Section 1
SECTION 1. Upon the recommendation of the Secretary of Finance, the President of the Philippines is hereby authorized to issue in the name and in behalf of the Government of the Commonwealth of the Philippines bonds in the amount of one million pesos. The proceeds of the sale of such bonds shall be credited to a special fund which is hereby constituted to be known as the "Public Markets Revolving Fund," and which shall be expended as provided in this Act. The bonds so authorized to be issued shall be sold in the Philippines through the Treasurer of the Philippines on such terms as in the judgment of the President of the Philippines are most favorable to the Government of the Commonwealth of the Philippines. The bonds shall be issued in the manner and be in such form as the President may determine, and shall run for such time and bear such rate of interest not exceeding five per centum per annum payable on such dates as he may determine. The bonds may be coupon bonds or registered bonds, convertible, in the discretion of the President of the Philippines, into either form, and shall be registered in the Treasury of the Philippines at Manila, where both principal and interest shall be payable in legal tender currency of the Philippines or its equivalent in legal tender currency of the United States at the discretion of the Treasurer of the Philippines. Said bonds shall be exempt from taxation by the Government of the Commonwealth of the Philippines or of any political or municipal subdivision thereof, which fact shall be stated upon their face.