Section 2
SEC. 2. Subparagraph (d) of Section four of the same Act is hereby amended to read as follows: "(d) To issue bonds, debentures, securities, collaterals, notes and other obligations with the approval of the President after consultation with Monetary Board of the Central Bank of the Philippines, but in no case to exceed at any one time the aggregate amount of the principal obligations of all mortgages and accounts insured under Chapter II and III of this Act plus the amount authorized for the Home Financing Fund in accordance with the provisions of section six of this Act. These bonds and other obligations shall be issued under such terms and conditions as are provided in this Act and the rules and regulations prescribed by the Commission and shall be redeemable at the option of the Commission at or before maturity and in such manner as may be stipulated therein and shall bear such rate of interest as may be fixed by the Commission but not more than seven per cent per annum. Such obligations shall be secured by the assets of the Commission, including the stocks, bonds, debentures and other securities underwritten, purchased or held by it under the provisions of this Act. The Commission shall provide for appropriate reserves for the redemption or retirement of said obligations. Such obligations may be issued and offered for sale at such price or prices as the Commission may determine, and shall be exempt from taxation as to principal and interest, except estate, inheritance and gift taxes. The said obligations shall be and are hereby fully and unconditionally guaranteed both as to principal and interest by the Government of the Republic of the Philippines and such guaranty shall be expressed on the face thereof. Bonds issued by the Commission shall be registered at the request of the holder thereof under such rules and regulations as may be prescribed by the Commission.