Laws: Cases and Codes : U.S. Code : Title 22 : Section 262o-1


   
U.S. Code as of: 01/19/04
Section 262o-1. Military spending by recipient countries; military involvement in economies of recipient countries

    (a) Consideration of commitment to achieving certain goals
      (1) (!1) In general

        The Secretary of the Treasury shall instruct the United States
      Executive Directors of the international financial institutions
      (as defined in section 262r(c)(2) of this title) to promote
      growth in the international economy by taking into account, when
      considering whether to support or oppose loan proposals at these
      institutions, the extent to which the recipient government has
      demonstrated a commitment to achieving the following goals:
          (A) to provide accurate and complete data on the annual
        expenditures and receipts of the armed forces;
          (B) to establish good and publicly accountable governance,
        including an end to excessive military involvement in the
        economy; and
          (C) to make substantial reductions in excessive military
        spending and forces.
    (b) Steps to achieve goals required
      The Secretary of the Treasury shall instruct the United States
    Executive Directors of the international financial institutions (as
    so defined) to promote a policy at each institution under which - 
        (1) the respective institution monitors closely and, through
      regular policy consultations with recipient governments, seeks to
      influence the composition of public expenditure in favor of
      funding growth and development priorities and away from
      unproductive expenditure, including excessive military
      expenditures;
        (2) the respective institution supports lending operations
      which assist efforts of recipient governments to promote good
      governance, including public participation, and reduce military
      expenditures; and
        (3) the allocation of resources and the extension of credit by
      the respective institution takes into account the performance of
      recipient governments in the areas of good governance, ending
      excessive military involvement in the economy and reducing
      excessive military expenditures.



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