Malta Government Stock, 2029 (IV)

L.N. 228 of 2019

GOVERNMENT BORROWING AND MANAGEMENT OF

PUBLIC DEBT ACT

(CAP. 575)

Directive by the Minister for Finance, for the issue of €2,522,400 7%

Malta Government Stock, 2029 (IV)

IN EXERCISE of the powers conferred by article 28 of the

Government Borrowing and Management of Public Debt Act, and by

articles 6 and 7 of the Ecclesiastical Entities (Properties) Act, and by

virtue of the Agreement entered into between the Holy See and Malta,

signed on the 28th November, 1991, and reproduced in the Schedule to

the Ecclesiastical Entities (Properties) Act, 1992, the Minister for

Finance, has authorized that the sum of €2,522,400 7% Malta

Government Stock be created and issued directly to the Ecclesiastical

Entities as follows:-

The issuance of this stock is subject to the terms and Collection

conditions of the approved model Collective Action Clauses (CACs), Action

(CACs).

which became mandatory in all new euro area government securities

with maturity above one year issued on or after 1st January 2013,

pursuant to the decision of the European Council of the 24th and 25th

March 2011, and in accordance with paragraph 3 of Article 12 of the

European Stability Mechanism (ESM) Treaty. The full terms and

conditions of the model Collective Action Clauses (CACs) are

published on the Treasury website at www.treasury.gov.mt under the

section reserved for the Debt Management Directorate.

The Stock which is negotiable and free of duty on Mode of issuing

documents shall be issued at the price of €100 per cent and shall be Stock.

allotted to the Ecclesiastical Entities in multiples of €100 on the 14 th

October 2019.

(1) Interest in full will be payable in arrears half-yearly Rate of Interest

th

on the 14 April and on the 14th October in every year during the and

payment .

currency of the Stock. The rate of interest shall be revised upon the

lapse of every period of two years, starting from the date of emission

of such stock, in such a way as to maintain it at 1% lower than the

normal maximum lending rate allowed at law, it being understood that

it cannot fall below 7%

(2) Payment of interest will be made by warrant, which is sent

by post at the stockholder’s risk to the stockholder himself or to any

branch of any local bank, person or body of persons to whom the

stockholder has by a request in writing authorized the Accountant

General to issue such warrant. No warrant shall be paid until the

relative receipt has been duly signed and such receipt shall be a full

discharge to the Accountant General and the Government for such

payment.

(3) In cases where Stock is registered in the names of two or

more persons as joint stockholders, the Accountant General may make

payment in the manner above-mentioned to the person whose name

first appears in the register. A receipt for the payment of interest given

by one or two or more joint stockholders shall, unless notice in writing

to the contrary has been received by the Accountant General from any

other joint stockholder, be a full discharge to the Accountant General

and the Government for the payment of such interest.

An application for the Stock to be put on the official list for

trading on the Malta Stock Exchange will be made in terms of the

Financial Markets Act. Such Stock may be freely sold to the public

with the prior authorization of the Maltese Episcopal Conference.

Such Stock may however be traded between Ecclesiastical Entities

outside the Malta Stock Exchange, does not require such authorization,

and shall be exempt from duty on documents.

The Stock and interest thereon will be a charge on the

general revenue and assets of the Government of Malta.

The Stock shall be redeemed at a premium of 10% over the

nominal value on such date between the 1st January 2029 and the 31st

December, 2029 (both dates inclusive) as shall be determined by the

Accountant General and notified in the Gazette.

€0.18