Loan Act 1987

The Loan Act 1987 is an Act of the Australian Parliament that authorizes the borrowing and expending of money for certain purposes. The Act comes into operation on the day it receives the Royal Assent, with its commencement date being October 28, 1987.

This Act defines key terms such as "current financial year," "defence service," and "relevant appropriation Act." These definitions are used throughout the Act to guide its interpretation.

The Loan Act primarily deals with borrowing money for defence purposes. The Treasurer is authorized to borrow money that does not exceed specific amounts set by relevant appropriation Acts. Money borrowed under this Act may be issued and expended only for defence services and the expenses of borrowing, and cannot be spent on any other purpose.

Another section of the Act allows the Treasurer to borrow money from the Consolidated Revenue Fund, with the intention of supplementing expenditure from that fund. The amount borrowed in this manner must not exceed the difference between the planned expenditure and the available funds for that financial year. Money borrowed under this section may also be issued and expended only for making payments to the credit of the Consolidated Revenue Fund and the expenses of borrowing.

The Act includes a provision limiting expenditure, stating that nothing in it or any relevant appropriation Acts shall authorise spending exceeding specific amounts authorized by those Acts. The exception to this limitation is the "Advance to the Minister for Finance" provision, which allows for further expenditure beyond June 30, 1988, but only on expenses related to borrowing.

Overall, the Loan Act 1987 is a legislation that governs the borrowing and spending of money for specific purposes in Australia.