Guarantee of loans

(1) With the approval of the National Assembly, the Minister responsible for Finance may guarantee, in such manner and on such terms and conditions as he may think fit, the payment of the principal and of interest on any authorized borrowing of the Council. (2) Where the Minister responsible for Finance is satisfied that there has been default in the repayment of any principal moneys or interest guaranteed under this section, he shall direct the repayment out of the Consolidated Revenue Fund of the amount in respect of which there has been such default and such sum shall be a charge upon the Consolidated Revenue Fund.