(1) On the coming into force of this Act, borrowing by a local government authority, a public corporation or a state-owned enterprise shall be in accordance with this Act.

(2) An enactment in force on the coming into force of this Act, relating to borrowing by a local government authority, a public corporation or a state-owned enterprise, shall be construed with the necessary modification to give effect to this Act.

(3) A local government authority, public corporation or state-owned enterprise is liable for the debt and other obligations of that local government authority, public corporation or state-owned enterprise without recourse to Government, unless otherwise explicitly guaranteed by Government in accordance with this Act.