Section 42, The Bank of Sierra Leone Act, 2000

(1) The Bank may— (a) make advances and loans to the Government on overdraft or in such other forms as the Board may determine; (b) acquire directly from the Government or from licensed institutions or any other persons, treasury bills or securities representing obligations of the Government. (2) The total of such loans, advances and holdings of treasury bills and government securities excluding any government securities held as part of the share capital of the Bank less any credit balances in the account of Government with the Bank shall not exceed five percent of the Government's actual revenue in the previous year's budget. (3) Treasury bills and Government securities held by the Bank against repurchase agreements entered into with it by licensed institutions shall be excluded from the total holdings of government securities of the Bank where the repurchase is required to be effected within ninety-three days from the date of the agreement. (4) Any advance made under paragraph (a) of subsection (1) shall be repaid within ninety-three days from the end of the Government's financial year to which it relates, and where any such advance remains unpaid after the due date, the power of the Bank to make further advances in any subsequent financial year shall not be exercised unless the amounts due in respect of outstanding advances have been repaid. No. 3 Bank of Sierra Leone Act 2000 53 (5) The Bank shall charge interest on advances granted under this section at such rates as the Board may determine keeping in view the prevailing market rates in the money market in Sierra Leone and other relevant factors. [Margin: Bank as agent for Government.]