A bill to provide for increased participation by the United States in the Inter-American Development Bank, the Asian Development Bank, and the African Development Fund.
PL 96-259 (S.662), enacted 06/03/1980

PUBLIC LAW 96-259—JUNE 3, 1980 
94 STAT. 429 
Public Law 96-259 
96th Congress 
An Act 
To provide for increased participation by the United States in the Inter-American 
ifevelopment Bcuik, the ^ i a n Development Bank, and the African Development 
Fund. 
Be it enacted by the Senate and House of Representatives of the 
United States of 
America in Congress assembled, 
TITLE I—INTER-AMERICAN DEVELOPMENT BANK 
SEC. 101. The Inter-American Development Bank Act (22 U.S.C. 283 
et seq.) is amended— 
(1) by redesignating section 29 as section 28; and 
(2) by adding at the end thereof the following new section: 
"SEC. 29. (a) The United States Governor of the Bank is authorized 
to vote for two resolutions which were proposed by the Grovemors at a 
special meeting in December 1978 and are pending before the Board 
of Governors of the Bank. These resolutions provide for (1) an 
increase in the authorized capital stock of the Bank and additional 
subscriptions thereto, and (2) an increase in the resources of the Fund 
for Special Operations and contributions thereto. Upon adoption of 
these resolutions, the United States Governor is authorized on behalf 
of the United States (A) to subscribe to two hundred twenty-seven 
thousand eight hundred and ninety-six shares of the increase in the 
authorized capital stock of the Bank, of which two hundred ten 
thousand eight hundred and four shsdl be callable and seventeen 
thousand and ninety-two shall be paid-in, and (B) to contribute to the 
Fund for Special Operations $630,000,000; except that any commit-
ment to make such subscriptions to paid-in and callable capital stock 
and to make such contributions to the Fund for Special Operations 
shall be effective only to such extent or in such amounts £is are 
provided in advance in appropriation Acts. 
"db) In order to pay for the increase in the United States subscrip-
tion and contribution provided for in this section, there are author-
ized to be appropriated, without fiscal year limitation, for payment by 
the Secretary of the Treasury (1) $2,474,287,189 for the United States 
subscription to the capital stock of the Bank, and (2) $630,000,000 for 
the United States share of the increase in the resources of the Fund 
for Special Operations. 
"(c) For the purpose of keeping to a minimum the cost to the United 
States, the Secretary of the Treasury— 
"(1) shall pay the United States contribution to the Fund for 
Special Operations authorized by this section by letter of credit 
in four annual installments; and 
"(2) shall take the steps necessary to obtain a certification from 
the Bank that any undisbursed balances resulting from draw-
downs on such letter of credit will not exceed at any time the 
United States share of expected disbursement requirements for 
the following three-month period. 
June 3, 1980 
[S. 662] 
Inter-American, 
Asian, and 
African 
Development 
Banks and Fund, 
increased U.S. 
participation. 
22 u s e 283z. 
Authorized 
capital stock 
increase. 
22 u s e 283z-l. 
Appropriation 
authorization. 
U.S. cost, 
minimization. 
94 STAT. 430 
PUBLIC LAW 96-259—JUNE 3, 1980 
Funds, 
limitation. 
Energy and 
mineral 
exploration, 
Presidential 
report to 
Congress. 
22 u s e 283 note. 
"(d) None of the funds authorized to be appropriated by this 
section may be used for any form of assistance to any country which 
is not a member of the Bank.". 
SEC. 102. The President shall evaluate a proposal for 
joint action bv 
the countries of the Western Hemisphere and other countries which 
participate in the Inter-American Development Bank to increase 
exploration for and exploitation of energy and mineral resources of 
the Western Hemisphere through multUater^ incentives, adminis-
tered by the Inter-American Development Bank, to private invest-
ment in such resources. The President shall report his findings to the 
Congress not later than September 30, 1980, together with such 
recommendations as he considers appropriate. 
Asian 
Development 
Fund, U.S. 
contribution. 
22 u s e 285u. 
Appropriation 
authorization. 
U.S. cost, 
minimization. 
Taiwan, Bank 
membership. 
22 u s e 285v. 
TITLE n—ASIAN DEVELOPMENT BANK 
SEC. 201. The Asian Development Bank Act (22 U.S.C. 285 et seq.) is 
amended by adding at the end thereof the following new sections: 
"SEC. 24. (a) The United States Governor of the Bank is authorized 
to contribute on behalf of 
the United States $378,250,000 to the Asian 
Development Fund, a special fund of the Bank, except that any 
commitment to make such contribution shall be made subject to 
obtaining the necessary appropriations. 
"db) In order to pay for the United States contribution to the Asian 
Development Fund provided for in this section, there are authorized 
to be appropriated, without fiscal year limitation, $378,250,000 for 
payment by the Secretary of 
the Treasury. 
"(c) For the purpose of 
keeping 
to 
a minimum the cost 
to 
the United 
States, the Secretary of 
the Treasury— 
"(1) shall pay the United States contribution to the Asian 
Development Fund authorized by this section by letter of credit 
in four annual installments; and 
"(2) shall take the steps necessary to obtain a certification from 
the Bank that any undisbursed balances resulting from draw-
downs on such letter of credit will not exceed at any time the 
United Stetes share of expected disbursement requirements for 
the following three-month period. 
"SEC. 25. It is the sense of the CJongress that it is the policy of the 
United States that Taiwan (before January 1, 1979, known as the 
Republic of China) shall be permitted to retain membership in the 
Asian Development Bank and that the United States Executive 
Director of the Bank shall notify the Bank that a serious review of 
future United States participation, including any future payments to 
the Asian Development Fund, would ensue if Taiwan were expelled 
from the Bank.". 
22 u s e 290g-10. 
U.S. 
contribution. 
22 u s e 290g-ll. 
TITLE in—AFRICAN DEVELOPMENT FUND 
SEC. 301. The African Development Fund Act (22 U.S.C. 290g 
et seq.) is amended— 
(1) by redesignating section 212 as section 211; and 
(2) by adding at the end thereof the following new section: 
"SEC. 212. (a) The United States Governor of the Fund is authorized 
to contribute on behalf of the United Stetes $125,000,000 to the Fund 
as the United Stetes contribution to the second replenishment of 
the resources of the Fund, except that any commitment to make such 
PUBLIC LAW 96-259—JUNE 3, 1980 
94 STAT. 431 
contribution shall be made subject to obtaining the necessary 
appropriations. 
"(b) In order to pay for the United States contribution provided for 
in this section, there is authorized to be appropriated, without fiscal 
year limitation, $125,000,000 for payment by the Secretary of the 
Treasury. 
"(c) For the purpose of keeping to a minimum the cost to the United 
States, the Secretary of the Treasury— 
"(1) shall pay the United States contribution to the African 
Development Fund authorized by this section by letter of credit 
in three annual instsdlments; and 
"(2) shall take the steps necessary to obtain a certification from 
the Fund that any undisbursed balances resulting from draw-
downs on such letter of credit will not exceed at any time the 
United States share of expected disbursement requirements for 
the following three-month period.". 
TITLE IV—EXPORT OPPORTUNITY ENHANCEMENT 
SEC. 401. The Secretary of the Treasury shall instruct the United 
States Executive Directors of the Inter-American Development Bank, 
the Asian Development Bank, and the African Development Fund to 
take all possible steps to assure that information relative to potential 
procurement opportunities for United States firms is expeditiously 
communicated to the Secretary of the Treasury, the Secretary of 
State, and the Secretary of Commerce. Such information shall be 
disseminated as broadly as possible to both large and small business. 
TITLE V—HUMAN RIGHTS REPORTING 
SEC. 501. (a) Section 701 of the Act of October 3,1977 (Public Law 
95-118; 22 U.S.C. 262g), is amended in subsection (c)— 
(1) by inserting "(1)" immediately after "(c)"; and 
(2) by adding at the end thereof the following new paragraph: 
"(2XA) The Secretary of the Treasury shall report quarterly on all 
loans considered by the Boards of Executive Directors of the institu-
tions listed in subsection (a) to the Committee on Banking, Finance 
and Urban Affairs of the House of Representatives and the Commit-
tee on Foreign Relations of the Senate. Each such quarterly report 
shall include a list of all loans considered by the Boards of Executive 
Directors of such institutions and shall specify with respect to each 
such loan— 
"(i) the institution involved; 
"(ii) the date of final action; 
"(iii) the borrower; 
"(iv) the amount; 
"(v) the project or program; 
"(vi) the vote of the United States Government; 
"(vii) the reason for United States Government opposition, if 
any; 
"(viii) the final disposition of the loan; and 
"(ix) if the United States Government opposed the loan, 
whether the loan meets basic human needs. 
"(B) The information required to be reported under subparagraph 
(A) also shall be included in the annual report to the Congress of the 
National Advisory Council on International Monetary and Financi^ 
Policies.". 
Appropriation 
authorization. 
U.S. cost, 
minimization. 
22 use 262i. 
22 use 262d. 
79-194 
O—81—pt. 1 
31 : QL3 
94 STAT. 432 
PUBLIC LAW 96-259—JUNE 3, 1980 
(b) Such section is further amended by adding at the end thereof 
the following new subsection: 
"(g)(1) The Secretary of the Treasury, in consultation with the 
Secretary of State, shall report quarterly to the chairmen and 
ranking minority members of the Committee on Banking, Finance 
and Urban Affairs of the House of Representatives, the Subcommit-
tee on International Development Institutions and Finance of such 
Committee, and the Committee on Foreign Relations of the Senate, in 
each instance in which the United States Executive Director of an 
institution listed in subsection (a) opposes any loan, financial assist-
ance, or technical assistance for reasons regarding human rights. 
Each such report shall include— 
"(A) the reasons for such opposition; 
"(B) all policy considerations taken into account in reaching 
the decision to oppose such loan, financial assistance, or techni-
cal assistance; 
"(C) a description of the human rights conditions in the 
country involved; 
"(D) a record of how the United States Government voted on 
all other loans, financial assistance, and technical assistance to 
such country during the preceding two years; and 
"(E) information as to how the decision to oppose such loan, 
financial assistance, or technical assistance relates to overall 
United States Government policy on human rights in such 
country. 
"(2) The Secretary of the Treasury or his delegate shall consult 
frequently and in a timely manner with the chairmen and ranking 
minority members specified in paragraph (1) to inform them regard-
ing any prospective changes in policy direction toward countries 
which have or recently have had poor human rights records.". 
22 use 262d. 
(c) Title VII of the Act of October 3,1977, is amended by adding at 
the end thereof the following new section: 
22 use 262d 
"SEC. 705. The President shall direct the United States Governor of 
"°^- 
the International Bank for Reconstruction and Development, the 
United States Governor of the International Finance Corporation, 
the United States Governor of the International Development Associ-
ation, the United States Governor of the Inter-American Develop-
ment Bank, the United States Governor of the Asian Development 
Bank, and the United States Governor of the African Development 
Fund, to consult with the other Governors of those institutions 
concerning adoption of an amendment to the Articles of Agreement 
of their respective institutions to establish human rights standards to 
be considered in connection with each application for assistance.". 
TITLE VI—USE OF RENEWABLE RESOURCES FOR ENERGY 
PRODUCTION 
22 use 262j 
SEC. 601. The Congress finds that— 
"°*®' 
(1) without an adequate supply of energy at affordable prices 
the world's poor will continue to be deprived of 
jobs, food, water, 
shelter, and clothing, and poor countries will continue to be 
economically and politically unstable; 
(2) dependence on increasingly expensive fossil fuel resources 
consumes too much of the capital available to poor countries with 
the result that funds are not available to meet the basic needs of 
poor people; 
PUBLIC LAW 96-259—JUNE 3, 1980 
94 STAT. 433 
(3) in many developing countries the cost of large central 
generators and long distance electrical distribution makes it 
unlikely that rural energy by means of a national grid will 
contribute to meeting the needs of poor people; 
(4) only one of eight rural inhabitants lives in an area which 
has access to electricity and even fewer rural inhabitants 
actueilly have or can afford electricity; 
(5) wood, animal and agricultural waste, and other "noncom-
mercial" fuels still supply about half the total energy in develop-
ing countries and all but a seventh in rural sectors; 
(6) growing dependence of the world's poor on wood for heating 
and cooking has forced the overcutting of forests and as a 
consequence erosion and loss of available agricultural land; and 
(7) recent initiatives by the international financial institutions 
to develop and utilize decentralized solar, hydro, biomass, geo-
thermal, and wind energy should be significantly expanded to 
make renewable energy resources increasingly available to the 
world's poor on a wide scale. 
SEC. 602. (a) The United States Government, in connection with its 22 use 262j. 
voice and vote in the Inter-American Development Bank, the African 
Development Fund, and the Asian Development Bank, shall encour-
age such institutions— 
(1) to promote the decentralized production of renewable 
energy; 
(2) to identify renewable resources to produce energy in rural 
development projects and determine the feasibility of substitut-
ing them for systems using fossil fuel; 
(3) to train personnel in developing technologies for getting 
energy from renewable resources; 
(4) to support research into the use of renewable resources, 
including hydropower, biomass, solar photovoltaic, and solar 
thermal; 
(5) to support an information network to make available to 
policymakers the full range of energy choices; 
(6) to broaden their energy planning, analyses, and assess-
ments to include consideration of the supply of, demand for, and 
possible uses of 
renewable resources; and 
(7) to coordinate with the Agency for International Develop-
ment and other aid organizations in supporting effective rural 
energy programs. 
(b) For purposes of this section, the term "renewable resource" "Renewable 
means any energy resource which— 
resource." 
(1) meets the needs of rural communities; 
(2) saves capital without wasting labor; 
(3) is modest in scale and simple to install and maintain and 
which can be managed by local individuals; 
(4) is acceptable and affordable; and 
(5) does not damage the environment. 
94 STAT. 434 
PUBLIC LAW 96-259—JUNE 3, 1980 
Report to 
(c) The Secretary of the Treasury, in consultation with the Director 
Congress. 
^f 
^jjg United States International Development Cooperation Agency, 
shall report to the Congress not later than six months after the date 
of enactment of this Act and annually thereafter on the progress 
toward achieving the goals set forth in this title. 
Approved June 3, 1980. 
LEGISLATIVE HISTORY: 
HOUSE REPORTS: No. 96-135 accompanying H.R. 3829 (Comm. on Banking, Finance 
and Urban Affairs) and Nos. 96-837, 96-867, and 96-974 (all from 
Comm. of Conference). 
SENATE REPORT No. 96-135 (Comm. on Foreign Relations). 
CONGRESSIONAL RECORD: 
Vol. 125 (1979): May 17, considered and passed Senate. 
Vol. 126 (1980): Mar. 5, 6, H.R. 3829 considered and passed House; passage 
vacated and S. 662, amended, passed in lieu. 
Mar. 25, Apr. 17, House recommitted conference report on 
S. 662. 
May 21, House agreed to conference report. 
May 22, Senate agreed to conference report.