RESOLUTION OF PARLIAMENT TO BORROW FOR CAPITAL OR CURRENT EXPENDITURE – RECONSTRUCTION AND REHABILITATION OF ST. JUDE HOSPITAL PROJECT – SECTION 63(1)(a)
Commencement [15 September 2023]
RESOLUTION
WHEREAS it is provided under section 63(1)(a) of the Public Finance Management Act, (the Act) that the Minister of Finance may, by an affirmative Resolution of Parliament, borrow from a bank or other financial institution for the capital or current expenditure of Government;
AND WHEREAS it is further provided under section 64 of the Act that money borrowed by the Government must be paid into and form part of the Consolidated Fund;
AND WHEREAS the Minister of Finance considers it necessary to borrow from the Saudi Fund for Development the sum of SAR281,250,000 to finance the Reconstruction and Rehabilitation of St. Jude Hospital Project;
AND WHEREAS the loan is repayable in 20 years after the grace period of 5 years from the date of the Loan Agreement commencing on the 15th day of May and the 15th day of November in each year after the grace period;
AND WHEREAS interest at a rate of 2% per annum is payable semi-annually on the principal amount of the loan withdrawn and outstanding;
BE IT RESOLVED that Parliament authorizes the Minister of Finance to borrow from the Saudi Fund for Development the sum of SAR281,250,000 to finance the Reconstruction and Rehabilitation of St. Jude Hospital Project;
BE IT FURTHER RESOLVED that —
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(a) the loan is repayable in 20 years after the grace period of
5 years from the date of the Loan Agreement commencing on the 15th day of May and the 15th day of November in each year after the grace period;
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(b) interest at a rate of 2% per annum is payable semi-annually on the principal amount of the loan withdrawn and outstanding.
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(b) cater for future emergencies.