The Caribbean Development Bank (Sixth Replenishment of the Unified Special Development Fund) Order 2006

Draft Order laid before the House of Commons under section 11(5) of the International Development Act 2002, for approval by resolution of the House of Commons.

Draft Statutory Instruments

2006 No. XXXX

INternational development

The Caribbean Development Bank (Sixth Replenishment of the Unified Special Development Fund) Order 2006

Made

2006

Coming into force

2006

This Order is made in exercise of the powers conferred by section 11 of the International Development Act 2002 (“the Act”)(1).

Section 11 of the Act provides that where the Government of the United Kingdom becomes bound to make a relevant payment to a multilateral development bank, the Secretary of State may make the relevant payment and other associated payments specified in section 11(3). The payments must be approved by an order made by the Secretary of State with the approval of the Treasury.

“Relevant payment” in relation to such a bank includes a further payment to the bank required to be made by the members under any arrangements beyond the initial subscription or other initial contribution to the capital stock of the bank.

In accordance with section 11(4) of the Act, this Order is made by the Secretary of State with the approval of the Treasury.

In accordance with section 11(5) of the Act, a draft of this Order has been laid before the House of Commons and approved by resolution of that House.

Accordingly, the Secretary of State for International Development makes the following Order:

Citation and commencement

1.  This Order may be cited as the Caribbean Development Bank (Sixth Replenishment of the Unified Special Development Fund) Order 2006 and shall come into force forthwith.

Interpretation

2.  In this Order—

“the Agreement” means the Agreement establishing the Caribbean Development Bank dated 18 October 1969, as ratified by the Government of the United Kingdom on 23 January 1970(2);

“the Bank” means the Caribbean Development Bank established by the Agreement;

“the Fund” means the Unified Special Development Fund of the Bank established by Article 8 of the Agreement;

“the Government” means the Government of the United Kingdom;

“the Resolution” means the “Resolution of Contributors to the Unified Special Development Fund of the Caribbean Development Bank (SDF6)” adopted by the Board of Directors on 13 October 2005.

Relevant Payments

3.  The Secretary of State may, on behalf of the Government, out of money provided by Parliament—

(a) make payment of a further contribution to the Fund not exceeding £23,492,000 in accordance with arrangements made between the Government and the Bank in accordance with the Resolution; and

(b) make payment of sums required to redeem any non-interest-bearing and non-negotiable notes or other obligations which may be issued or created by him and accepted by the Bank pursuant to the arrangements mentioned in paragraph (a) above.

One of Her Majesty’s Principal Secretaries of State

2006

We approve,

Two of the Lords Commissioners of Her Majesty’s Treasury

2006

EXPLANATORY NOTE

(This note is not part of the Order)

This Order approves the making of a payment on behalf of the Government of the United Kingdom to the Caribbean Development Bank of a sum not exceeding £23,492,000 as the contribution of the Government of the United Kingdom to the sixth replenishment of the resources of the Unified Special Development Fund of the Bank in accordance with arrangements made with the Bank pursuant to the Resolution entitled “Resolution of Contributors to the Unified Special Development Fund of the Caribbean Development Bank (SDF6)” adopted by the Board of Directors of the Bank on 13 October 2005.

The Order also provides for the redemption of non-interest-bearing and non-negotiable notes issued by the Secretary of State in respect of the payment.

The provisions of the Resolution may be obtained by application to the Department for International Development, 1 Palace Street, London SW1E 5HE.

(1)

2002 c.1

(2)

Cmnd. 4358