Page:United States Statutes at Large Volume 123.djvu/895

 123STA T .875PUBLIC LA W 111 – 8 —M A R .11, 2 0 0 9provide d un der t it l e I IIo f t h i sAc t a nd , su bj ect to the re g ular notification procedures of the C o m mittees on Appropriations, an y interest earned on such investment shall be used for the purpose for w hich the assistance was provided to that organi z ation .AUTHORI T Y TO ENG AGE IN D E B T BUYBA CKS OR SA L ES S EC. 7032 . ( a )L OANS E LIGIBLE F OR SALE, R EDUCTION, OR CAN - CELLATION. — ( 1 ) AUTHORITY TO SELL, REDUCE, OR CANCEL CERTAIN LOANS.— N otwithstanding any other provision of law, the P resi- dent may, in accordance with this section, sell to any eligible purchaser any concessional loan or portion thereof made before J anuary 1, 1 9 9 5, pursuant to the F oreign Assistance Act of 19 6 1, to the government of any eligible country as defined in section 702(6) of that Act or on receipt of payment from an eligible purchaser, reduce or cancel such loan or portion thereof, only for the purpose of facilitating— (A) debt-for-e q uity swaps, debt-for-development swaps, or debt-for-nature swaps or ( B ) a debt buybac k by an eligible country of its own qualified debt, only if the eligible country uses an additional amount of the local currency of the eligible country, equal to not less than 4 0 percent of the price paid for such debt by such eligible country, or the difference between the price paid for such debt and the face value of such debt, to support activities that link conservation and sustainable use of natural resources with local community development, and child survival and other child develop- ment, in a manner consistent with sections 707 through 710 of the Foreign Assistance Act of 1961, if the sale, reduction, or cancellation would not contravene any term or condition of any prior agreement relating to such loan. (2) T ER M S AND CONDITIONS.—Notwithstanding any other provision of law, the President shall, in accordance with this section, establish the terms and conditions under which loans may be sold, reduced, or canceled pursuant to this section. (3) ADMINISTRATION.—The Facility, as defined in section 702( 8 ) of the Foreign Assistance Act of 1961, shall notify the administrator of the agency primarily responsible for admin- istering part I of the Foreign Assistance Act of 1961 of pur- chasers that the President has determined to be eligible, and shall direct such agency to carry out the sale, reduction, or cancellation of a loan pursuant to this section. Such agency shall make adjustment in its accounts to reflect the sale, reduc- tion, or cancellation. (4) LIMITATION.—The authorities of this subsection shall be available only to the e x tent that appropriations for the cost of the modification, as defined in section 502 of the Congressional Budget Act of 1974, are made in advance. (b) D E P OSIT OF PROCEEDS.—The proceeds from the sale, reduc- tion, or cancellation of any loan sold, reduced, or canceled pursuant to this section shall be deposited in the U nited States G overnment account or accounts established for the repayment of such loan. (c) ELIGIBLE PURCHASERS.—A loan may be sold pursuant to subsection (a)(1)(A) only to a purchaser who presents plans satisfac- tory to the President for using the loan for the purpose of engaging Notif i ca tio n.Pres i d ent.