Loans (Authorisation) Act

Link to law: http://www.parliament.gov.zm/node/1333
Published: 1957

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Printing - The Laws of the Republic of Zambia
The Laws of Zambia

Copyright Ministry of Legal Affairs, Government of the Republic of Zambia

REPUBLIC OF ZAMBIA

THE LOANS (AUTHORISATION) ACT

CHAPTER 355 OF THE LAWS OF ZAMBIA

CHAPTER 355 THE LOANS (AUTHORISATION) ACT

THE LOANS (AUTHORISATION) ACT

ARRANGEMENT OF SECTIONS

Section

1. Short title

2. Interpretation

3. Power to raise loans

4. Application of loans

5. Amounts of loans

6. Trust funds

7. Other loans

CHAPTER 355

LOANS (AUTHORISATION)

An Act to make provision for the raising of loans; and to provide for matters
incidental thereto and connected therewith.

[26th July, 1957]

26 of 1957
44 of 1961
28 of 1963
29 of 1964
Government Notices
221 of 1964
497 of 1964
Statutory Instrument
159 of 1965

The Laws of Zambia

Copyright Ministry of Legal Affairs, Government of the Republic of Zambia

1. This Act may be cited as the Loans (Authorisation) Act. Short title

2. In this Act, unless the context otherwise requires- Interpretation

"the Capital Fund" means the Fund established in accordance with a motion
adopted by the Legislative Council of the former Protectorate of Northern
Rhodesia on the 19th July, 1955;

"the Capital Fund Estimates" means those estimates of expenditure from the
Capital Fund which are approved specifically by the National Assembly
from time to time by motion;

"net amount" means the amount of a loan less any sum necessary to defray the
cost of the issue of the loan.

(No. 28 of 1963 as amended by G.N. No. 221 of 1964 and S.I. No. 159 of 1965)

3. Authority is hereby given for the raising on behalf of the Republic of a loan or
loans by the following methods:

(a) by the President, who is hereby authorised so to do, issuing either at one
time or by instalments, as may be convenient, stock or securities or both
under the provisions of the Local Loans (Registered Stock and Securities)
Act, the General Loan and Stock Act, or any other Act prescribing the terms
and conditions of the loans;

(b) when the President so authorises, by the Permanent Secretary, Ministry of
Finance, who is hereby authorised so to do, borrowing by way of loan or
overdraft from a bank or by way of loan or advance from any other source
such sum and for such period as the President may authorise.

(As amended by No. 44 of 1961, G.N. No. 221 of 1964 and S.I. No. 159 of 1965)

Power to raise loans
Cap. 353
Cap. 350

4. (1) Subject to the provisions of subsection (4), the net amount of all moneys
raised under this Act, other than moneys raised by overdraft from a bank, shall be paid
into the Government fund or account specified in or under the provisions of this section
and shall be applied to the purposes so specified and to no other purpose.

Application of loans

(2) In the case of loans for a period exceeding four years, the net amount raised
shall be paid into the Capital Fund and may be appropriated and applied to any of the
purposes of the Capital Fund Estimates.

(3) In the case of loans raised by the issue of treasury bills and of loans for a period
not exceeding four years, the net amount raised shall be paid into a deposit account of the
Government and may be used to defray any Government expenditure or debt:

The Laws of Zambia

Copyright Ministry of Legal Affairs, Government of the Republic of Zambia

Provided that the President may in any case direct that the net amount raised or any
part of that amount shall be paid into or transferred to any other Government fund or
account specified in such direction and shall be used for the purposes of such fund or
account or for any particular purpose or purposes specified in such direction.

(4) Notwithstanding any other provision contained in this Act, any loan raised under
this Act for a specific purpose shall be applied to that purpose and to no other purpose.

(No. 28 of 1963 as amended by G.N. No. 221 of 1964)

5. (1) Any loans raised under the provisions of this Act for a period not exceeding
two years and any amounts raised by the issue of treasury bills or by overdraft from a
bank shall not at any time exceed in the aggregate thirty million kwacha:

Amounts of loans

Provided that where the President, in exercise of the powers conferred by subsection
(3) of section four, directs that any moneys raised by any borrowing to which this
subsection applies shall be paid into the Capital Fund, the amount so paid and any
moneys raised under subsequent loans which are applied to the repayment of the moneys
so paid into the Capital Fund shall not be taken into account for the purposes of this
subsection.

(2) The net amount of all loans raised under the provisions of this Act for a period in
excess of two years, together with the amount of any moneys paid into the Capital Fund in
pursuance of a direction given by the President under the provisions of subsection (3) of
section four and any loans raised under the provisions of the Development (United
Kingdom Government) Loan Act, shall not exceed in the aggregate one hundred and fifty
million kwacha.

(No. 28 of 1963 as amended by No. 29 of 1964 and G.N. No. 221 of 1964)

Cap. 373

6. Stock or securities issued under the provisions of this Act shall be deemed for
all purposes within the Republic to be an authorised investment for trust funds.

(As amended by S.I. No. 159 of 1965)

Trust funds

7. From the commencement of this Act, no further loans shall be raised under the
provisions of the Specific Loan Act or the Specific Loan (Local Loan) Act, Chapters 227
and 255 of the 1958 Edition of the Laws respectively.

Other loans