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 amended on December
31,1996 (the "Agreement") by and between Franklin Xxxxxxxxx Services, Inc., a
Florida corporation ("FTSI") and Templeton Income Trust (the "Trust") on behalf
of Templeton Global Bond Fund.

                                   WITNESSETH:

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

         WHEREAS, FTSI merged into FRANKLIN XXXXXXXXX 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  Xxxxxxxxx
               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 XXXXXXXXX SERVICES, LLC


                                           By:/s/XXXXX XXXXXXXXX
                                              --------------------------------




                                           TEMPLETON INCOME TRUST

                                           By:/s/XXXXXXX X. XXXXX
                                              --------------------------------