H.R. 3224 — International Financial Institution Improvements Act of 2025

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each international financial institution (as defined in section 1701(c)(2) of the International Financial Institutions Act)—including the World Bank and regional development banks—to encourage the institution to publicize, in simple terms, the nature and purpose of its projects, loans, investments, and other activities in host countries to increase citizen understanding of the institution's work and identify beneficiaries.

This section amends the International Financial Institutions Act (22 U.S.C. 262o et seq.) by adding a new section 1507 to direct the Secretary of the Treasury to instruct the U.S. executive director at each international financial institution (as defined in section 1701(c)(2), i.e., IMF, World Bank Group, and regional development banks) to use the U.S. voice, vote, and influence to develop policies—approved by the institution's Board of Executive Directors after wide consultation with civil society organizations (CSOs)—requiring institution staff to engage and consult meaningfully with CSOs, including women's rights organizations, those addressing economic or fiscal justice and anti-corruption, and worker representatives (including care workers). (1) The policies must articulate engagement mechanisms adapted to context and purpose, with clear timelines accounting for project cycles; require mission chiefs to meet a wide range of CSO stakeholders from project conceptualization through completion; and establish parameters, dates, and mechanisms for genuine consultations during review processes and policy/strategy development. (2) For the International Monetary Fund, the policies must also increase CSO engagement on issues such as inequality, climate change, gender, and anti-corruption. This section further requires the Secretary to meet semiannually with a range of CSOs to solicit views on U.S. participation and policies at such institutions and, within one year of enactment, to submit a report to the House Committee on Financial Services and the Senate Committee on Foreign Relations detailing U.S. steps to encourage CSO collaboration.

This section requires the Secretary of the Treasury, within 180 days of enactment, to submit to the House Committee on Financial Services and the Senate Committee on Foreign Relations a report assessing (1) commonalities in debt-restructuring challenges across U.S.-participating frameworks and forums (e.g., types of debt relief, terms, and reclassification of public debt as private); (2) options for providing debt relief to developing countries facing intransigent creditors while protecting U.S. taxpayer resources; (3) U.S. oversight and policy priorities in debt-negotiation forums; (4) the likelihood that low-income developing countries can access private capital markets despite defaults to sovereign creditors; and (5) implications of developing countries' debt for U.S. economic and national security interests. This section directs the Secretary to instruct the U.S. Executive Director at the International Monetary Fund to advocate for integrating six elements into the Fund's review of the Debt Sustainability Framework for Low-Income Countries (i.e., an IMF/World Bank tool assessing debt risks to guide lending and relief for low-income countries): (1) making debt restructuring an explicit purpose; (2) increasing transparency of macroeconomic assumptions (e.g., GDP, exports, fiscal balance); (3) including Sustainable Development Goals and Paris Agreement investments in fiscal projections; (4) ensuring restructuring restores countries to no more than moderate debt distress risk under medium-term stress; (5) increasing stress scenario severity to address historical optimism bias; and (6) adding total public debt service to government revenue as a sustainability indicator.

This section prohibits the United States from terminating participation in or withdrawing from an international financial institution (as defined in section 1701(c)(2) of the International Financial Institutions Act, i.e., institutions such as the World Bank and regional development banks) or withholding appropriated funds required by law to be paid to such an institution unless Congress authorizes the action by law.

This section (1) redesignates sections 73 and 74 of the Bretton Woods Agreements Act as sections 74 and 75, respectively; and (2) adds a new section 76 authorizing the United States Governor of the International Bank for Reconstruction and Development (IBRD, or the World Bank) to accept an amendment to the Bank's Articles of Agreement deleting Article III, Section 3. (As background, Article III, Section 3 limits members' liability on shares to the unpaid amount of their subscriptions.)

This section amends the International Development Association Act to deem securities issued or guaranteed by the International Development Association (IDA)—an affiliate of the World Bank Group that provides concessional loans and grants to low-income developing countries—exempted securities under section 3(a)(2) of the Securities Act of 1933 and section 3(a)(12) of the Securities Exchange Act of 1934 (i.e., exempt from registration and other requirements applicable to non-exempt securities). It requires the IDA to file annual and other reports with the SEC as appropriate and authorizes the SEC, in consultation with the National Advisory Council on International Monetary and Financial Problems, to suspend the exemption as to any or all such securities; the SEC must include relevant information in its annual reports to Congress. The amendments take effect 30 days after enactment.

This section directs the Secretary of the Treasury to instruct the U.S. Executive Director at the International Bank for Reconstruction and Development (IBRD)—(1) to oppose, using the U.S. voice, vote, and influence, any Bank support for a project rejected or withdrawn by a U.S. department or agency due to environmental, social, or human rights concerns, unless the agency head verifies to the Executive Director that all such concerns are resolved; and (2) to notify the House Committee on Financial Services and the Senate Committee on Finance whenever the Bank provides support for such a project.

This section directs the Secretary of the Treasury to instruct the U.S. executive directors at the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA)—the World Bank's lending arms for middle-income and poorest countries, respectively—to use the U.S. voice, vote, and influence to assess causes of bottlenecks and identify potential efficiencies in project preparation and execution. The section further requires (1) a report on those findings within 180 days of enactment to the House Committee on Financial Services and the Senate Committee on Finance; and (2) a second report within 180 days thereafter describing actions by the Secretary and U.S. executive directors to address bottlenecks and capitalize on efficiencies.

This section directs the Secretary of the Treasury to instruct U.S. executive directors at the International Bank for Reconstruction and Development and the African Development Bank to oppose any financial assistance for projects in countries that engage in human rights abuses—including against persons identifying as lesbian, gay, bisexual, transgender, queer, questioning, or with another diverse gender identity—as reported in the Department of State's Annual Country Reports on Human Rights Practices, unless the banks publicly disclose details on how the projects ensure wide inclusivity for those marginalized groups. The Secretary may waive this requirement if determined to be in the U.S. national interest.

This section directs the Secretary of the Treasury to instruct the U.S. Executive Director at the International Development Association (IDA) to oppose any additional funding for IDA's Private Sector Window (PSW) in any replenishment round. (As background, the IDA—part of the World Bank Group—provides concessional loans and grants to low-income countries, and the PSW channels financing to private sector projects in those countries to mobilize investment.)

This section directs the Secretary of the Treasury to instruct the U.S. Executive Directors at the International Bank for Reconstruction and Development (IBRD, or World Bank) and the Inter-American Development Bank (IDB) to use the voice, vote, and influence of the United States to advocate that these institutions create a long-term strategy and plan for economic development in Haiti. The section also requires the Secretary to submit to Congress, within 180 days of enactment, a written report analyzing IBRD and IDB support for Haiti and ways to strengthen it.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at the International Development Association to advocate that the Bank conduct a feasibility study on establishing a consortium bank model in the Caribbean region—aimed at improving financial access and correspondent banking services while reversing regional bank de-risking (i.e., banks terminating customer relationships to mitigate regulatory risks)—with the study to be completed within 180 days of enactment.

This section directs the Secretary of the Treasury to submit quarterly reports to Congress on the World Bank's actions to compensate survivors of child sexual abuse with financial compensation and other relief at Bridge Academies, on actions to hold accountable any involved entity, and on any steps taken by the International Finance Corporation (IFC) or its staff to block Treasury from sharing related information with Congress. The reporting requirement sunsets 3 years after enactment.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at the International Bank for Reconstruction and Development to use the U.S. voice, vote, and influence to encourage the bank to require risk mitigation plans minimizing corruption and crime for financing of shipping or port projects. The plans must include (1) dedicated port security personnel identifying specialized compliance officers trained in international shipping regulations and sanctions compliance, risk assessment teams for threats and suspicious activities, and on-site legal advisors; (2) enhanced vessel tracking systems such as long-range identification and tracking; (3) integrated information management systems for real-time sharing of vessel and cargo data among port authorities, customs, and security agencies; (4) regular compliance audits and inspections, including scheduled and random audits, protocols for high-risk shipments, and personnel trained to verify petroleum origins and certificates; (5) community and stakeholder engagement through public awareness campaigns and industry collaboration on best practices; (6) technology-driven surveillance such as satellite imagery; and (7) robust reporting and whistleblower programs with confidential channels and incentives.

This section directs the Secretary of the Treasury to instruct the U.S. Executive Director at the International Bank for Reconstruction and Development (World Bank) to use the voice and vote of the United States to advocate that the Bank work internally and with partner organizations to support international efforts to deny safe havens for stolen assets and promote asset recovery to legitimate owners.

This section directs the Secretary of the Treasury to instruct the U.S. Executive Director at the International Bank for Reconstruction and Development (World Bank) to vote to continue the Bank's pause—initiated after the 2021 military coup in Burma—on disbursements and new financing commitments to the Government of Burma, unless the Secretary determines it is not in the public interest.

This section directs the Secretary of the Treasury to convene meetings with heads of federal agencies, private sector organizations, and civil society representatives to determine digital public infrastructure safeguards applicable to projects and financing by international financial institutions (IFIs, as defined in section 1701(c)(2) of the International Financial Institutions Act). The meetings must consider minimum safeguards in version 1.0 of the UN Universal DPI Safeguards Framework, along with measures to protect privacy, ensure private sector participation, and deter and detect fraud, financial crime, and corruption. Within one year of enactment, the Secretary must submit a report on these determinations and recommendations to the House Committee on Financial Services and the Senate Committee on Foreign Relations.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each multilateral development bank (MDB)—as defined in the International Financial Institutions Act—to use the voice, vote, and influence of the United States to (1) support and increase the effectiveness of the bank's independent accountability mechanism (IAM), which investigates complaints of environmental and social harms from bank-financed projects; and (2) advocate for responsible exit policies that require remediation before project exit and prohibit exit during the accountability process without complainant consent. This section further requires the Secretary to submit annual reports to the House Committee on Financial Services and the Senate Committee on Foreign Relations detailing all IAM cases opened or remaining open in the reporting year and each MDB's engagement in those cases, including implementation of management action plans (noting untimely or insufficient implementation).

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each multilateral development bank to use the voice, vote, and influence of the United States to (1) improve implementation of the bank's policies on preventing sexual exploitation and assault (SEA); and (2) consult on operationalization of those policies and require ways to improve them. The section also requires the Secretary to submit to the House Committee on Financial Services and the Senate Committee on Foreign Relations, within one year of enactment, a report on how the banks are operationalizing SEA prevention commitments, including the number of SEA cases reported to each bank by civil society organizations and other entities and the number involving minors.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each multilateral development bank to use the voice, vote, and influence of the United States to advocate for the public disclosure of all loan agreements, whether for public or private sector projects.

This section directs the Secretary of the Treasury to instruct the U.S. Executive Director at each multilateral development bank (MDB) (as defined in the International Financial Institutions Act) to use the voice, vote, and influence of the United States to (1) ensure all MDB support for public-private partnerships delivering infrastructure and services—whether through public or private sector arms—follows best practices, including competitive bidding, contracting transparency, and full disclosure of terms, pricing, and financial obligations of involved states (including state-owned enterprises); (2) oppose subsidization of private sector investments not offered on competitive or open-offer terms; and (3) require consistent publication of private sector investment data, including sub-national location, investee domicile, total investment cost, funding source, currency, co-financing, mobilization, updated disbursements, instrument-specific disclosures (equity share, interest rate, loan tenor), and project-level rate of return at exit.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each multilateral development bank—such as the World Bank and regional development banks—to use the voice, vote, and influence of the United States to encourage the bank to adopt anti-reprisal standards in its safeguards policies and loan agreements.

This section directs the Secretary of the Treasury (1) to submit biennial reports to Congress on known accusations of human rights abuses—made by community groups, civil society organizations, media, or other credible actors—at hospitals funded by the private sector arms of multilateral development banks or the International Finance Corporation (IFC), including actions by those arms to investigate, address, or remedy such abuses and details of any IFC reforms to prevent them; and (2) to instruct the U.S. executive director at each multilateral development bank to advocate for independent evaluations of the bank's active and historic healthcare investments to assess contributions to universal health coverage, national health system strengthening, and reducing health inequities.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at each multilateral development bank—such as the World Bank and regional development banks—to use the U.S. voice, vote, and influence to support the bank's public disclosure of (1) its internal methodologies for calculating the extent to which financed projects affect climate change and (2) an explanation of the processes and practices used for these calculations.

This section establishes a temporary requirement (through the earlier of five years after enactment or 30 days after a specified presidential report to Congress) for the Secretary of the Treasury to instruct the U.S. executive director at each international financial institution to use the voice, vote, and influence of the United States to encourage the institution to (1) support projects that decrease countries' reliance on Russia for agricultural commodities, particularly fertilizer and grain; (2) ensure the resilience of global grain supplies; and (3) stimulate private investment in such projects. The section includes waiver authority for the Secretary in the national interest of the United States.

This section directs the Secretary of the Treasury to instruct the United States Executive Director at the World Bank to urge the Bank to eliminate from its Business Ready Report the Minimum Wage Rate indicator, which penalizes countries for high minimum wages, and the Financial Burden on Firms indicator, which penalizes countries for higher corporate taxes.

This section directs the Secretary of the Treasury to use the U.S. executive director at the International Bank for Reconstruction and Development to urge the Bank to develop a comprehensive public database of all bilateral and multilateral assistance to countries eligible for Bank assistance. The database must categorize assistance by type (technical assistance, project development assistance, or other) and, for each entry, identify the purpose, provider, and recipient; the Secretary must further urge the Bank to publish the database annually to increase transparency and collaboration across funding streams.

This section directs the Secretary of the Treasury to instruct the United States Executive Director at the International Monetary Fund (IMF) to advocate for a program allowing any country eligible for assistance from the International Development Association (IDA)—the World Bank's concessional lending arm for the world's poorest countries—or considered a small state by the IMF, and that experiences a climate-related disaster (as defined by the IMF), to suspend all debt repayments to the IMF and the accrual of additional interest for five years or until the country's gross domestic product reaches at least 80% of its pre-disaster level, whichever is later.

This section directs the Secretary of the Treasury to instruct the U.S. executive director at the International Monetary Fund (IMF) to use the voice and vote of the United States to encourage the IMF to reduce or eliminate conditions on its loans that—(1) limit spending on key social needs such as health, education, or climate action; (2) weaken environmental, labor, or public health regulations; or (3) increase taxes or reduce subsidies in a regressive manner on recipient country populations.

This section directs the Secretary of the Treasury to instruct the United States Executive Director at the International Monetary Fund (IMF) to use the U.S. voice and vote to encourage six anti-corruption measures in IMF lending agreements, including (1) incorporation of specific, measurable, time-bound anti-corruption commitments (e.g., beneficial ownership registries, transparent public contracting, asset declarations, anti-money laundering regimes, independent oversight, and judiciaries) tailored to each country, developed with civil society input, and enforced with consequences for noncompliance; (2) production and public release of governance diagnostics as loan conditions, integrated into Article IV consultations and Financial Sector Assessment Programs; (3) engagement of in-country civil society organizations (CSOs) and experts throughout loan processes, including consultations, updates, input requests, and protection from retaliation; (4) improved transparency via publication of prior actions and structural benchmarks on IMF country pages with consistent cross-country assessments; (5) government accountability through credible commitment enforcement, no waivers for governance benchmarks due to political will deficits, and prompt audit publication; and (6) public reporting on progress implementing governance commitments.

This section amends the Bretton Woods Agreements Act by (1) redesignating section 73 (as added by section 1901 of division P of Public Law 116-94) as section 74 and section 74 as section 75; and (2) adding a new section 77 directing the Secretary of the Treasury to instruct the United States Executive Director at the International Monetary Fund (IMF) to advocate for a Fifth Deputy Managing Director who is a national of a low- or middle-income country and represents all such countries other than the People's Republic of China.

This section (1) adds a new section 1635 to the International Financial Institutions Act (22 U.S.C. 262p et seq.) directing the Secretary of the Treasury to instruct the U.S. executive director at the International Monetary Fund (IMF) to advocate for the IMF to support the Resilience and Sustainability Trust (RST)—which finances structural reforms for climate and pandemic risks in low-income countries—and the Poverty Reduction and Growth Trust (PRGT)—which provides concessional loans to low-income countries—with IMF resources; and (2) amends Section 7071(c) of the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2024 (division F of Public Law 118-47), to revise the subsection heading to “Energy Security and IMF Accountability,” expand fund availability to the IMF’s RST in addition to the PRGT, and eliminate prior conditions by striking the cross-reference to paragraph (2) and the paragraph itself.

This section authorizes the United States Governor of the International Monetary Fund (IMF) to consent to an increase in the U.S. quota in the IMF equivalent to 41,497,100,000 Special Drawing Rights (SDRs), subject to appropriations provided in advance in appropriations Acts. (As background, an IMF quota determines a member's financial commitment to the IMF, its voting power, and access to IMF financing.)

This section modifies the authorization in Section 17(a)(3) of the Bretton Woods Agreements Act for U.S. participation in the International Monetary Fund's New Arrangements to Borrow (NAB)—a supplementary credit facility that provides resources when quota resources are insufficient—by providing that, of the amounts authorized under that paragraph, the authorization for the dollar equivalent of 9,186,740,000 Special Drawing Rights (SDRs) expires as of the effective date of the rollback of the U.S. credit arrangement in the NAB, but no earlier than the effective date of the U.S. quota increase authorized in section 77 of that Act.

This section directs the Secretary of the Treasury to submit an annual report to the Committee on Financial Services of the House of Representatives and the Committee on Foreign Relations of the Senate on (1) surcharges imposed by the International Monetary Fund (IMF) on member countries (i.e., additional charges on large or overdue loans) and (2) whether the surcharges harm those countries' ability to repay IMF loans. The reporting requirement sunsets one year after the Secretary determines that the IMF has eliminated surcharges with respect to its loans.

This section authorizes the United States Governor of the African Development Fund (ADF) to contribute $591 million to the Fund's sixteenth replenishment, subject to obtaining the necessary appropriations, and authorizes $591 million in appropriations without fiscal year limitation for payment by the Secretary of the Treasury. (The ADF provides grants and highly concessional loans to low-income African countries for poverty reduction and development projects.)

This section authorizes the U.S. Governor of the African Development Bank—a multilateral development bank financing infrastructure and development projects in Africa—to subscribe on behalf of the United States to 800,000 additional shares of the Bank's capital stock, effective only to the extent provided in advance in appropriations Acts. The section further authorizes appropriations of $7.8 billion, without fiscal year limitation, for payment by the Secretary of the Treasury for such callable shares (i.e., contingent capital commitments payable only if needed).

This section authorizes the United States Governor of the European Bank for Reconstruction and Development (EBRD)—a multilateral development bank that finances infrastructure, private sector development, and economic transition toward open market economies and democracy in central Europe, eastern Europe, the Caucasus, and Central Asia—to subscribe on behalf of the United States to 40,000 additional shares of the Bank's paid-in capital stock (effective only to the extent provided in advance in appropriations Acts) and authorizes appropriations of $439,100,000 without fiscal year limitation for payment by the Secretary of the Treasury.