§ 635r. — Establishment of tied aid credit program administered by Trade and Development Agency.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC635r]
TITLE 12--BANKS AND BANKING
CHAPTER 6A--EXPORT-IMPORT BANK OF THE UNITED STATES
SUBCHAPTER III--TIED AID CREDIT EXPORT SUBSIDIES
Sec. 635r. Establishment of tied aid credit program administered
by Trade and Development Agency
(a) Establishment and elements of program
The Director of the Trade and Development Agency shall carry out a
program of tied aid credits for United States exports. The program shall
be carried out in cooperation with the Export-Import Bank of the United
States and with private financial institutions or entities, as
appropriate. The program may include--
(1) the combined use of the credits, loans, or guarantees
offered by the Bank with concessional financing or grants made
available under subsection (d) of this section, by methods including
the blending of the financing of, or parallel financing by, the Bank
and the Trade and Development Agency; and
(2) the combination of concessional financing or grants made
available under subsection (d) of this section with financing
offered by private financial institutions or entities, by methods
including the blending of the financing of, or parallel financing
by, the Trade and Development Agency and private institutions or
entities.
(b) Combination of funds with financing by Export-Import Bank or private
commercial financing
These funds may be combined with financing by the Export-Import Bank
of the United States or private commercial financing in order to offer,
or arrange for, financing for the exportation of United States goods and
services which is substantially as concessional as foreign financing for
which there is reasonable proof that such foreign financing is being
offered to, or arranged for, a bona fide foreign competitor for a United
States export sale.
(c) Limitation on use of Agency funds; authorization for establishment
of fund
(1) Funds which are used to carry out a tied aid credit program
authorized by subsections (a) and (b) of this section shall be offered
only to finance United States exports which can reasonably be expected
to contribute to the advancement of the development objectives of the
importing country or countries, and shall be consistent with the
economic, security, and political criteria used to establish country
allocations of Economic Support Funds.
(2) The Director of the Trade and Development Agency is authorized
to establish a fund, as necessary, for carrying out a tied aid credit
financing program as described in this section.
(d) Use of Economic Support Funds
Funds available to carry out chapter 4 of part II of the Foreign
Assistance Act of 1961 [22 U.S.C. 2346 et seq.] may be used by the
Director of the Trade and Development Agency, with the concurrence of
the Secretary of State (as provided under section 531 of the Foreign
Assistance Act of 1961 [22 U.S.C. 2346]), for the purposes for which
funds made available under this subsection are authorized to be used in
section 635q of this title and this section. The Secretary of State
shall exercise his authority in cooperation with the Administrator of
the Agency for International Development. Funds made available pursuant
to this subsection may be used to finance a tied aid credit activity in
any country eligible for tied aid credits under this subchapter.
(Pub. L. 98-181, title VI, Sec. 645, Nov. 30, 1983, 97 Stat. 1264; Pub.
L. 100-418, title II, Sec. 2204(c)(1)(B), Aug. 23, 1988, 102 Stat. 1330;
Pub. L. 102-549, title II, Sec. 202(c), Oct. 28, 1992, 106 Stat. 3658.)
References in Text
The Foreign Assistance Act of 1961, referred to in subsec. (d), is
Pub. L. 87-195, Sept. 4, 1961, 75 Stat. 424, as amended. Chapter 4 of
part II of the Foreign Assistance Act of 1961 is classified generally to
part IV (Sec. 2346 et seq.) of subchapter II of chapter 32 of Title 22,
Foreign Relations and Intercourse. For complete classification of this
Act to the Code, see Short Title note set out under section 2151 of
Title 22 and Tables.
This subchapter, referred to in subsec. (d), was in the original
``this Act'' and was translated as meaning the Trade and Development
Enhancement Act of 1983, part C (Secs. 641-647) of title VI of Pub. L.
98-181, Nov. 30, 1983, 97 Stat. 1263, as amended, which enacted this
subchapter and section 1671g of Title 19, Customs Duties, and amended
sections 1671a and 1671b of Title 19. For complete classification of
this Act to the Code, see Short Title note below and Tables.
Amendments
1992--Pub. L. 102-549 substituted ``Development Agency'' for
``Development Program'' in section catchline and wherever appearing in
subsecs. (a), (c), and (d).
1988--Pub. L. 100-418, Sec. 2204(c)(1)(B)(i), in section catchline,
substituted reference to program administered by Trade and Development
Program for reference to program in Agency for International
Development.
Subsec. (a). Pub. L. 100-418, Sec. 2204(c)(1)(B)(ii)(I), substituted
``Director of the Trade and Development Program shall carry out'' for
``Administrator of the Agency for International Development shall
establish within the Agency''.
Subsec. (a)(1). Pub. L. 100-418, Sec. 2204(c)(1)(B)(ii)(II), (III),
substituted ``made available under subsection (d) of this section'' for
``offered by the Agency for International Development'' and ``Trade and
Development Program'' for ``Agency for International Development''.
Subsec. (a)(2). Pub. L. 100-418, Sec. 2204(c)(1)(B)(ii)(IV), (V),
substituted ``made available under subsection (d) of this section'' for
``offered by the Agency for International Development'' and ``Trade and
Development Program'' for ``Agency for International Development''.
Subsec. (c)(1). Pub. L. 100-418, Sec. 2204(c)(1)(B)(iii)(I), which
directed that par. (1) be amended by striking out ``of the Agency for
International Development'' after ``Funds'', was executed by striking
out ``of the agency for International Development'', to reflect the
probable intent of Congress.
Subsec. (c)(2). Pub. L. 100-418, Sec. 2204(c)(1)(B)(iii)(II),
substituted ``Director of the Trade and Development Program'' for
``Administrator of the Agency for International Development''.
Subsec. (d). Pub. L. 100-418, Sec. 2204(c)(1)(B)(iv), amended
subsec. (d) generally. Prior to amendment, subsec. (d) read as follows:
``The Administrator of the Agency for International Development may draw
on Economic Support Funds allocated for Commodity Import Programs to
finance a tied aid credit activity.''
Section Referred to in Other Sections
This section is referred to in sections 635q, 635s of this title.
