of the country to which such lending is made. (b) Proposed contents of impact statements In the discussions referred to in subsection (a) with respect to the impact statement described in paragraph (2) of such subsection, the United States Executive Director should propose that such impact statements— (1) specify what the projected effects of the adjustment loan will be on the poor; (2) explain what procedures have been or will be taken to strengthen the in-country capac- ity of the borrower to— (A) monitor nutrition levels in a timely manner; and (B) measure the impact an adjustment loan, and the policies and activities in sup- port of which such loan is made, has on the living standards of the country’s population, especially the poorest; and (3) indicate specifically what steps the bor- rower will take to— (A) mitigate any adverse effect the policies and activities in support of which an adjust- ment loan is made are expected to have on the living standards of the poor (including the use of the proceeds of any adjustment loan, project aid, or other compensatory measure to mitigate such effect); and (B) maximize the extent of the participa- tion of the poor in the economic benefits re- sulting from an adjustment loan. (c) Report to member governments by United States Executive Director of International Bank for Reconstruction and Development and by International Development Associa- tion The Secretary of the Treasury shall instruct the United States Executive Director of the International Bank for Reconstruction and De- velopment and the International Development Association to request the management of the respective institutions to prepare a report for distribution to member governments no later than June 30, 1988, that— (1) assesses the impact on the poor of struc- tural adjustment in countries to which struc- tural adjustment lending has been made; and (2) specifies the steps that have been or will be taken by the respective institution to— (A) mitigate any adverse effect of adjust- ment lending, and the activities in support of which such lending is made, on the living standards of the poor in the countries to which such loans are made; and (B) ensure the participation of the poor in the economic benefits resulting from adjust- ment lending and the activities in support of which such lending is made. (d) ‘‘Adjustment lending’’ defined For purposes of this section and section 262m–1 of this title, the term ‘‘adjustment lending’’ means nonproject lending in support of struc- tural macroeconomic reforms or sectoral eco- nomic reform. (Pub. L. 95–118, title XVI, § 1601, as added Pub. L. 100–202, § 101(e) [title I], Dec. 22, 1987, 101 Stat. 1329–131, 1329–134.) Editorial Notes CODIFICATION Section 1601 of Pub. L. 95–118 is based on section 701 of title VII of H.R. 3750, One Hundredth Congress, as in- troduced Dec. 11, 1987, and enacted into law by Pub. L. 100–202. Statutory Notes and Related Subsidiaries DEFINITIONS The definitions in section 262p–5 of this title apply to this section. § 262p–1. Grassroots Collaboration Program (a) Proposal for establishment; private involve- ment; projects or policies for alleviation of poverty and promotion of environmental protection The Secretary of the Treasury shall instruct the United States Executive Director of the International Bank for Reconstruction and De- velopment and the International Development Association to initiate discussions with other directors of such institutions and to propose the establishment of a Grassroots Collaboration Program to develop improved mechanisms for involving, directly or indirectly, nongovern- mental organizations in the design, implementa- tion, and monitoring of development projects fi- nanced by, or development policies established by, such bank or association in order to allevi- ate poverty and promote environmental protec- tion, including— (1) encouraging nongovernmental organiza- tions in borrowing countries to participate in all stages of project planning and country strategy activities to— (A) minimize any adverse impact of such projects or activities on the poor people of such country; (B) minimize any adverse impact of such projects or activities on the environment of such country; and