7 USC § 1738e - Interest of new obligations

---
identifier: "/us/usc/t7/s1738e"
source: "usc"
legal_status: "official_prima_facie"
title: "7 USC § 1738e - Interest of new obligations"
title_number: 7
title_name: "AGRICULTURE"
section_number: "1738e"
section_name: "Interest of new obligations"
chapter_number: 41
chapter_name: "FOOD FOR PEACE"
subchapter_number: "VI"
subchapter_name: "ENTERPRISE FOR THE AMERICAS INITIATIVE"
positive_law: false
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(July 10, 1954, ch. 469, title VI, § 606, as added Pub. L. 101–624, title XV, § 1512, Nov. 28, 1990, 104 Stat. 3659; amended Pub. L. 102–237, title III, § 304, Dec. 13, 1991, 105 Stat. 1855.)"
---


# § 1738e. Interest of new obligations

**(a)** **Rate of interest** section 1738c of this title

New obligations issued to an eligible country under  shall bear interest at a concessional rate.

**(b)** **Currency of payment, deposits**

**(1)** **United States dollars** section 1738c of this titlesection 1738f of this title

An eligible country to which a new obligation has been issued under  that has not entered into an agreement under , 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** section 1738c of this titlesection 1738f of this titlesection 1738g of this titlesection 1738g of this titlesection 1738f of this title

If an eligible country to which a new obligation has been issued under  has entered into an agreement under , 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 . Such interest shall be the property of the eligible country until such time as it is disbursed under . Such local currencies shall be used for the purposes specified in the agreement entered into under .

**(c)** **Interest previously paid** section 1738c of this titlesection 1738f of this titlesection 1738g(a) of this title

If an eligible country to which a new obligation has been issued under  enters into an agreement under  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  but shall be deposited into Commodity Credit Corporation accounts.

---

**Source Credit**: (July 10, 1954, ch. 469, title VI, § 606, as added Pub. L. 101–624, title XV, § 1512, Nov. 28, 1990, 104 Stat. 3659; amended Pub. L. 102–237, title III, § 304, Dec. 13, 1991, 105 Stat. 1855.)

## Editorial Notes

### Amendments

1991—Subsec. (c).  inserted “accounts” after “Corporation”.