ASIAN DEVELOPMENT FUND ACT 1976
No. 146 of 1976
An Act to Authorize a further contribution by Australia to the Asian Development Bank for the purposes of the Asian Development Fund.
BE IT ENACTED by the Queen, and the Senate and House of Representatives of the Commonwealth of Australia, as follows:—
Short title.
1. This Act may be cited as the Asian Development Fund Act 1976.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Interpretation.
3. In this Act, “Bank” means the Asian Development Bank.
Contribution to Asian Development Fund.
4. The Minister may, on behalf of the Commonwealth, notify the Bank of the intention of Australia to contribute to the Bank, for the purposes of the Asian Development Fund, amounts not exceeding in the aggregate $30,730,586.
Issue of promissory notes.
5. (1) For the purposes of the payment of the contribution notified by the Minister under section 4, the Treasurer may, on behalf of the Commonwealth, execute and issue to the Bank promissory notes.
(2) A promissory note issued under sub-section (1)—
(a) shall be payable to the Bank;
(b) shall be non-negotiable and non-interest-bearing; and
(c) shall be payable at its par value on demand.
Appropriation.
6. The moneys necessary for the purpose of making any payment that is to be made by Australia in pursuance of a notification under section 4, including a payment under a promissory note issued under section 5, shall be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.
Overview
The Asian Development Fund Act 1976 was enacted to allow the Australian government to contribute further funds to the Asian Development Bank, specifically for the Asian Development Fund. The Act was passed by the Queen and the Parliament of Australia, and its purpose is to facilitate Australia's financial support to the Bank, which is essential for promoting economic development and cooperation in the Asian and Pacific regions. By providing the authority to the Minister to notify the Bank of Australia's intention to contribute up to $30,730,586, the Act ensures that the financial obligations are met through the issuance of promissory notes by the Treasurer. The appropriation of necessary funds from the Consolidated Revenue Fund underscores the government's commitment to this international financial support mechanism.
Scope and Application
The Asian Development Fund Act 1976 applies to the Commonwealth of Australia, allowing the Minister to notify the Asian Development Bank (ADB) of Australia's intention to contribute to the Asian Development Fund. This Act specifically authorises the Minister to communicate Australia's commitment to contribute up to a specified aggregate amount, currently set at $30,730,586, to the ADB for the purposes of the Asian Development Fund. The Act applies to transactions involving the issuance of promissory notes by the Treasurer to facilitate the payment of these contributions. These promissory notes are non-negotiable, non-interest-bearing, and payable to the ADB at par value on demand. The necessary funds for these payments are to be sourced from the Consolidated Revenue Fund, which is appropriated accordingly. The Act's application is limited to the geographic scope of Australia's contributions to the ADB and does not explicitly mention any exclusions, exemptions, or thresholds beyond the specified contribution limit.
Key Provisions
The Asian Development Fund Act 1976 (sections 1-6) establishes the framework for Australia's contribution to the Asian Development Fund through the Asian Development Bank (ADB). Section 1 provides the short title of the Act, while section 2 specifies that the Act comes into effect upon receiving Royal Assent. Section 3 defines the term "Bank" as the Asian Development Bank. The core provision of the Act is found in section 4, which authorises the Minister to notify the ADB of Australia's intention to contribute up to a total of $30,730,586 to the Asian Development Fund. To facilitate this payment, section 5 allows the Treasurer to issue promissory notes to the ADB for the specified amount, which are non-negotiable, non-interest-bearing, and payable at par value on demand. Finally, section 6 ensures that the necessary funds for these payments are appropriated from the Consolidated Revenue Fund.
The Act imposes several obligations on the parties it governs. The Minister, acting on behalf of the Commonwealth, must notify the ADB of Australia's intention to contribute to the Asian Development Fund within the specified limit (section 4). The Treasurer, also on behalf of the Commonwealth, must execute and issue the necessary promissory notes to the ADB for the agreed contribution amount (section 5). Additionally, the Consolidated Revenue Fund must be appropriated to cover these payments (section 6). These obligations ensure that the process of contributing to the Asian Development Fund is formal, transparent, and financially supported by the Commonwealth.
Breaches of the Act could potentially lead to various consequences, although the Act itself does not specify any explicit offences, penalties, or consequences for non-compliance. Given the nature of the Act, any failure to fulfil the obligations outlined could be considered a breach of fiduciary duty or mismanagement of public funds. However, the Act does not outline specific penalties or consequences for such breaches. It is likely that any breach would be subject to broader legal and administrative scrutiny, potentially leading to disciplinary action against the relevant public officials or financial repercussions for the Commonwealth.