International Development Association (Further Payment) Act 1990

Overview

The International Development Association (Further Payment) Act 1990 was enacted to authorise an additional financial contribution by Australia to the International Development Association (IDA). This legislation was introduced to address the need for continued support to the IDA, which is an entity of the World Bank Group focused on providing concessional financing to the world's poorest countries. The enactment of this Act was authorised by the Queen, with the assent of the Senate and the House of Representatives of the Commonwealth of Australia. The policy objective of the Act is to enable Australia to contribute to the IDA’s efforts in promoting global development and poverty reduction by authorising a substantial financial commitment. This Act ensures that the necessary funds are appropriated from the Consolidated Revenue Fund to facilitate these contributions.

Scope and Application

The International Development Association (Further Payment) Act 1990 applies to the Australian government, specifically the Minister for Foreign Affairs, who is authorised to notify the International Development Association (IDA) of Australia's intent to make a further contribution. This Act provides the legal framework for the Commonwealth of Australia to make an additional financial contribution to the IDA, which is a part of the World Bank Group focused on reducing poverty in the world's poorest countries. The Act's geographic and jurisdictional reach is limited to the Commonwealth of Australia, as it pertains to Australia's contribution to an international body. There are no explicit exclusions or exemptions noted within the text of the Act, although the authority to make the contribution is subject to the appropriation of necessary funds from the Consolidated Revenue Fund. The Act itself does not extend or restrict its application through subordinate instruments; however, the execution and issuance of promissory notes as a means of payment are detailed within the Act.

Key Provisions

The International Development Association (Further Payment) Act 1990 (the Act) primarily authorises a further financial contribution by Australia to the International Development Association (IDA). Section 4 of the Act permits the Minister to notify the IDA that Australia intends to contribute a specified amount not exceeding $382,500,000 in aggregate. To facilitate the payment of this contribution, section 5 allows the Treasurer to issue promissory notes to the IDA. These promissory notes, as outlined in section 5(2), must be payable to the IDA, non-negotiable, non-interest-bearing, and payable at their par value on demand. The Act imposes certain obligations on the Minister and the Treasurer. Specifically, the Minister is tasked with notifying the IDA of Australia's intent to contribute the specified amount, as detailed in section 4. The Treasurer, on behalf of Australia, is responsible for executing and issuing the promissory notes to the IDA, in accordance with the requirements set out in section 5. Moreover, section 6 ensures that the necessary funds for making payments under the Act, including those under promissory notes issued under section 5, are to be paid from the Consolidated Revenue Fund, which is appropriated accordingly. Failure to comply with the requirements of the Act may result in legal consequences. However, the Act does not explicitly outline specific offences, penalties, or civil or criminal consequences for breach. Instead, it relies on the general legal framework and principles of Australian law to address any breaches of the Act. The potential penalties for non-compliance would be determined in accordance with the broader legal context in which the Act operates, which could include fines, imprisonment, or other sanctions as prescribed by relevant laws.