Section 13Sec./Art. 13

Subject to such guidelines as may be established by the Monetary, rural banks may invest in equities of the allied undertakings are hereinafter enumerated: Provided, That: (a) the total investment in equities shall not exceed twenty- five percent (25%) of the net worth of the rural bank; (b) the equity investment in any single enterprise shall be limited to fifteen percent (15%) of the net worth of the rural bank; and (c) the equity investment of the rural bank in any single enterprise shall remain a minority holding in that enterprise: Provided, further, That equity investment shall not be permitted in non-related activities.

Allied undertaking shall include:

a. banks, financial institutions and non-bank financial intermediaries;

b. Warehousing and other post-harvested facilities;

c. Fertilizer and agricultural chemical and pesticides distribution;

d. Farm equipment distribution;

e. Trucking an transportation of agricultural products;

f. Marketing and agricultural products;

g. Leasing; and Other undertakings as may be determined by the Monetary Board.