The legislation is an expression of US policy towards Central and Eastern European countries, which were previously members of the Warsaw Pact and the Council for Mutual Economic Assistance.
Initially targeted at Poland and Hungary, they subsequently encompassed Albania, Bulgaria, the Czech Republic, Slovakia, Estonia, Latvia, Lithuania, Romania and the countries of the former Socialist Federal Republic of Yugoslavia.
[2] The legislative focus is on the establishment of democratic institutions in these countries through aid for agriculture, private sector development, trade and investment, educational, cultural and scientific activities, as well as specific programs.
A prerequisite for so-called financial assistance is the removal of trade restrictions, the liberalization of investment and capital, including through foreign investment, and the exportation of profits from these countries by foreign (US) investors.
The other focus is on the development of the capital financial markets in these countries, and in particular on the privatization and concession of public assets.