Commencement: 31 December 1990

REPUBLIC OF VANUATU

THE SANTO WHARF PROJECT (LOAN) ACT
No. 19 OF 1990

Arrangement of Sections

1. Definition.
2. Minister's authority to borrow.
3. The purpose of borrowing.
4. Chapter 149 not to apply.
5. Commencement.

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REPUBLIC OF VANUATU

THE SANTO WHARF PROJECT (LOAN) ACT
No. 19 OF 1990

Assent: 21.12.90
Commencement: 31.12.90

An Act to authorize the borrowing of a sum of US$3.4 million for the purpose of the development of the Santo Wharf Project and for purposes connected therewith.

WHEREAS -

1. The Government has, under the Loan Agreement dated 19 February, 1988 made between the Republic of Vanuatu and the Asian Development Bank of P.O. Box 789, Manila, Philippines, (hereinafter called the "Bank") ratified by the Loan Agreement Between the Republic of Vanuatu and the Asian Development Bank, (Ratification) Act No. 2 of 1988, obtained a loan of four million four hundred and fifty thousand Special Drawing Rights (SDR 4,450,000) from the Bank for the construction of a new overseas wharf for Santo Port (hereinafter referred to as the "Santo Wharf Project"); and

2. The Santo Wharf Project is about 50 percent completed; and

3. The Santo Wharf Project is facing a major problem in that due to unexpected weak soil strata encountered during construction, the wharf requires significantly longer piles than those envisaged in the detailed design which consequently will result in a major cost overrun; and

4. An extra US$3.4 million is required to cover the major cost overrun and hence complete the Santo Wharf Project; and

5. Following an understanding reached between the Government and the Bank recorded in the Memorandum of Understanding signed at Port Vila on 8 November, 1990, the Bank is desirous of advancing to the Government the sum of US$3.4 million, by way of a further loan, for the completion of the Santo Wharf Project; and

6. The Government is desirous of accepting such advance for the said purposes on such terms and conditions as may be agreed between the Government and the Bank,

NOW THEREFORE BE IT ENACTED by the President and Parliament as follows:-

DEFINITION

1. In this Act "Minister" means the Minister responsible for finance.

MINISTER'S AUTHORITY TO BORROW

2. The Minister is hereby authorised to borrow from the Bank a sum of money not exceeding in the aggregate US$3.4 million (or its equivalent in any currency at the rate of exchange prevailing on the date of the borrowing) on such terms and conditions and by way of one or more loans, as shall be agreed in writing between the Minister and the Bank subject to the previous approval by the Council of Ministers.

THE PURPOSE OF BORROWING

3. All moneys borrowed under section 2 shall be paid into the Development Fund and shall be used for the purposes of the Santo Wharf Project.

CHAPTER 149 NOT TO APPLY

4. The provisions of the Government Borrowing and Guarantee Act [CAP. 149] shall not apply to any moneys borrowed or applied in pursuance of the provisions of this Act.

COMMENCEMENT

5. This Act shall come into force on the day of its publication in the Gazette.

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