CONFIDENTIAL

52 -

(b)

in direct loans

to governments

and

(c)

international organisations such as the IBRD

and the EIB and others which are described by

the organisations as 'private placements'

the time the investment is made;

at

in limited assignment promissory notes, such

·

as Schuldscheindarlehen.

Individual

placements should not exceed USD25

million or the equivalent in other currencies and

the term to maturity should not be longer than 10

years.

General

guidelines

8.

The basic policy criteria should only be used

as a guide and should never be allowed to override a

sensible interpretation of prevailing circumstances.

9.

Funds need not be moved to rectify deviations

from the guidelines in paragraphs 2, 4 and 5 caused

by strengths or weaknesses in security prices or

currency values or both.

10. The personal approval of the Financial Secretary, the Secretary for Monetary Affairs or the

Director, Office of the Exchange Fund is required

for currency exchanges.

11.

to

Other things being equal domestic money market

obligations should be acquired in preference

international Euro-market obligations.

16 April 1992

Office of the Exchange Fund

Monetary Affairs Branch

Government Secretariat

CONFIDENTIAL

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