(1) The Minister responsible for finance may, with the approval of Parliament by resolution, guarantee in the manner and on conditions as he or she thinks fit, the payments of the principal and interest of amounts borrowed by the Council.
(2) If the Minister responsible for finance is satisfied that there has been default in the payment of principal money or interest guaranteed under subsection (1), he or she shall direct the repayment of the principal money or interest out of the Consolidated Fund.