Section 20(1)(iii) in The M.P. Zila Panchayat (Business) Rules, 1998
(iii)It shall examine and report on all proposals for borrowing or the giving of a guarantee by the Zila Panchayat. It shall raise, such loans as have been duly authorised, and shall be in charge of all matters relating to the service of the loan or the discharge of guarantees.