AMENDING SECTION 4 OF COMMONWEALTH ACT NO. 83 AS AMENDED BY PRESIDENTIAL DECREE NO. 678

WHEREAS, commercial paper issues are instruments for
mobilizing funds in developed capital markets as well as developing capital
markets;

WHEREAS, commercial paper issuance either through direct
savings investment process or throng financial intermediaries have monetary and
credit implications;

WHEREAS, Presidential Decree No. 573 requiring the
registration of commercial paper issues by the Securities and Exchange
Commission in accordance with rules which said decree requires to be approved by
the Monetary Board of the Central Bank of the Philippines which was then granted
concurrent power of enforcement of the rules; %

WHEREAS, the intention is to infuse into the mere procedural
registration responsibility of the Securities and Exchange Commission the wider
implication of monetary and credit policies of the Monetary Board.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers vested in me by the Constitution, do hereby
decree and order that:

SECTION 1. The paragraph added by Section 2 of Presidential
Decree No. 678 to Section 4 of Commonwealth Act No. 83 is hereby amended to read
as follows:

“Notwithstanding the provision of the preceding paragraph regarding
exemptions, and any other provision of this Act and all other existing laws,
commercial papers as defined in Section 1 hereof shall be registered by the
Securities and Exchange Commission in accordance with the requirements of full
disclosure in the public interest and rules and regulations on procedural
registration that shall be promulgated by the Securities and Exchange
Commission, after approval by the Monetary Board. Interbank loans may be
exempted from registration as may be necessary in the public
interest.

The Monetary Board is hereby authorized to promulgate rules on the monetary
and credit aspects of commercial paper issues, which may include the imposition
of ceilings on an industry-wide basis on commercial paper issues by any single
issuer. The Monetary Board shall have the power of supervision in the
enforcement of such rules and it may require issuers to submit their financial
statements and other relevant reports to the Central Bank on a regular or
periodic basis.

SECTION 2. All laws or regulation inconsistent herewith are
hereby repealed or modified accordingly.

SECTION 3. This Decree shall take effect upon approval.

DONE in the City of Manila, this 16th day of January, in the year of Our
Lord, nineteen hundred and eighty-one.

			(Sgd.) FERDINAND E. MARCOS President of the Philippines
	By the President:
	(Sgd.) JUAN C. TUVERA
		Presidential Executive Assistant

Vol. 25, Vital Documents, Presidential Decree 1980-1981