Section 20Sec./Art. 20

Compliance with Agri-Agra Law.- Investment by any banking institution in the authorized capital stock of the Corporation shall be considered compliance with Presidential Decree No. 717 (1975), otherwise known as the Agri-Agra Law, to the extent of its equity holdings in the Corporation. Likewise, loans extended by bank institutions to farmers, fishermen, cooperatives, rural workers and rural enterprises covered by the guarantees of the Corporation shall be deemed as compliance with the Agri-Agra Law. Rediscounting by secondary banks of originating banks' loan receivables having the guarantee cover of the Corporation shall likewise be deemed compliance with the same law.