Repayment of loans taken under section 95.

Rvery loan taken by the Board shall be repaid within the period approved by the Govern- ment and, subject to the provisions of sub-section (2) of section 123, by such of the following methods as may be so approved, namely :— ‘

1. (a) from a sinking fund established under section 101 in respect of the loan, or
2. (b) by paying equal yearly or half-yearly instalments of principal, or of principal and mterest, throughout the said period, or
3. (c) if the Board has, before borrowing mouncy on debentures, reserved by public notice a power to pay off thc loan by periodical instalments and to select by lot the particular debentures to be dis- charged at particular periods then, by paying such instalments at such periods, or
4. (d) from money borrowed for the purpose, or
5. (e) partly from the sinking fund established under section 101 in respect of the loan, and partly from money borrowed for the purpose. 10. Establishment and maintenance of sinking funds.—(1) Whenever the Government have approved the repayment of a Joan from a sinking fund, the Board shall establish such a fund, and shall pay into it every year, until the loan is repaid, a sum so calculated that if 1egularly paid throughout the period approved by the Government, it would, with accumulations in the way of compound interest, he sufficient, after pay- ment of all expenses, to pay off the loan at the end of that period.

1. (2) The rate of interest on the basis of which the sum referred to in sub-section (1) shall be calculated shall be such as may be prescribed by the Government.