FURTHER AMENDING REPUBLIC ACT NUMBERED FOUR THOUSAND EIGHT HUNDRED SIXTY, AS AMENDED (RE FOREIGN BORROWING ACT).

• Number: Presidential Decree No. 588
• Sections: 3

Preamble

WHEREAS, it is imperative particularly at this time to have

access to funds from abroad for developmental purposes;

WHEREAS, there is need to make the borrowing legislation

responsive to the lending policies of international financial

institutions, as well as bilateral sources:

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the

Philippines, by virtue of the powers in me vested by the Constitution,

do hereby decree and order:

Section 1

SECTION 1. Section four of Republic Act Numbered Four

Thousand Eight Hundred Sixty, as amended, is further amended to read as

follows:

"SEC. 4. In the contracting of any loan, credit or

indebtedness under this Act, the President of the Philippines may, when

necessary, agree to waive or modify the application of any law granting

preferences in connection with, or imposing restrictions on, the

procurement of goods or services, including among others. Act Numbered

Four Thousand Two Hundred Thirty-Nine. Commonwealth Act Numbered One

Hundred Thirty-Eight, the provisions of Commonwealth Act Numbered Five

Hundred Forty-One. insofar as such provisions do not pertain to

constructions primarily for national defense or security purposes.

Republic Act Numbered Nine Hundred Twelve, and Republic Act Numbered

Five Thousand One Hundred Eighty-Three: Provided, however, That

as far as practicable, utilization of the services of qualified domestic

firms, in the prosecution of projects financed under this Act shall be

encouraged: Provided, further, That the matter of preference in

favor of articles, materials, or supplies of the growth, production or

manufacture of the Philippines, including the method or procedure in the

comparison of bids for purposes therefor, shall be the subject of

agreement between the Philippine Government and the lending

institution."

Section 2

SEC. 2. This Decree shall take effect immediately.

Done in the City of Manila, this 27th day of November, in the year

of Our Lord, nineteen hundred and seventy-four.

(Sgd.)

FERDINAND E. MARCOS

President of the Philippines

By the President:

(Sgd.)

ALEJANDRO MELCHOR

Executive Secretary