Commonwealth Consolidated Acts

EXPORT FINANCE AND INSURANCE CORPORATION ACT 1991 - SECT 3

             (1)  In this Act, unless the contrary intention appears:

"appointed member" means a member, other than the Managing Director of EFIC.

"Board" means the Export Finance and Insurance Corporation Board.

"called capital" , in relation to EFIC at a particular time, means the total amount paid by the Commonwealth to EFIC under subsection 54(4), less any amounts paid by EFIC to the Commonwealth under subsection 54(6).

"Chairperson" includes a person acting as Chairperson.

"Deputy Chairperson" includes a person acting as Deputy Chairperson.

"Deputy Managing Director" includes a person acting as Deputy Managing Director.

"EFIC" means the Export Finance and Insurance Corporation.

"export contract" means a contract or arrangement:

                     (a)  for the export of goods produced or manufactured wholly or in part in Australia; or

                     (b)  for the rendering (whether inside or outside Australia) of a service to a person outside Australia.

"Finance Minister" means the Minister who administers the Financial Management and Accountability Act 1997 .

"guarantee" includes the provision of stand-by credit and any other form of monetary commitment supporting the performance of an obligation.

"Managing Director" includes a person acting as Managing Director.

"member" means a member of the Board, and includes the Chairperson, the Deputy Chairperson and a person acting as a member of the Board.

"overseas investment transaction" means:

                     (a)  the acquisition of shares or stock, or of any other interest, in a corporation incorporated in a foreign country, being a corporation:

                              (i)  that, either alone or with other persons, carries on, or proposes to carry on, a business in a foreign country; or

                             (ii)  that has a substantial shareholding in another corporation that, either alone or with other persons, carries on, or proposes to carry on, a business in a foreign country; or

                     (b)  the acquisition of a right to share in the income or assets, or the income and assets, of a business carried on, or proposed to be carried on, in a foreign country, whether as a partnership or otherwise; or

                     (c)  the lending of money to a person for use by that person in, or in connection with, a business carried on, or proposed to be carried on, by the person in a foreign country or the guaranteeing of, or the provision of other support for, the repayment of money so lent and the payment of interest or other charges that may become payable in respect of money so lent; or

                     (d)  the transferring of money to, or the importing of equipment or other goods into, a foreign country for use in, or in connection with, a business carried on, or proposed to be carried on, in a foreign country by the person transferring the money or importing the equipment or other goods; or

                     (e)  the transferring of money, or the supply of equipment or other goods, by a corporation to another corporation in which that first‑mentioned corporation has a substantial shareholding, being money, equipment or goods for use in, or in connection with, a business carried on, or proposed to be carried on, by that other corporation in a foreign country.

"short-term insurance contract" means an export payments insurance contract under section 14 that covers a loss or detriment arising out of a contract or arrangement whose initial payment term is no longer than 360 days, but does not include an export payments insurance contract that EFIC has entered into, whether wholly or partly, in accordance with an approval or direction under Part 5.

             (2)  In this Act, a reference to a loan or to the lending of money includes a reference to the provision of finance, or to the provision of a financial accommodation, in any form.

             (3)  For the purposes of this Act, a transaction is an eligible export transaction if, in whole or in part, it involves, is associated with, or is incidental or related to:

                     (a)  the export from Australia of capital goods produced or manufactured wholly or substantially in Australia; or

                     (b)  the production or manufacture in Australia, wholly or substantially, of capital goods that are to be exported from Australia; or

                     (c)  the supply, installation, erection, operation, maintenance or repair of capital goods produced or manufactured wholly or substantially in Australia and exported from Australia; or

                     (d)  the rendering in Australia or a foreign country:

                              (i)  of any services in or in connection with the supply, installation, erection, operation, maintenance or repair of capital goods produced or manufactured wholly or substantially in Australia and exported from Australia; or

                             (ii)  of any construction, technological, managerial or other services (whether in connection with such capital goods or otherwise) for a person carrying on business in a foreign country or for the government, or an agency of the government, of that country or of any political subdivision of that country.

             (4)  In subsection (3), capital goods means:

                     (a)  machinery; or

                     (b)  any goods or class of goods declared by the Minister, in writing, to be capital goods for the purposes of subsection (3).

             (5)  In this Act, a reference to Australian export trade includes a reference to any transaction (including the rendering of a service) involving a benefit flowing directly or indirectly from overseas to a person carrying on business or other activities in Australia.