Section 47: Special Reserve Fund
consolidated text (as at 2016, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.
47. Special Reserve Fund
(1) Any net realised gains or losses in any financial year of the Bank arising from changes in the valuation of its assets or liabilities in, or denominated
in, gold, Special Drawing Rights, or foreign currencies as a result of any
changes in the valuation of its assets or liabilities in, or denominated in, gold,
Special Drawing Rights, or foreign currencies as a result of any change in the
values or exchange rates of gold, Special Drawing Rights, or foreign currencies in terms of the domestic currency, shall be credited or debited to a Special Reserve Fund.
(1A) Any unrealised gains or losses of the Bank in any financial year,
arising from changes in the valuation of investments held by the Bank shall
be credited to or debited from the Special Reserve Fund.
(2) Net gains or net losses referred to in this section shall not be included
in the computation of the annual income of the Bank.
(3) The balance standing in the Foreign Exchange Rate Fluctuation
Reserve held by the Bank shall be deemed to be transferred to the credit of
the Special Reserve Fund.
(4) Where the balance of the Fund is insufficient to cover any net unrealised losses in any financial year, Government shall, notwithstanding this Act,
issue to the Bank negotiable interest bearing Government securities to the
extent of the deficiency.
(5) Funds out of the Special Reserve Fund may be used—
(a) for the purpose of increasing the amount paid as capital of the
Bank in accordance with section 10 (4); or
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Bank of Mauritius Act
(b) by the Bank, in exceptional circumstances and with the approval
of the Board, for monetary policy purposes.
[S. 47 amended by s. 3 (d) of Act 38 of 2011 w.e.f. 15 December 2011; s. 3 (d) of Act 9 of
2015 w.e.f. 14 May 2015.]
PART VIII – RELATIONS WITH BANKS AND OTHER FINANCIAL
INSTITUTIONS