Cap. 575 Art. 13Limits on gross borrowing and pre- financing.

(1) The gross borrowing of the Government during any year shall be subject to limits implied by article 11 and the

Budget Measures Implementation Act relevant for any specific year.

(2) Subject to approval from the Minister and market conditions, the gross borrowing during any year can exceed the limit specified in the Budget Measures Implementation Act by not more than ten percent for purposes of debt management operations aimed at minimising the cost of borrowings, avoiding financing under market uncertainty and to reduce the risk exposure of the debt portfolio.

(3) In the absence of the enactment of the Budget Measures Implementation Act for a relevant fiscal year, the Government may borrow in the interim to redeem any outstanding debt maturing and to make interest payments and any other charges associated with such debt.

(4) The maximum amount of outstanding debt held by Central Government at any time, held separately in the form of Treasury Bills, Bilateral Loans and debt instruments, is subject to a statutory instrument that has to be laid before Parliament and approved by a resolution of Parliament.