To authorize the Secretary of the Treasury to subscribe to additional shares of the capital stock of the Inter-American Investment Corporation.

Bill Number

H.R. 6892

Origin Chamber

House

Congress

119th Congress, Session 1

Policy Area

Finance and Financial Sector

Status

Introduced

Latest Action

2025-12-18: Referred to the House Committee on Financial Services.

Last Updated

2026-01-05T16:00:40Z

AI-Generated Summary

Purpose

This legislation aims to enable the United States to increase its financial commitment to the Inter-American Investment Corporation (IIC), a multilateral organization that promotes private sector development in Latin America and the Caribbean, by authorizing the purchase of additional shares in its capital stock.

Key Provisions

• Authorization for Subscription: The Secretary of the Treasury is permitted to subscribe to up to 25,124 additional shares of the IIC's capital stock on behalf of the United States.
• Funding Requirement: Any subscription to these shares can only take effect to the extent that funding is explicitly provided in advance through congressional appropriations acts (laws that allocate government funds).

Significant Changes to Existing Law

• This bill expands the U.S. government's previous commitments to the IIC by authorizing a specific increase in share subscriptions, which were likely limited under prior laws.
• It maintains the existing safeguard that international financial subscriptions require separate congressional funding approval, preventing automatic spending.

Potential Impacts

• On Government Agencies: The U.S. Department of the Treasury would handle the subscription process, potentially increasing its administrative responsibilities and financial exposure if funded, while ensuring fiscal oversight through appropriations.
• On Citizens: U.S. taxpayers could indirectly bear costs through federal spending, but benefits might include enhanced economic stability and investment opportunities in the Western Hemisphere.
• On International Relations: Strengthens U.S. engagement with the IIC and its member countries (primarily in Latin America and the Caribbean), supporting regional development and potentially fostering closer economic ties without direct impacts on U.S. domestic policy.

Main Stakeholders Affected

• U.S. Government: Primarily the Department of the Treasury, with oversight from Congress via the appropriations process.
• Inter-American Investment Corporation: Gains potential capital infusion to expand its operations in private sector financing.
• Member Countries of the IIC: Nations in Latin America and the Caribbean that benefit from the IIC's investment activities, as increased U.S. participation could amplify funding for regional projects.
• U.S. Taxpayers and Financial Institutions: Indirectly affected through potential federal expenditures and any resulting influence on international investment flows.

Notable Legal, Constitutional, or Political Implications

• Legal: Reinforces the constitutional requirement under Article I, Section 9 of the U.S. Constitution that no money can be drawn from the Treasury without congressional appropriation, by tying the subscription to funding acts.
• Constitutional: Aligns with Congress's power of the purse, ensuring executive actions in international finance remain subject to legislative control.
• Political: Highlights bipartisan or targeted support for multilateral development institutions; as a short, focused bill, it could facilitate quick passage if tied to broader foreign aid or economic policy debates, but requires separate funding approval to avoid controversy over spending.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Salazar, Maria Elvira [R-FL-27]

Recent Actions

• 2025-12-18: Referred to the House Committee on Financial Services.
• 2025-12-18: Introduced in House
• 2025-12-18: Introduced in House

Bill Versions

• To authorize the Secretary of the Treasury to subscribe to additional shares of the capital stock of the Inter-American Investment Corporation. — issued 2025-12-18 — PDF (2 pages)