Authorizes the President to: (1) reduce the amount of outstanding Soviet-era debt owed by the Russian Federation to the United States (including any credits extended under the Agricultural Trade Development and Assistance Act of 1954); (2) sell to eligible purchasers outstanding Soviet-era debts for the purpose of facilitating debt-for-nonproliferation exchanges; and (3) sell any related loan or credit to the Russian Federation itself (debt buyback). Conditions any debt reduction on an agreement with the Russian Federation concerning the use of funds saved by that country as a result of debt relief, including devotion of a significant proportion to nonproliferation programs and projects.
Prohibits the exercise of any debt reduction authority under this Act unless and until the President certifies to Congress that the Russian Federation has made material progress in stemming the flow of sensitive goods, technologies, material and know-how related to the design, development, and production of weapons of mass destruction to countries that have provided support for acts of international terrorism.
Authorizes the President to institute discussions with the Paris Club of creditor states to negotiate debt-for-nonproliferation exchanges with the Russian Federation.