International Responsibility and Self-Sufficiency Act of 1998

International Responsibility and Self-Sufficiency Act of 1998 - Directs the Secretary of State to establish an index of economic freedom to evaluate annually the level of economic freedom of countries receiving U.S. development assistance. Directs the Secretary of State, while using such index, to review specified trade and economic factors with respect to each country and assign a specific numerical rating for each factor to determine an average score for each country (one for the highest and five for the lowest level of economic freedom).

(Sec. 4) Directs the President, in conjunction with the submission of annual requests for authorizations and appropriations for foreign assistance programs, to submit to the Congress a ranking by category based upon the index of economic freedom for each country for which U.S. development assistance is requested for the fiscal year. Sets forth a methodology for the phase-out of U.S. development assistance to countries based on their ranking under the annual index of economic freedom.

(Sec. 5) Directs the Secretary of the Treasury to instruct the U.S. Executive Director of each international financial institution to use the U.S. vote to oppose the provision of assistance (except disaster assistance), directly or indirectly, by the institution to the government, any citizen, or any entity of any country which is denied assistance under this Act. Requires the withholding of U.S. payments to any institution that provides assistance to countries ineligible to receive U.S. development assistance under this Act.

Expresses the sense of the Congress that each international financial institution should establish an index of economic freedom and implement a phase-out of assistance based on such index similar to those established under this Act.

(Sec. 6) Directs the Secretary of the Treasury to: (1) withdraw the United States from an international financial institution as soon as it is determined that U.S. development assistance may not be provided to a country to which such institution may provide assistance; and (2) negotiate an agreement on the method of settling accounts with the institution.