AMENDMENT OF CEILINGS ON LOANS TO SUBSIDIARIES AND AFFILIATES
allowing a separate individual limit to loans of banks/quasi-banks to
their subsidiaries and affiliates engaged in energy and power
generation, the provisions of the Manual of Regulations for Banks (MORB)
and the Manual of Regulations for Non-Bank Financial Institutions
(MORBNBFI) are hereby amended as follows:
Section 1. Subsections X328.5.b and 4328Q.b of
the MORB and MORBNBFI, respectively, are hereby amended by adding a new
paragraph after the first paragraph thereof, to read as follows:“LOANS, OTHER CREDIT ACCOMMODATIONS AND GUARANTEES GRANTED BY A
BANK/QUASI-BANK TO ITS SUBSIDIARIES AND AFFILIATES ENGAGED IN ENERGY AND
POWER GENERATION CONSISTENT WITH THE MEDIUM-TERM PHILIPPINE
DEVELOPMENT PLAN/MEDIUM-TERM PUBLIC INVESTMENT PROGRAM OF THE NATIONAL
GOVERNMENT DULY CERTIFIED AS SUCH BY THE SECRETARY OF THE
SOCIO-ECONOMIC PLANNING SHALL BE SUBJECT TO A SEPARATE INDIVIDUAL LIMIT
OF TWENTY-FIVE PERCENT (25%) OF THE NET WORTH OF THE LENDING
BANK/QUASI-BANK: PROVIDED, TH AT THE UNSECURED PORTION THEREOF SHALL NOT EXCEED TWELVE AND ONE-HALF PERCENT (12.5%) OF SUCH NET WORTH: PROVIDED, FURTHER,
THAT THESE SUBSIDIARIES AND AFFILIATES ARE NOT RELATED INTERESTS OF ANY
OF THE DIRECTOR, OFFICER, AND/OR STOCKHOLDER OF THE LENDING
BANK/QUASI-BANK, EXCEPT WHERE SUCH DIRECTOR, OFFICER OR STOCKHOLDER SITS
IN THE BOARD OF DIRECTORS OR IS APPOINTED OFFICER OF SUCH CORPORATION
AS REPRESENTATIVE OF THE BANK/QUASI-BANK.”Section 2. Effectivity. This Circular shall take effect
fifteen (15) days following its publication in the Official Gazette or
newspaper of general circulation.
Adopted: 12 May 2009
FOR THE MONETARY BOARD:
(SGD.) AMANDO M. TETANGCO, JR.
Governor