LOCAL AND OTHER LOANS ACT

LOCAL AND OTHER LOANS

CHAPTER 393

LOCAL AND OTHER LOANS ACT

To authorise the raising of a sum of one hundred million Maltese liri by

way of loan.

(2nd May, 1997) *

Enacted by ACT VI of 1997 , as amended by Act XXIV of 1997 .

This Act may be cited as the Local and other Loans Act.

(1) Subject to the provisions of this Act, the Government

of Malta may raise, by way of loans, both in Malta and outside

Malta, a sum of money not exceeding one hundred and seventy-five

million Maltese liri.

(2) For the purpose of raising the aforesaid loans, the Minister

responsible for finance is hereby authorised to borrow sums of

money, on such terms and conditions as the said Minister may

approve, under the provisions either

(a) of the Development Loan Act, in respect of loans

raised outside Malta; and, or

(b) of the Local Loans (Registered Stock and Securities)

Ordinance, in order to issue stock in Malta.

(1) Any money borrowed under the authority of this Act,

shall be appropriated and applied for the purpose of -

(a) a sum not exceeding seventy five million Maltese liri

to make good the deficit incurred by the Consolidated

Fund to meet expenditure during the year 1996;

(b) a sum not exceeding twenty-five million Maltese liri to

be loaned to the Malta Drydocks (established under the

Malta Dockyard Act) to be used exclusively as to

twenty million Maltese liri to settle outstanding debts

due to the Government of Malta in respect of social

security contributions, PAYE and other debts, and as to

five million Maltese liri to settle arrears of debit

interests on outstanding overdraft and other banking

facilities availed of by the said Malta Drydocks; and

(c) a sum not exceeding seventy-five million Maltese liri

to make good part of the deficit expected to be

incurred by the Consolidated Fund to meet expenditure

during the year 1997.

(2) Notwithstanding anything contained in the Malta Dockyard

Act and in any other law Malta Drydocks is hereby authorised to

take up the loan referred to in paragraph (b) of subsection (1)

hereof and the said Malta Drydocks shall be deemed to have

properly incurred the debts and taken the overdraft and other

facilities therein referred to.

*See Government Notice No. 323 of 2nd May, 1997.