Prohibiting New Investment in Burma

Executive Order 13047 of May 20, 1997

Prohibiting New Investment in Burma

By the authority vested in me as President by the
Constitution and the laws of the United States of
America, including section 570 of the Foreign
Operations, Export Financing, and Related Programs
Appropriations Act, 1997 (Public Law 104-208) (the
“Act”), the International Emergency Economic Powers
Act (50 U.S.C. 1701 et seq.) (IEEPA), the National
Emergencies Act (50 U.S.C. 1601 et seq.), and section
301 of title 3 of the United States Code;

I, WILLIAM J. CLINTON, President of the United States
of America, hereby determine and certify that, for
purposes of section 570(b) of the Act, the Government
of Burma has committed large-scale repression of the
democratic opposition in Burma after September 30,
1996, and further determine that the actions and
policies of the Government of Burma constitute an
unusual and extraordinary threat to the national
security and foreign policy of the United States and
declare a national emergency to deal with that threat.

Section 1. Except to the extent provided in
regulations, orders, directives, or licenses that may
be issued in conformity with section 570 of the Act and
pursuant to this order, I hereby prohibit new
investment in Burma by United States persons.

Sec. 2. The following are also prohibited, except to
the extent provided in section 203(b) of IEEPA (50
U.S.C. 1702(b)) or in regulations, orders, directives,
or licenses that may be issued pursuant to this order:

    (a) any approval or other facilitation by a United
States person, wherever located, of a transaction by a
foreign person where the transaction would constitute
new investment in Burma prohibited by this order if
engaged in by a United States person or within the
United States; and
    (b) any transaction by a United States person or
within the United States that evades or avoids, or has
the purpose of evading or avoiding, or attempts to
violate, any of the prohibitions set forth in this
order.

Sec. 3. Nothing in this order shall be construed to
prohibit the entry into, performance of, or financing
of a contract to sell or purchase goods, services, or
technology, except:

    (a) where the entry into such contract on or after
the effective date of this order is for the general
supervision and guarantee of another person's
performance of a contract for the economic development
of resources located in Burma; or
    (b) where such contract provides for payment, in
whole or in part, in:
       (i) shares of ownership, including an equity
interest, in the economic development of resources
located in Burma; or
       (ii) participation in royalties, earnings, or
profits in the economic development of resources
located in Burma.

Sec. 4. For the purposes of this order:

    (a) the term “person” means an individual or
entity;
    (b) the term “entity” means a partnership,
association, trust, joint venture, corporation, or
other organization;
    (c) the term “United States person” means any
United States citizen, permanent resident alien,
juridical person organized under the laws of the

United States (including foreign branches), or any
person in the United States;
    (d) the term “new investment” means any of the
following activities, if such an activity is undertaken
pursuant to an agreement, or pursuant to the exercise
of rights under such an agreement, that is entered into
with the Government of Burma or a nongovernmental
entity in Burma on or after the effective date of this
order:
       (i) the entry into a contract that includes the
economic development of resources located in Burma;
       (ii) the entry into a contract providing for the
general supervision and guarantee of another person's
performance of a contract that includes the economic
development of resources located in Burma;
       (iii) the purchase of a share of ownership,
including an equity interest, in the economic
development of resources located in Burma; or
       (iv) the entry into a contract providing for the
participation in royalties, earnings, or profits in the
economic development of resources located in Burma,
without regard to the form of the participation;
    (e) the term “resources located in Burma” means
any resources, including natural, agricultural,
commercial, financial, industrial, and human resources,
located within the territory of Burma, including the
territorial sea, or located within the exclusive
economic zone or continental shelf of Burma;
    (f) the term “economic development of resources
located in Burma” shall not be construed to include
not-for-profit educational, health, or other
humanitarian programs or activities.

Sec. 5. I hereby delegate to the Secretary of State the
functions vested in me under section 570(c) and (d) of
the Act, to be exercised in consultation with the heads
of other agencies of the United States Government as
appropriate.

Sec. 6. The Secretary of the Treasury, in consultation
with the Secretary of State, is hereby authorized to
take such actions, including the promulgation of rules
and regulations, and to employ all powers granted to me
by section 570(b) of the Act and by IEEPA, as may be
necessary to carry out the purposes of this order. The
Secretary of the Treasury may redelegate the authority
set forth in this order to other officers and agencies
of the United States Government. All agencies of the
United States Government are hereby directed to take
all appropriate measures within their authority to
carry out the provisions of this order.

Sec. 7. Nothing contained in this order shall create
any right or benefit, substantive or procedural,
enforceable by any party against the United States, its
agencies or instrumentalities, its officers or
employees, or any other person.

Sec. 8. (a) This order shall take effect at 12:01 a.m.,
eastern daylight time, May 21, 1997.

    (b) This order shall be transmitted to the Congress
and published in the Federal Register.

    (Presidential Sig.)

THE WHITE HOUSE,

     May 20, 1997.