Agricultural Credit Act, 1972

Amendment of section 5 of the Act of 1961.

4.—Section 5 of the Act of 1961 is hereby amended by—

(a) the insertion in subsection (1) after “in such form and manner” of “and in such money (including money in a currency other than the currency of the State)”,

(b) the insertion in subsection (1) after “payment of the interest” of “and any such guarantee may include guarantee of payment by the Corporation of incidental expenses arising in connection with the borrowing,” and

(c) the insertion after subsection (8) of the following new subsections—

“(9) In relation to a guarantee under this section in money in currency other than the currency of the State—

(a) each of the references to principal in subsections (2) and (4) of this section shall be taken as referring to the equivalent in currency of the State of the actual principal, such equivalent being calculated according to the rate of exchange at the time of the giving of the guarantee,

(b) each of the references to moneys in subsections (3), (5), (6), (7) and (8) of this section shall be taken as referring to the cost in currency of the State of the actual moneys.

(10) Where—

(a) the equivalent in currency of the State of other currency is being calculated pursuant to subsection (9) (a) of this section, and

(b) the currencies having, at the time specified in that paragraph, par values established under the Articles of Agreement of the International Monetary Fund include the currency of the State and the other currency, the reference in that paragraph to the rate of exchange at that time shall be taken as referring to the rate of exchange based on those values.”