Commonwealth Numbered Acts

EXPORT FINANCE AND INSURANCE CORPORATION ACT 1974 No. 122 of 1974 - SECT 39

39. (1) The Board shall keep the Minister informed of the decisions of the
Board with respect to matters of policy in relation to the conduct of the
Corporation's business under this Part.

(2) Before adopting a policy (including an altered policy) with respect to a
matter included in any of the following subjects, namely:-

   (a)  the classes of eligible export transactions which the Corporation will
        finance;

   (b)  the classes of persons to whom the Corporation will make loans; and

   (c)  the financing of eligible export transactions relating to trade with
        particular countries; and

   (d)  interest rates, the Board shall submit the policy for the approval of
        the Minister, and the Board shall not adopt the policy without the
        approval of the Minister, or, except during such time as the Minister
        permits, continue to pursue the policy where the Minister, having
        approved the policy, subsequently withdraws his approval.

(3) If the Board fails to obtain the Minister's approval to a policy with
respect to a matter included in a subject specified in paragraph (2) (a), (b),
(c) or (d), or the Minister withdraws his approval of a policy with respect to
such a matter, the Board shall endeavour to reach agreement with the Minister
as to the policy to be adopted by the Board with respect to that matter and,
in the event of agreement not being reached within a time which the Minister
considers reasonable, the Minister may, by writing under his hand, determine
the policy to be adopted by the Board with respect to that matter, and the
Board shall adopt that policy.

(4) The Minister may, by writing under his hand, determine that the Board
shall adopt a policy of obtaining the approval of the Minister to the making
of any loan in respect of which the rate of interest to be charged by the
Corporation is less than such rate as is from time to time determined by the
Minister as the rate applicable under this sub-section to the class of loans
in which that loan is included.

(5) Nothing in this section, other than sub-section (4), shall be construed-

   (a)  as requiring the approval of the Minister to the Corporation financing
        a particular transaction; or

   (b)  as empowering the Minister to determine that the Corporation shall or
        shall not finance a particular transaction, but the Corporation shall
        not finance a particular transaction contrary to a policy approved or
        determined by the Minister under this section.