MALTA MEMBERSHIP OF THE INTERNATIONAL MONETARY FUND (2020 BORROWING AGREEMENT) ORDER

MALTA MEMBERSHIP OF THE INTERNATIONAL

MONETARY FUND (2020 BORROWING AGREEMENT)

SUBSIDIARY LEGISLATION 209.03

MALTA MEMBERSHIP OF THE INTERNATIONAL

MONETARY FUND (2020 BORROWING

AGREEMENT) ORDER

14th January, 2021

LEGAL NOTICE 14 of 2021.

The title of this order is the Malta Membership of the

International Monetary Fund (2020 Borrowing Agreement) Order.

It is hereby declared

(a)

that the Central Bank of Malta and the

International Monetary Fund shall be entering into a bilateral

agreement with a view to lend to the Fund of Special Drawing

Rights a denominated amount subject to the relevant provisions

of the 2020 Borrowing Agreement, in accordance with Section

1(i) of Article VII of the Fund Agreement in the Schedule of the

Malta Membership of the International Monetary Fund Act;

(b)

that paragraph 2(a) of the 2020 Borrowing

Agreement provides that the term thereof shall expire on

December 31, 2023; provided that the Fund may extend the

term for one further year until December 31, 2024 by a decision

of the Executive Board, taking into account the Fund’s overall

liquidity situation and actual and prospective borrowing

requirements, and with the consent of the Central Bank of

Malta;

(c)

that the loan of a denominated amount to the Fund

of Special Drawing Rights by the Central Bank of Malta under

the 2020 Borrowing Agreement shall be equivalent up to two

hundred and sixty million euro (€260,000,000);

(d)

that the loan of a denominated amount to the Fund

of Special Drawings Rights shall be automatically reduced to

one hundred and twelve million euro (€112,000,000) once the

primary source for temporary resources of the International

Monetary Fund is doubled;

(e)

that it is expedient that those arrangements under

the 2020 Borrowing Agreement should take effect upon the

entry into force of the 2020 Borrowing Agreement and in

accordance with the relevant provisions of the said 2020

Borrowing Agreement;

(f)

that the 2020 Borrowing Agreement shall enter

MALTA MEMBERSHIP OF THE INTERNATIONAL

MONETARY FUND (2020 BORROWING AGREEMENT)

into force immediately upon the signing thereof.