GUARANTEES TO THE EUROPEAN INVESTMENT BANK ACT

GUARANTEES TO THE EUROPEAN INVESTMENT BANK

CHAPTER 616

GUARANTEES TO THE EUROPEAN INVESTMENT

BANK ACT

AN ACT to authorise, regularise and to issue guarantees to the

European Investment Bank in specific cases and to provide for matters

ancillary and incidental thereto.

14th July, 2020

ACT XXXIII of 2020.

The short title of this Act is the Guarantees to the European

Investment Bank Act.

First Demand Guarantee Agreement

In this Act, unless the context otherwise requires

"Contribution Agreement" means the Contribution

Agreement which may be entered into between the Government

of Malta and the European Investment Bank in respect of the

Pan-European Guarantee Fund in response to COVID-19,

reproduced in the Second Schedule;

"First Demand Guarantee Agreement" means the

Guarantee Agreement that may be entered into between the

Original Guarantors, including the Government of Malta, and

the Acceding Guarantors acceding from time to time and the

European Investment Bank in relation to transactions entered

into by the Bank for the account of the Fund, reproduced in the

First Schedule;

"Fund" means the EU COVID-19 Guarantee Fund to be

established by the European Investment Bank under its

Partnership Platform for Funds;

"Malta" shall have the same meaning as assigned to it by

article 124 of the Constitution of Malta;

"Minister" means the Minister responsible for finance.

Contribution Agreement

Subject to the provisions of this Act, the Government of

Malta may issue unconditional, irrevocable and first demand

guarantees to the European Investment Bank by entering into a First

Demand Guarantee Agreement with the Bank in relation to

transactions entered into by the European Investment Bank for the

account of the Fund.

(1)

Any guarantee issued in accordance with article 3

shall be subject to the terms incorporated in the Contribution

Agreement

Provided that the guarantee issued by the Government of

GUARANTEES TO THE EUROPEAN INVESTMENT BANK

Malta shall not exceed the aggregate amount of twelve million, two

hundred and ninety-seven thousand, four hundred and ten euro and six

cents (€12,297,410.06).

(2)

Any guarantee issued by the Government of Malta relating

to the Fund beyond the purpose specified under sub-article (1) may

only be done in such manner and for such purpose as the House may

by resolution determine.

The Annexes to this Act may be made in the English

language only.