AMENDMENT TO FUND ADMINISTRATION AGREEMENT

                                  AMENDMENT TO
                          FUND ADMINISTRATION AGREEMENT

     This Amendment  dated as of January 1, 2001, is to the Fund  Administration
Agreement  made as of October 1, 1996 and  subsequently  amended and restated on
December  31,  1996 and  February  21,  1997 (the  "Agreement")  by and  between
Franklin ▇▇▇▇▇▇▇▇▇ Services,  Inc., a Florida corporation ("FTSI") and Templeton
Institutional Funds, Inc. (the "Company ") on behalf of its separate series.

                                   WITNESSETH:

     WHEREAS, both FTSI and the Company wish to amend the Agreement;

     WHEREAS,  FTSI merged into  FRANKLIN  ▇▇▇▇▇▇▇▇▇  SERVICES,  LLC, a Delaware
limited liability company, a successor entity, on January 1, 2001;

     NOW,  THEREFORE,  in consideration of the foregoing  premises,  the parties
hereto agree as follows:

          1. FTSI's name is henceforth to be known as "Franklin ▇▇▇▇▇▇▇▇▇
             Services, LLC."

          2.  All references to FTSI being a "Florida Corporation" in the
              Agreement are hereby changed to a "Delaware limited liability
              company."

     IN WITNESS  WHEREOF,  this  Amendment  has been  executed on behalf of each
party as of the date set forth above.

                                            FRANKLIN ▇▇▇▇▇▇▇▇▇ SERVICES, LLC



                                            By:/s/▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇
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                                            TEMPLETON INSTITUTIONAL FUNDS, INC.



                                            By:/s/▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
                                               --------------------------------