(2)The State Government may advance from the public funds or stand as guarantor for funds from any financial institution on the security of the Municipal Fund and, in the case of a joint scheme, on the security of the Municipal Fund and the fund of other local authorities, if any, to provide for the cost of installation or maintenance relating to any project or scheme for civic services and such advance shall be recoverable under the Local Authorities Loans Act, 1914 (9 to 1914) and the rules made thereunder.
