Margin requirements against letters of credit.
Section 110
SEC. 110. Margin requirements against letters of credit.— In order to restrict the granting of bank credit for purposes which are contrary to the general welfare of the Philippines, the Monetary Board may at any time prescribe minimum cash margins for the opening of letters of credit, and may relate the size of the required margin to the nature of the transaction to be financed. The Board may particularly use its powers under this section to require high margins for the opening of letters of I credit to finance the importation of luxuries or other non-essential goods, or to finance any goods the importation of which at the time is considered by the Monetary Board to be unduly prompted by speculative motives prejudicial to the interests of the Philippine economy.