Explanatory note

This note is not part of the order, but is intended to indicate its general effect.

This order brings into force, on 1 October 2010, the International Finance Agreements Amendment Act 1998.

The International Finance Agreements Amendment Act 1998 amends Schedule 1 of the International Finance Agreements Act 1961 to implement changes to the Articles of Agreement of the International Monetary Fund (IMF), of which New Zealand is a member. The amendments enable a one-off allocation of special drawing rights to members.

The rules of the IMF provide that changes to the Articles of Agreement do not take effect until 85% of member governments have consented to the changes, and the consent has been formally communicated to all members. That level of consent to the changes set out in the International Finance Agreements Amendment Act 1998 has now been achieved and communicated.