Document ID: chunk:federal_register_of_legislation:F2023L01564:reg:18
Version: federal_register_of_legislation:F2023L01564
Segment Type: reg
Provision Reference: reg 18
Character Range: 12342–13021

18  Limits on guarantees
Note:  Guarantees pose a particular risk to the Corporation's balance sheet and, as such, restrictions on their use are appropriate.
  The Corporation must:
 (a) not give guarantees unless it is satisfied that this is the most appropriate way of achieving particular public policy outcomes that the Corporation is seeking to achieve; and
 (b) ensure that any guarantee that it does give is appropriately limited and quantifiable; and
 (c) ensure that the total of the Corporation's liabilities (whether actual or contingent) that are in respect of guarantees does not, at any time, exceed 5 per cent of the amount standing to the credit of the Account.