Nunavut Borrowing Limits Regulations

Marginal note:Manner to determine value of borrowing

3 For the purposes of subsections 27(2) and (4) of the Nunavut Act,

• (a) the value of the obligation incurred as a result of a loan referred to in paragraph 2(1)(a) is equal to the sum of any outstanding principal and any accrued interest — or the principal repayable at maturity in the case of a loan made by the issuance and sale of a discount bond — but excludes the amount of any custodial account that is outside the control of the government and in which money is deposited on a regular basis, as required by a loan agreement, for the repayment of the loan;

• (b) the value of the obligation incurred as a result of a capital lease referred to in paragraph 2(1)(b) is determined in accordance with the CICA Public Sector Accounting Handbook, as amended from time to time;

• (c) the value of the liability incurred as a result of a sale-leaseback transaction referred to in paragraph 2(1)(c) is determined in accordance with the CICA Public Sector Accounting Handbook, as amended from time to time; and

• (d) the value of the contingent liability incurred as a result of a loan guarantee referred to in paragraph 2(1)(d) is equal to the full amount of that contingent liability that is to be disclosed in the Territorial Accounts.