The Mizoram Ceiling on Government Guarantees Act, 2011
The Mizoram Ceiling on Government Guarantees Act, 2011
General20117 sections
This Act limits the financial liabilities of the Government of Mizoram by capping the total outstanding guarantees and new fresh guarantees to a percentage of the state's economic output. It applies to all state-run entities like public sector undertakings, corporations, and local authorities while explicitly forbidding guarantees for private loans. To manage the risk, it mandates a commission fee collected into a Redemption Fund. Exceptions are allowed only for natural calamities requiring immediate fiscal intervention. The legislation ensures fiscal responsibility and prevents potential debt crises for the state government.
PDF: pending for this language.