INTERNATIONAL DEVELOPMENT ASSOCIATION (FURTHER PAYMENT) ACT 1977
No. 86 of 1977
An Act to approve the making by Australia of a further Payment to the International Development Association.
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 International Development Association (Further Payment) Act 1977.
Commencement
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Interpretation
3. In this Act, “Agreement” and “Association” have the same respective meanings as they have in the International Development Association Act 1960.
Approval of making of further payment
4. Approval is given to the making by Australia to the Association of a further payment of an amount not exceeding $133,764,342, of which payment an amount not exceeding $212,415.77 is by way of an additional subscription to the Association under Section 1 of Article III of the Agreement.
Minister may notify Association of intention to make payment
5. The Minister may, on behalf of Australia, notify the Association of the intention of Australia to make the payment referred to in section 4.
Issue of securities
6. (1) To the extent to which the Association is prepared to accept from Australia, in place of a payment under section 4, promissory notes or similar obligations issued by Australia, the Treasurer may, on behalf of Australia, execute promissory notes or similar obligations payable to the Association.
(2) Section 6 of the International Development Association Act 1960 does not apply to a payment under this Act.
Appropriation
7. A payment under section 4, and any payment necessary to redeem a security issued under sub-section 6(1), shall be made out of the Consolidated Revenue Fund, which is appropriated accordingly.
Overview
The International Development Association (Further Payment) Act 1977 was enacted by the Parliament of Australia to facilitate an additional payment from Australia to the International Development Association, an affiliate of the World Bank Group, which aims to reduce poverty by supporting economic development in low-income countries. This Act was necessary to address the need for continued financial support to the Association, beyond the initial contributions already outlined in the International Development Association Act 1960. The policy objective is to enable Australia to further its commitment to global poverty alleviation and economic development through financial contributions to international development efforts. The Act allows for the appropriation of funds from the Consolidated Revenue Fund for this purpose and provides mechanisms for the execution of promissory notes or similar obligations as an alternative to direct cash payments.
Scope and Application
The International Development Association (Further Payment) Act 1977 applies to the Australian government and its officials, specifically the Minister and the Treasurer, who are tasked with making and notifying the intended payments to the International Development Association (IDA). The Act pertains to the approval and execution of a financial payment to the IDA, with a specified maximum amount of $133,764,342, including an additional subscription of up to $212,415.77. The legislation extends to the issuance of promissory notes or similar obligations as an alternative to direct payment, subject to the Association's acceptance. Geographically, the Act operates within the Commonwealth of Australia, with the Minister authorised to notify the IDA of Australia’s intention to make the payment. The Act is self-contained and does not explicitly extend its application through subordinate instruments or regulations, though the general powers of the Minister and the Treasurer under existing financial and international agreements may implicitly support its implementation.
Key Provisions
The International Development Association (Further Payment) Act 1977 (hereinafter referred to as the Act) primarily focuses on authorising and facilitating a specified additional payment from Australia to the International Development Association (IDA). Section 4 of the Act provides approval for Australia to make a further payment to the IDA, with the total amount not exceeding $133,764,342, which includes an additional subscription of up to $212,415.77 under Section 1 of Article III of the Agreement. The Act also allows for the issue of promissory notes or similar obligations by Australia in lieu of direct payment, as detailed in section 6. The payment and any necessary redemption of securities are to be made from the Consolidated Revenue Fund, as appropriated in section 7.
The obligations imposed by the Act on the relevant parties are primarily administrative and financial. The Minister, on behalf of Australia, is required to notify the IDA of Australia's intention to make the approved payment, as stipulated in section 5. Furthermore, the Treasurer, also on behalf of Australia, is authorised to execute promissory notes or similar financial obligations if the IDA accepts them in place of direct payment, as outlined in section 6(1). The Act also mandates that any payment under section 4, as well as any payments required to redeem securities, must be sourced from the Consolidated Revenue Fund, as per section 7.
In terms of consequences for non-compliance, the Act does not explicitly detail specific offences, penalties, or civil or criminal consequences for breach. However, the nature of the Act implies that failure to adhere to the financial obligations and notification requirements could lead to diplomatic or financial repercussions between Australia and the IDA. Given the formal and legislative nature of the Act, breaches might be subject to legal scrutiny and potential ramifications in international financial and developmental forums.