Commonwealth Consolidated Acts

EXPORT FINANCE AND INSURANCE CORPORATION ACT 1991 - SECT 16

             (1)  Where:

                     (a)  a person (in this section called the lender ) has lent, or proposes to lend, money to a person who is carrying on business in Australia; and

                     (b)  the purpose of the loan or proposed loan is the financing, in whole or in part, of Australian export trade;

EFIC may guarantee to the lender the repayment of the whole, or any part, of the money lent, or proposed to be lent, and the payment of the whole, or a part, of any interest or other charges that may become payable to the lender in respect of the money lent.

             (2)  Where EFIC has given, or proposes to give, a guarantee to the lender, EFIC may enter into a contract with the lender under which, in consideration of the lender making or agreeing to make the loan, EFIC agrees to pay the lender, in specified circumstances, an amount ascertained in accordance with the contract.