I
105TH CONGRESS
1ST SESSION
H. R. 2867
To amend the Foreign Assistance Act of 1961 to target assistance to support
the economic and political independence of the countries of the South
Caucasus and Central Asia.
IN THE HOUSE OF REPRESENTATIVES
NOVEMBER 7, 1997
Mr. GILMAN introduced the following bill; which was referred to the
Committee on International Relations
A BILL
To amend the Foreign Assistance Act of 1961 to target
assistance to support the economic and political inde-
pendence of the countries of the South Caucasus and
Central Asia.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Silk Road Strategy
Act of 1997’’.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) The ancient Silk Road, once the economic
lifeline of Central Asia and the South Caucasus, tra-
versed much of the territory now within the coun-
tries of Armenia, Azerbaijan, Georgia, Kazakstan,
Kyrgyzstan, 
Tajikistan, 
Turkmenistan, 
and
Uzbekistan.
(2) Economic interdependence spurred mutual
cooperation among the peoples along the Silk Road
and restoration of the historic relationships and eco-
nomic ties between those peoples is an important ele-
ment of ensuring their sovereignty as well as the
success of democratic and market reforms.
(3) The development of strong political and eco-
nomic ties between countries of the South Caucasus
and Central Asia and the West will foster stability
in the region.
(4) The development of open market economies
and open democratic systems in the countries of the
South Caucasus and Central Asia will provide posi-
tive incentives for international private investment,
increased trade, and other forms of commercial
interactions with the rest of the world.
(5) The Caspian Sea Basin, overlapping the
territory of the countries of the South Caucasus and
Central Asia, contains proven oil and gas reserves
that may exceed $4,000,000,000,000 in value.
(6) The region of the South Caucasus and
Central Asia will produce oil and gas in sufficient
quantities to reduce the dependence of the United
States on energy from the volatile Persian Gulf re-
gion.
(7) United States foreign policy and inter-
national assistance should be narrowly targeted to
support the economic and political independence of
the countries of the South Caucasus and Central
Asia.
SEC. 3. POLICY OF THE UNITED STATES.
It shall be the policy of the United States in the coun-
tries of the South Caucasus and Central Asia—
(1) to promote and strengthen independence,
sovereignty, and democratic government;
(2) to assist actively in the resolution of re-
gional conflicts;
(3) to promote friendly relations and economic
cooperation;
(4) to help promote market-oriented principles
and practices;
(5) to assist in the development of the infra-
structure necessary for communications, transpor-
‘‘Chapter 12—Support for the Economic and
Political Independence of the Countries
of the South Caucasus and Central Asia
‘‘SEC. 499. UNITED STATES ASSISTANCE TO PROMOTE REC-
ONCILIATION 
AND 
RECOVERY 
FROM 
RE-
GIONAL CONFLICTS.
‘‘(a) PURPOSE OF ASSISTANCE.—The purposes of as-
sistance under this section are—
‘‘(1) to create the basis for reconciliation be-
tween belligerents;
‘‘(2) to promote economic development in areas
of the countries of the South Caucasus and Central
Asia impacted by civil conflict and war; and
‘‘(3) to encourage broad regional cooperation
among countries of the South Caucasus and Central
Asia that have been destabilized by internal con-
flicts.
‘‘(b) AUTHORIZATION FOR ASSISTANCE.—
‘‘(1) IN GENERAL.—To carry out the purposes
of subsection (a), the President is authorized to pro-
vide humanitarian assistance and economic recon-
struction assistance under this Act, and assistance
under the Migration and Refugee Assistance Act of
1962 (22 U.S.C. 2601 et seq.), to the countries of
the South Caucasus and Central Asia to support the
activities described in subsection (c).
‘‘(2) DEFINITION
OF
HUMANITARIAN
ASSIST-
ANCE.—In this subsection, the term ‘humanitarian
assistance’ means assistance to meet urgent humani-
tarian needs, in particular meeting needs for food,
medicine, medical supplies and equipment, and
clothing.
‘‘(c) ACTIVITIES SUPPORTED.—Activities that may
be supported by assistance under subsection (b) are lim-
ited to—
‘‘(1) providing for the essential needs of victims
of the conflicts;
‘‘(2) facilitating the return of refugees and in-
ternally displaced persons to their homes; and
‘‘(3) assisting in the reconstruction of residen-
tial and economic infrastructure destroyed by war.
‘‘(d) POLICY.—It is the sense of Congress that the
United States should, where appropriate, support the es-
tablishment of neutral, multinational peacekeeping forces
to 
implement 
peace 
agreements 
reached 
between
belligerents in the countries of the South Caucasus and
Central Asia.
‘‘SEC. 499A. ECONOMIC ASSISTANCE.
‘‘(a) PURPOSE OF ASSISTANCE.—The purpose of as-
sistance under this section is to foster the conditions nec-
essary for regional economic cooperation in the South
Caucasus and Central Asia.
‘‘(b) AUTHORIZATION FOR ASSISTANCE.—To carry
out the purpose of subsection (a), the President is author-
ized to provide technical assistance to the countries of the
South Caucasus and Central Asia to support the activities
described in subsection (c).
‘‘(c) ACTIVITIES SUPPORTED.—Activities that may
be supported by assistance under subsection (b) are lim-
ited to the development of the structures and means nec-
essary for the growth of private sector economies based
upon market principles.
‘‘(d) POLICY.—It is the sense of Congress that the
United States should—
‘‘(1) assist the countries of the South Caucasus
and Central Asia to develop laws and regulations
that would facilitate the ability of those countries to
join the World Trade Organization;
‘‘(2) provide permanent nondiscriminatory trade
treatment (MFN status) to the countries of the
South Caucasus and Central Asia; and
‘‘(3) consider the establishment of zero-to-zero
tariffs between the United States and the countries
of the South Caucasus and Central Asia.
‘‘SEC. 499B. DEVELOPMENT OF INFRASTRUCTURE.
‘‘(a) PURPOSE OF ASSISTANCE.—The purposes of as-
sistance under this section are—
‘‘(1) to develop the physical infrastructure nec-
essary for regional cooperation among the countries
of the South Caucasus and Central Asia; and
‘‘(2) to encourage closer economic relations be-
tween those countries and the United States and
other developed nations.
‘‘(b) AUTHORIZATION FOR ASSISTANCE.—To carry
out the purposes of subsection (a), the following types of
assistance to the countries of the South Caucasus and
Central Asia are authorized to support the activities de-
scribed in subsection (c):
‘‘(1) Activities by the Export-Import Bank to
complete the review process for eligibility for financ-
ing under the Export-Import Bank Act of 1945.
‘‘(2) The provision of insurance, reinsurance, fi-
nancing, or other assistance by the Overseas Private
Investment Corporation.
‘‘(3) Assistance under section 661 of this Act
(relating to the Trade and Development Agency).
‘‘(c) ACTIVITIES SUPPORTED.—Activities that may
be supported by assistance under subsection (b) are lim-
ited to promoting actively the participation of United
States companies and investors in the planning, financing,
and construction of infrastructure for communications,
transportation, and energy and trade including highways,
railroads, port facilities, shipping, banking, insurance,
telecommunications networks, and gas and oil pipelines.
‘‘(d) POLICY.—It is the sense of Congress that the
United States representatives at the International Bank
for Reconstruction and Development, the International Fi-
nance Corporation, and the European Bank for Recon-
struction and Development should encourage lending to
the countries of the South Caucasus and Central Asia to
assist the development of the physical infrastructure nec-
essary for regional economic cooperation.
‘‘SEC. 499C. SECURITY ASSISTANCE.
‘‘(a) PURPOSE OF ASSISTANCE.—The purpose of as-
sistance under this section is to assist countries of the
South Caucasus and Central Asia to secure their borders
and implement effective controls necessary to prevent the
trafficking of illegal narcotics and the proliferation of
technology and materials related to weapons of mass de-
struction (as defined in section 2332a(c)(2) of title 18,
United States Code), and to contain and inhibit
transnational organized criminal activities.
‘‘(b) AUTHORIZATION FOR ASSISTANCE.—To carry
out the purpose of subsection (a), the President is author-
ized to provide the following types of assistance to the
countries of the South Caucasus and Central Asia to sup-
port the activities described in subsection (c):
‘‘(1) Assistance under chapter 5 of part II of
this Act (relating to international military education
and training).
‘‘(2) Assistance under chapter 8 of this part of
this Act (relating to international narcotics control
assistance).
‘‘(3) The transfer of excess defense articles
under section 516 of this Act (22 U.S.C. 2321j).
‘‘(c) ACTIVITIES SUPPORTED.—Activities that may
be supported by assistance under subsection (b) are lim-
ited to assisting those countries of the South Caucasus
and Central Asia in developing capabilities to maintain na-
tional border guards, coast guard, and customs controls.
‘‘(d) POLICY.—It is the sense of Congress that the
United States should encourage and assist the develop-
ment of regional military cooperation among the countries
of the South Caucasus and Central Asia through pro-
grams such as the Central Asian Battalion and the Part-