7 U.S.C. § 1738e : US Code - Section 1738E: Interest of new obligations

Search 7 U.S.C. § 1738e : US Code - Section 1738E: Interest of new obligations

(a) Rate of interest
New obligations issued to an eligible country under section 1738c
of this title shall bear interest at a concessional rate.
(b) Currency of payment, deposits
(1) United States dollars
An eligible country to which a new obligation has been issued
under section 1738c of this title that has not entered into an
agreement under section 1738f of this title, shall be required to
pay interest on such obligation in United States dollars which
shall be deposited in Commodity Credit Corporation accounts.
(2) Local currency
If an eligible country to which a new obligation has been
issued under section 1738c of this title has entered into an
agreement under section 1738f of this title, interest under such
obligation may be paid in the local currency of the eligible
country and deposited into an Environmental Fund as provided for
in section 1738g of this title. Such interest shall be the
property of the eligible country until such time as it is
disbursed under section 1738g of this title. Such local
currencies shall be used for the purposes specified in the
agreement entered into under section 1738f of this title.
(c) Interest previously paid
If an eligible country to which a new obligation has been issued
under section 1738c of this title enters into an agreement under
section 1738f of this title subsequent to the date on which
interest first becomes due on such new obligation, any interest
paid on such new obligation prior to such agreement being entered
into shall not be redeposited into the Fund established for the
eligible country under section 1738g(a) of this title but shall be
deposited into Commodity Credit Corporation accounts.