6. Loans a charge upon Consolidated Fund

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

(1)

Any loan raised under this Act where—

(a)

the monetary unit is Sri Lanka rupees shall be retained in one or more accounts maintained by the Deputy Secretary to the Treasury as may be nominated by the Secretary to the

Treasury, in writing, on that behalf, at the

Central Bank of Sri Lanka or at a licensed commercial bank subject to the provisions of section 107 of the Monetary Law Act

(Chapter 422);

(b)

the monetary unit is foreign currency shall be retained in one or more accounts maintaind by the Deputy Secretary to the Treasury as may be nominated by the Secretary to the

Treasury, in writing, on that behalf, at the

Central Bank of Sri Lanka.

(2)

The principal money and the interest, if any, which is in any account maintained at the Central Bank of Sri Lanka or at a licensed commercial bank shall be part of the

Consolidated Fund as assets of Sri Lanka but as a ring-fenced account.

(3)

The Moneys retained under subsection (1) shall only be used for the purposes of refinancing and pre-financing of public debts in achieving the objective of this Act.

Read on from s 7