Section 16Republic Act No. 6758, otherwise known as the Salary Standardization Law, and from other laws, rules and regulations on salaries and compensations; and to establish a Provident Fund and determine the , Sec./Art. 16

Guaranty Limitations. - Any and all guaranty issued by the Corporation shall be subject to the following limitations, anything to the contrary notwithstanding:

(a) The extension of guaranty or guaranties for development projects for the account of anyone institution or entity shall not, at any time, exceed three (3) times the net worth of such institution or entity;

(b) The extension of guaranty shall not exempt banks and other financial institutions regulated by the Bangko Sentral ng Pilipinas from complying with the pertinent single borrowers limit as provided by the Monetary Board of the Bangko Sentral ng Pilipinas;

(c) The aggregated amount of the outstanding obligations shall not, at anytime, exceed twenty (20) times the capital and surplus of the Corporation;

(d) All guaranteed bonds, debentures, commercial papers and other securities issued by the individual persons which are sold to the public shall be subject to the registration requirements under the Revised Securities Act;

(e) The Corporation shall set aside five percent (5%) of its annual net operating revenues before interests as reserve or sinking fund to answer for guaranty calls; and

(f) All rules and regulations and limitations under this Act shall be subject to the concurrence of the Monetary Board of the Bangko Sentral ng Pilipinas.