Cap. 574 чл. 14Operating principles.

The operations of the Bank shall be conducted in accordance with good commercial and economic practice and the following principles shall, inter alia, be followed:

(a) before a financing is granted, the applicant shall have submitted an adequate loan proposal and the Chief Executive Officer shall have presented to the Board a written report regarding the proposal, together with his recommendations, on the basis of a staff study; the Bank shall pay due regard to the ability of the borrower to obtain financing or facilities elsewhere on terms and conditions that the Bank considers reasonable for the recipient, taking into account all pertinent factors;

(c) in making or guaranteeing a loan, the Bank shall pay due regard to the prospects that the borrower and its guarantor, if any, will be in a position to meet their obligations willingly under the loan contract;

(d) in making or guaranteeing a loan, the rate of interest, other charges and the schedule for repayment of principal shall be such as are, in the opinion of the Bank, appropriate for the loan concerned;

(e) in guaranteeing a loan made by other investors, or in underwriting the sale of securities, the Bank shall receive suitable compensation for its risk;

(f) in the case of a direct loan made by the Bank, the borrower shall be permitted by the Bank to draw its funds only to meet expenditures in connection with the project as they are actually incurred;

(g) the Bank shall take the necessary measures to ensure that the proceeds of any loan made, guaranteed or participated in by the Bank are used only for the purposes for which the loan was granted and with due attention to considerations of economy and efficiency;

(h) the Bank shall seek to maintain reasonable diversification in its investments in equity capital; it shall not assume responsibility for managing any company or enterprise in which it has an investment, except where necessary to safeguard its investments; and

(i) the Bank shall be guided by sound banking principles in its operations.