TREASURY DIRECTIVE: 27-04
Date: November 17, 1996
Sunset Review: November 17, 1998
Expiration Date: November 17, 1999
SUBJECT: Organization and Functions of the Office of the Under Secretary (International Affairs)
1. PURPOSE. This Directive describes the organization and functions of the Office of the Under Secretary (International Affairs).
2.
THE UNDER SECRETARY (INTERNATIONAL AFFAIRS) advises and assists the Secretary
and Deputy Secretary in the formulation and execution of
3. THE ASSISTANT SECRETARY (INTERNATIONAL AFFAIRS) reports to the Secretary through the Under Secretary (International Affairs) and the Deputy Secretary. The incumbent is a principal adviser to the Secretary, Deputy Secretary, and Under Secretary (International Affairs) in their exercise of international financial, economic, monetary, trade, investment, environmental and energy policies and programs.
4. ORGANIZATION STRUCTURE. The Assistant Secretary (International Affairs) supervises the Office of Program Services, the Counselor for Middle East Affairs, and six Deputy Assistant Secretaries: International Monetary and Financial Policy; Asia, the Americas and Africa; International Development, Debt and Environmental Policy; Trade and Investment Policy; Eurasia and the Middle East; and Technical Assistance Policy. The functions and responsibilities of the Deputy Assistant Secretaries are defined by the Assistant Secretary. The Deputy Assistant Secretaries serve under the policy guidance of the Assistant Secretary. Each Deputy Assistant Secretary supervises a number of offices managed by Directors. See the attached organization chart.
5. THE DEPUTY ASSISTANT SECRETARY (INTERNATIONAL MONETARY AND FINANCIAL POLICY) supervises: the Office of International Banking and Securities Markets; the Office of International Monetary Policy; the Office of Foreign Exchange Operations; and the Office of Industrial Nations and Global Analyses. The incumbent serves as a policy adviser to the Assistant Secretary (International Affairs) and is responsible for the following functions.
a. Formulates and implements Treasury policies concerning:
(l) maintenance and operation of a smoothly functioning international monetary system;
(2) coordination of economic policy among industrial nations through bilateral
relationships, the Economic Summit/G-7 process, the G-l 0 finance ministries and central
banks, and the Organization for Economic Cooperation and Development (OECD)
framework;
(3)
development and conduct of
(4)
(5)
foreign exchange operations and management of
(6) international capital markets.
b.
Provides analyses and forecasts of economic, monetary and financial
developments in, and the policies of, the major industrial nations and
maintains representatives at
c. Analyzes and forecasts regional and global payment patterns and their implications for the functioning of the monetary system and the international economy.
d.
Analyzes and assembles information relating to international banking, portfolio
investment and insurance matters and the international practices of
e. Provides analyses relating to the formulation of coordinated international economic policies among major industrial nations.
f
Prepares analyses and reports on current developments and near-term prospects
for the
g. Develops analytic techniques for the study of current international economic issues. Uses macroeconomic models as tools for analysis of issues, and provides econometrics modeling assistance to other offices.
h.
Provides direction to the Federal Reserve Bank of
Stabilization Fund (ESF) operations under the authority of the Secretary of the Treasury and other Treasury officials who are delegated such authority to assure that operations of the Federal Reserve System concerning the ESF are coordinated. In this regard, the incumbent intensively monitors foreign exchange markets and maintains continuing monitoring of gold markets and related developments.
6. THE DEPUTY ASSISTANT SECRETARY (ASIA THE AMERICAS AND AFRICA) supervises: the Office of East and South Asian Nations; the Office of African Nations; the Office of Latin American and Caribbean Nations; and the Mexico Task Force. The incumbent serves as a policy adviser to the Assistant Secretary (International Affairs) and is responsible for the following functions.
a. Formulates, evaluates, and implements Treasury policy and positions in the areas of
international
economics and finance dealing with the developing and emerging market countries
of Asia, the
b. Monitors the relations of individual developing and emerging market countries of Asia, the Americas, and sub-Saharan Africa with the international financial institutions (IFIs) and IFI programs in those countries; reviews and evaluates relations with, and programs developed by, the IFIs involving these developing and emerging market countries.
c.
Formulates
d. Develops, and monitors closely, policy recommendations regarding U.S. financial relations with the developing and emerging market countries of Asia, the Americas, and sub-Saharan Africa, including overseeing compliance with the U.S.-Mexico financial agreements of 1995, timely payment of principal and interest due from Mexico and debt repayment by other countries, rescheduling and other financial and economic policy issues.
e.
Analyzes financial sector liberalization programs and foreign exchange systems
in the developing and emerging market countries of Asia, the
f. Maintains acute awareness of financial and economic policies of these developing and emerging market countries, including stationing of Treasury representatives in key countries.
g. Assists senior Administration officials by identifying and evaluating existing programs, issues and projects and by developing new and viable approaches, techniques, and alternatives for programs involving such considerations as:
(1) liberalization of capital markets;
(2)
more effective utilization of bilateral and development funds in the developing
and emerging market countries of Asia, the
(3) greater integration of these developing and emerging market countries into the international financial and economic system;
(4) more effective utilization of multilateral channels for assistance;
(5) development of stable fiscal and monetary practices as well as a commitment to economic reform and adjustment in developing and emerging market countries of Asia, the Americas, and sub-Saharan Africa; and
(6) protection of the U.S. balance of payments and similar international monetary matters affecting the finances of the developing and emerging market countries of Asia, the Americas, and sub-Saharan Africa.
7. THE DEPUTY ASSISTANT SECRETARY (INTERNATIONAL DEVELOPMENT. DEBT AND ENVIRONMENTAL POLICY) supervises: the Office of Multilateral Development Banks (MDBs); and the Office of International Debt Policy. The incumbent serves as a policy adviser to the Assistant Secretary (International Affairs) and is responsible for the following functions.
a.
Formulates, evaluates, and implements Treasury policy and positions on a wide
range of economic, financial, and environmental issues pertaining to
b. Advises the Assistant Secretary International Affairs) on matters that concern:
(1) MDB financial, lending, and governance policies;
(2) MDB environmental policies and procedures;
(3)
(4) Treasury positions on specific MDB loans and technical assistance proposals; and
(5)
economic and financial issues pertaining to
c. Develops and presents Treasury positions for Federal interagency and international discussions concerning formulation of negotiating objectives, strategies, and tactics, as well as implementation of MDB replenishment, lending, and borrowing practices, programs, and objectives.
d.
Coordinates, within Treasury and with other agencies, implementation of the
e. Develops, evaluates and implements Treasury policies, positions, and initiatives concerning commercial bank debt, capital market developments, official bilateral debt, and U.S. Government bilateral debt.
f. Reviews policies of international and interagency bodies involved in development financing, such as the Development Assistance Committee of the OECD, the United Nations (UN) Conference on Trade and Development and other UN organizations, the Interagency Country Risk Assessment System, the Overseas Private Investment Corporation, and the National Advisory Council on International Monetary and Financial Policies.
g. Provides technical advice on issues involved in international debt management and policies.
h.
Prepares policy guidance for
8. THE DEPUTY ASSISTANT SECRETARY (TRADE AND INVESTMENT POLICY) supervises: the Office of International Trade; the Office of International Investment; the Office of Trade Finance; and the Office of Financial Services Negotiations. The incumbent services as a policy adviser to the Assistant Secretary (International Affairs) and is responsible for the following functions.
a. Formulates, evaluates and implements Treasury positions on:
(1)
(2) multilateral and bilateral trade negotiations;
(3) financial services negotiations, concerning such matters as the General Agreement on
Trade in Services;
(4) trade financial matters with respect to the Export-Import Bank, the Commodity Credit
Corporation, and international organizations, such as the OECD;
(5)
(6) trade programs, such as the General System of Preferences and textile regimes;
(7) direct investment issues, including matters pertaining to national security implications of mergers and acquisitions of U.S.-based firms by foreign entities, expropriation, the
Oversees Private Investment Corporation, and bilateral investment treaties; and
(8) basic natural resources which are not energy-related, in particular, non-fuel minerals and agricultural commodities.
b.
Provides the staff chair of the interagency Committee on Foreign Investment in
the
c.
Coordinates investigations under the Exon-Florio amendment (section 5021 of
Public Law 100418) to the Defense Production Act to determine the effects on
national security of foreign acquisitions, mergers or takeovers of
d. Drafts recommendations to the President on whether to prohibit or suspend transactions which are investigate under Exon-Florio, and drafts, in cooperation with the Office of the General Counsel, regulations issued pursuant to Exon-Florio.
e. Develops and implements Treasury policies within the incumbent's areas of responsibility which arise in such international fora as the World Trade Organization (WTO), the IMF and International Bank for Reconstruction and Development, and various committees of the OECD.
f. Develops trade finance policy and provides the lead U.S. Government negotiator on OECD Export Credit Arrangement issues; and leads and coordinates interagency, U.S. Government implementation of Arrangement policies and agreements.
g.
Develops negotiating objectives and strategy, and provides the lead
9. THE DEPUTY ASSISTANT SECRETARY (EURASIA AND THE MIDDLE EAST) supervises: the Office of Central and Eastern European Nations; and the Office of Middle Eastern and Central Asian Nations. The incumbent serves as a policy adviser to the Assistant Secretary (International Affairs) and is responsible for the following functions.
a. Formulates, evaluates, and implements Treasury policies and positions in the areas of
international
economics and finance dealing with countries in Central and Eastern Europe, the
Middle East, North Africa, and
b. Advises the Assistant Secretary International Affairs) on the implications of financial and economic developments in these areas.
c.
Develops
d.
Formulates, and monitors closely, policy recommendations regarding
e.
Reviews and evaluates the relations with and programs developed by IFIs and
other Federal agencies involving countries of Central and Eastern Europe, the
Middle East, North Africa, and
f. Maintains acute awareness of financial and economic policy of these countries including stationing of Treasury representatives in key countries.
g.
Identifies and evaluates existing projects, programs and issues, and develops
new and viable approaches, techniques, and alternatives to assist Treasury
officials in developing policies regarding Central and Eastern Europe, the
Middle East, North Attica, and
(1) more effective utilization of development funds;
(2)
greater integration of countries of Central and Eastern Europe, the
Africa,
and
(3) more effective utilization of multilateral channels for assistance,
(4) development of stable fiscal and monetary practices and a commitment to economic
reform and adjustment; and
(5)
protection of the
affecting
the finances of countries of Central and Eastern Europe, the
Africa,
and
10. THE DEPUTY ASSISTANT SECRETARY (TECHNICAL ASSISTANCE POLICY) supervises the following offices: the Office of Technical Assistance and the U.S.-Saudi Arabian Joint Commission Program Office. The incumbent serves as a policy adviser to the Assistant Secretary (International Affairs) on economic and financial technical assistance and is responsible for the following functions.
a.
Develops, evaluates and implements Treasury policies and positions on economic
and financial technical assistance to transitional and developing countries
including Eastern Europe and the former
b.
Serves as
Cooperation and chairs it’s Interagency Advisory Policy Group.
c. Serves as principal Treasury representative in interagency meetings and international
negotiations concerning the provision of economic and financial technical assistance to foreign countries.
d.
Maintains close contact with the various IFIs and other international
organizations to monitor their technical assistance efforts and coordinate
e. Provides timely and pertinent policy advice to senior Treasury officials, including legislative proposals and administrative actions that relate to technical assistance.
f. Manages multi-million dollar interagency allocation agreements which provide bilateral economic and financial technical assistance to foreign countries.
g. Provides oversight of all administrative and operational functions of Treasury economic and financial technical assistance programs, including authority to approve interagency and international agreements for conducting technical assistance.
11.
COUNSELOR FOR MIDDLE EAST AFFAIRS serves as a policy adviser to the Assistant
Secretary (International Affairs) for specialized financial and economic policy
issues on the Middle East including multilateral development, selected regional
macroeconomic issues, energy policy issues, and the financial interrelationship
of the various
12. THE OFFICE OF PROGRAM SERVICES is responsible for performing various management and administrative functions, such as personnel, travel, budget, information technology, security, correspondence control, distribution of reports, and responses to Freedom of Information Act and General Accounting Office requests.
13. CANCELLATION. Treasury Directive 2704, "Organization and Responsibilities of the Office of the Assistant Secretary (International Affairs)," dated November 19, 1986, is superseded.
14. EXPIRATION DATE. This Directive expires three years after the date of issuance unless canceled or superseded prior to that date.
15. OFFICE OF PRIMARY INTEREST. The Office of the Under Secretary (International Affairs).
/S/
Jeffrey R. Shafer
Under Secretary (International Affairs)
Attachment: Office of International Affairs Organization Chart. November 17,1996 (Click on title to view attachment)