The Export and Investment Guarantees (Limit on Foreign Currency Commitments) Order 1998

Statutory Instruments

1998 No. 1675

EXPORT AND INVESTMENT GUARANTEES

The Export and Investment Guarantees (Limit on Foreign Currency Commitments) Order 1998

Made

8th July 1998

Coming into force

9th July 1998

The Secretary of State, in exercise of the powers conferred on her by section 6(4)(a) of the Export and Investment Guarantees Act 1991(1) and of all other powers enabling him in that behalf hereby makes the following Order, a draft of which has been laid before and approved by a resolution of the House of Commons:

Citation and commencement

1.  This Order may be cited as the Export and Investment Guarantees (Limit on Foreign Currency Commitments) Order 1998 and shall come into force on the day after the day on which it is made.

Increase of Foreign Currency Commitment Limit

2.  The limit in section 6(1)(b) of the Export and Investment Guarantees Act 1991 is hereby increased to 25,000 million special drawing rights.

Signed by authority of the Secretary of State

Barbara Roche,

Parliamentary Under-Secretary of State for Small Firms, Trade and Industry,

Department of Trade and Industry

7th July 1998

We consent to the making of this Order

Jim Dowd,

John McFall,

Two of the Lords Commissioners of Her Majesty’s Treasury

8th July 1998

Explanatory Note

(This note is not part of the Order)

Section 6(1)(b) of the Export and Investment Guarantees Act 1991 limits the amount of the aggregate foreign currency commitments of the Secretary of State under arrangements made pursuant to certain sections of that Act in relation to exports and insurance to 15,000 million special drawing rights. Section 6(4)(a) of that Act allows the limits under section 6(1) to be increased by order by a sum not exceeding 5,000 million special drawing rights on not more than three occasions. The limit in section 6(1)(b) was increased by the Export and Investment Guarantees (Limit on Foreign Currency Commitments) Order 1995 to 20,000 million special drawing rights. This order further increases that limit from 20,000 million special drawing rights to 25,000 million special drawing rights to accommodate prospective future business.

(1)

1991 c. 67.