Para 3.10.22 — MSO (Audit)
Original Rule Text
3.10.22 So far as payments in respect of transactions financed out of foreign loans as well as debt servicing payments against such loans by the two Missions are concerned, the existing instructions will continue to be followed.
# E. Special classes of payments
What This Means
For payments related to transactions financed from foreign loans, as well as debt servicing payments (interest and principal repayments) against those loans, the London and Washington missions continue to follow the existing established instructions. These are not covered by the general payment procedures described in the preceding paragraphs.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Foreign loan-financed transactions follow existing special instructions
- 2Debt servicing payments (interest and principal) also follow existing procedures
- 3Not governed by the general payment provisions in Paras 3.10.14-3.10.21
- 4Applies to both London and Washington missions
Practical Example
India has a World Bank loan for an infrastructure project, and the London High Commission needs to make a quarterly interest payment of GBP 2 million to the Bank. Instead of following the general multi-departmental PAO procedure, the mission follows the specific instructions issued for foreign loan servicing, which have their own authorization and accounting framework.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why do foreign loan payments follow separate instructions?▼
What does debt servicing include?▼
What audit aspects apply to these transactions?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.