LOANS (INTER-AMERICAN DEVELOPMENT BANK) ACT

ARRANGEMENT OF SECTIONS

   1   Short title

   2   Interpretation

   3   Power of the Government to borrow from the Inter-American Development Bank

   4   Power to issue instruments including bonds

   5   Borrowing by statutory authority from the Bank

   6   Application of loan moneys by statutory authority

   7   Power of Government to guarantee loans by Bank to statutory authorities

   8   Power of Government to guarantee loans by Bank to companies

   9   Restriction on borrowing powers of statutory authority so far as guarantee outstanding

   10   Powers exercisable by Minister in event of prospect of default by statutory authority

   11   Statutory authority to repay to Government sums paid under guarantee

   12   Arbitration

   13   Implementation of obligation under the agreement

 

THE LOANS (INTER-AMERICAN DEVELOPMENT BANK) ACT

[Date of Commencement: 11th September, 1970]

Act 26 of 1970.

1   Short title

   This Act may be cited as the Loans (Inter-American Development Bank) Act.

2   Interpretation

   In this Act-

   "Bank" means the Inter-American Development Bank,

   "company" means a company incorporated in Jamaica and carrying on business therein;

   "Minister" means the Minister responsible for finance;

   "statutory authority" means any body established directly by statute and exercising powers vested such body by law for a public purpose.

3   Power of the Government to borrow from the Inter-American Development Bank

   (1) Subject to the provisions of this Act, the Government may, in such manner and on such terms and subject to such conditions as may be agreed between the Government and the Bank, borrow from the Bank from tune to time such sums as may be required by the Government.

   (2) Any sums borrowed by the Government under the powers conferred by subsection (1) for the requirements of the Government shall be applied and are hereby appropriated to the purposes for which they were borrowed as specified in any agreement concluded with the Bank in respect of the sums so borrowed:

   Provided that where any part of such sum cannot be applied to the purposes aforesaid such part may be applied to such other purposes as may be approved by the Minister and the Bank.

   (3) Any agreement between the Government and the Bank in respect of sums borrowed under the powers conferred by subsection (1) shall be made in the name of Jamaica and may be signed on behalf of Jamaica by the Minister or by any person authorised thereto in writing by the Minister.

   (4) As soon as possible after the conclusion thereof a copy of any agreement concluded with the Bank in respect of any sum borrowed under the powers conferred by subsection (1) shall be laid by the Minister before the House of Representatives.

   (5) Nothing in the provisions of this section shall affect or derogate from any other power to borrow money possessed by the Government.

   (6) All amounts required for the repayment of any sums borrowed under the powers conferred by this section and all interest and other charges on such sums are hereby charged upon and shall be payable out of the Consolidated Fund and assets of Jamaica.

4   Power to issue instruments including bonds

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   (1) The Government may issue such bonds, promissory notes or other instruments on such terms and conditions as may be necessary for the purpose of giving effect to the terms of any agreement which may be entered into by it with the Bank in respect of any borrowing authorised by subsection (1) of section 3.

   (2) Any such bond, promissory note or other instrument may be signed on behalf of the Government by the Minister or by any other person authorised thereto in writing by the Minister.

5   Borrowing by statutory authority from the Bank

   (1) Subject to the provisions of this Act, a statutory authority may, in such manner and on such terms and subject to such conditions as may be agreed between the statutory authority and the Bank and with the approval in writing first obtained of the Minister, borrow from the Bank from time to time such sums as may be required by the statutory authority.

   (2) Notwithstanding anything to the contrary any agreement between the statutory authority and the Bank shall be valid and binding on the authority if signed on behalf of the authority by a person authorised thereto in writing under the seal of the statutory authority.

   (3) The power to borrow conferred by this section on a statutory authority shall be in addition to any power to borrow conferred on such authority by or under any other statute.

   (4) Notwithstanding anything to the contrary, a statutory authority may charge or mortgage all or any of its property (movable or immovable) undertaking or revenue to secure any sum owing to the Bank in respect of sums borrowed by it under the powers conferred by subsection (1)-

   (5) Notwithstanding anything to the contrary, a statutory authority may issue such bonds, promissory notes and other instruments on such terms and conditions as may be necessary for the purpose of giving effect to any agreement which may be entered into by it with the Bank in respect of any borrowing authorised by subsection (1).

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