---
kind: "section"
citation: "22 U.S.C. § 286dd"
title: "22"
title_heading: "Foreign Relations and Intercourse"
number: "286dd"
heading: "Fund bailouts of banks; rescheduling of debt"
release: "119-102"
url: "https://uscodex.org/usc/22/286dd"
units:
  - "Chapter 7 — International Bureaus, Congresses, Etc."
  - "Subchapter XV — International Monetary Fund and Bank for Reconstruction and Development"
---

# §286dd. Fund bailouts of banks; rescheduling of debt


The [Secretary](/usc/22/277d–43.md?p=5) of the Treasury shall instruct the [United States](/usc/22/1395.md?p=a-1) [Executive Director](/usc/22/10601.md?p=5) of the [Fund](/usc/22/2431a.md?p=9)—

- (1) to oppose and vote against any [Fund](/usc/22/2431a.md?p=9) drawing by a member country where, in his judgment, the [Fund](/usc/22/2431a.md?p=9) resources would be drawn principally for the purpose of repaying loans which have been imprudently made by banking institutions to the member country; and
- (2) to work to insure that the [Fund](/usc/22/2431a.md?p=9) encourages borrowing countries and banking institutions to negotiate, where appropriate, a rescheduling of debt which is consistent with safe and sound banking practices and the country’s ability to pay.

## Source credit

(July 31, 1945, ch. 339, § 46, as added Pub. L. 98–181, title I [title VIII, § 807], Nov. 30, 1983, 97 Stat. 1273.)