Amendments to LOI No. 633 (s. 1977) Re: Local Government Equipment Acquisition Loan

November 20, 1980

LETTER OF INSTRUCTIONS NO. 1084

Letter of Instruction No. 633, dated November 29, 1977, third paragraph, subparagraph 1, which reads: cd i

"The Philippine National Bank, the Development Bank of the Philippines, and the Land Bank of the Philippines, devise a LOCAL GOVERNMENT EQUIPMENT ACQUISITION LOAN PROGRAM with concessionary and liberal amortization schemes for provinces, cities, municipalities, which are not beneficiaries of the proceeds of the rural development loan of the Rural Roads Program."

is hereby amended to read:

"The Philippine National Bank, the Development Bank of the Philippines, and the Land Bank of the Philippines, devise a LOCAL GOVERNMENT EQUIPMENT ACQUISITION LOAN PROGRAM with concessionary and liberal amortization schemes for provinces, cities, municipalities which are not beneficiaries of the proceeds of the rural development loan of the Rural Roads Program: Provided, however, That provinces and cities which are now, or may hereafter become beneficiaries of the proceeds of the rural development loan may avail of the LOCAL GOVERNMENT EQUIPMENT ACQUISITION LOAN PROGRAM subject to the conditions that:

a) The province shall first avail of the rural development loan;

b) The proceeds of the rural development loan shall be deducted from the legal borrowing and net paying capacity of the province/city concerned; and,

c) Viewed from its approved development program, the need for the equipment sought to be procured out of the proceeds of the loan under this amendment could be appropriately justified."

DONE in the City of Manila, this 20th day of November, in the year of Our Lord, Nineteen Hundred and Eighty.