No Funds for Forced Labor Act

HR 7516, the "No Funds for Forced Labor Act," requires the U.S. Treasury to direct American representatives at international financial institutions (like the World Bank) to oppose loans for projects that use or risk using forced labor, particularly those involving state-run entities in Xinjiang. It mandates these institutions to vet projects for forced labor risks, explain their vetting process, and detail mitigation steps before funding. The bill directly affects international financial institutions and the projects they fund, especially those linked to Xinjiang. It does not ban all loans but targets projects with documented forced labor concerns, requiring annual reports to Congress on implementation. The law focuses on policy changes to prevent U.S.-aligned financial support for forced labor practices.