Limitations and preferences

Section 1451 of the Better Utilization of Investments Leading to Development Act of 2018 (22 U.S.C. 9671) is amended— (1) in subsection (a), by striking 5 percent and inserting 2.5 percent; and (2) by adding at the end the following: (j) Policies with respect to state-owned enterprises, anticompetitive practices, and countries of concern (1) Policy The Corporation shall develop appropriate policies and guidelines for support provided under title II for a project involving a state-owned enterprise, sovereign wealth fund, or a parastatal entity to ensure such support is provided consistent with appropriate principles and practices of competitive neutrality. (2) Prohibitions (A) Anticompetitive practices The Corporation may not provide support under title II for a project that involves a private sector entity engaged in anticompetitive practices. (B) Countries of concern The Corporation may not provide support under title II for projects that would be operated, managed, or controlled by the government of a county of concern or a state-owned enterprise that belongs to or is under the control of a country of concern. (C) Exception The President may waive the restriction under subparagraph (B) on a project-by-project basis if the President submits to the appropriate congressional committees— (i) a certification, which may be included as a classified or confidential annex to a report required by section 1446, that such support is important to the national security interests of the United States; and (ii) a written justification of how such support directly counters or significantly limits the influence of an entity described in such subparagraph. (3) Definitions In this subsection: (A) Control The term control, with respect to an enterprise, means the power by any means to control the enterprise regardless of— (i) the level of ownership; and (ii) whether or not the power is exercised. (B) Owned The term owned, with respect to an enterprise, means a majority or controlling interest, whether by value or voting interest, of the shares of that enterprise, including through fiduciaries, agents, or other means. (C) State-owned enterprise The term state-owned enterprise means any enterprise established for a commercial or business purpose that is directly owned or controlled by one or more governments, including any agency, instrumentality, subdivision, or other unit of government at any level of jurisdiction..