AN ACT RELATIVE TO LENDING LIMITS.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same as follows:
SECTION 1. Subsection (a) of section 6 of chapter 167E of the General Laws, as appearing in the 2004 Official Edition, is hereby amended by striking out clauses (4) and (5) and inserting in place thereof the following 2 clauses:-
(4) Obligations of a foreign government or a political subdivision thereof shall be limited to 10 per cent of capital; but a well capitalized bank engaged in a global custody business that has no less than $5,000,000,000 of foreign currency denominated deposits shall be limited to 40 per cent of capital.
(5) Obligations of all foreign governments and political subdivisions thereof shall not exceed a total of 50 per cent of capital; but a well capitalized bank engaged in a global custody business that has no less than $5,000,000,000 of foreign currency denominated deposit shall not be subject to that limitation.
Approved November 27, 2006.