Treasury issues new 936 lending rules. (Section 936, United States Internal Revenue Code) (Manufacturing)

Final regulations governing the use of 936 funds to finance economic development projects in eligible Caribbean Basin Initiative (CBI) countries have been established by the U.S. Treasury Department.

The new regulations for 936 lending, which replace temporary rules issued by the Treasury in September 1989, are expected to add flexibility and broaden the scope of Puerto Rico's Caribbean Development Program that is in charge of channeling 936 funds into eligible countries, sources familiar with the rules said.

In effect since May 13, the new regulations include many of the recommendations made by the Puerto Rico Economic Development Administration (Fomento), …