Clause 13

Commencing not later than two years after the date on which interest on stock issued under the provisions of this Ordinance shall commence to run, the Minister shall in each half-year ending on the day on which interest on such stock falls due in addition to the sum appropriated in accordance with the provisions of subsection (2) of section 10 of this Ordinance, appropriate out of the Consolidated Fund for the formation of a sinking fund a sum equal to one-half of the annual contributions specified in the prospectus relating to the issue of such stock.

If at any time the Minister is satisfied that the value of the sinking fund will be sufficient with further accumulations of interest but without further payment of such contribution to enable the loan to be redeemed out of the proceeds of the sinking fund when the same falls due to be redeemed, the Minister may suspend further payments of such contributions to the sinking fund:Provided that the Minister may at any time recommence payment of such contribution if he considers this to be necessary.

The Minister may, at any time, apply all or any part of the moneys in the sinking fund created under this section to the purchase of trustee stock or local stock.

The Accountant-General shall in each year pay into the sinking fund created under this section a sum equivalent to the annual interest which would have been payable on any local stock purchased under subsection (3) of this section if such stock had not been purchased as aforesaid.