Amendment to Regulations on Single Borrower's Limit (SBL)

July 5, 2013BSP CIRCULAR NO. 803-13SUBJECT : Amendment to Regulations on Single Borrower's Limit (SBL)Pursuant to Monetary Board Resolution Nos. 897 and 947 dated 30 May 2013 and 6 June 2013, respectively, the Manual of Regulations for Banks (MORB) and Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) are hereby amended as follows: SECTION 1. Item "b.3" of Section X303 of the MORB, on credit exposure limits to a single borrower is hereby amended, as follows:"b. The total amount of loans, credit accommodations and guarantees prescribed in the first paragraph may be increased for each of the following circumstances:"1. . . .;"2. . . .; and"3. By an additional fifteen percent (15%) of the net worth of such bank: Provided, That the additional loans, credit accommodations and guarantees are granted to finance oil importation of oil companies which are not affiliates of the lending bank engaged in energy and power generation: Provided, further, That the oil companies qualify under the credit underwriting standards of the lending bank and the lending bank shall comply with Subsec....