BANCO CENTRAL DE THE REPUBLIC OF ARGENTINA

__________________________________________________________________ COMMUNICATION "A" 3417 I 12/28/01 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
LISOL 1 - 368
Liquidity Reserves. Reduction of
Requirements

We address you to inform you that this Institution adopted the following resolution:

"1. Replace, with effect from 12/27/01, points 1.3.1., 1.3.3., 1.3.4. and 7.3. of the rules on "Minimum Liquidity Requirements" with the following:

"1.3.1. Fixed-term deposits -except those included in point 1.3.4.-, obligations for "acceptances" -including liabilities from the sale or assignment of credits to parties other than financial entities-, reverse repos, guarantees and reverse stock market repos, term obligations with banks and foreign correspondents, debentures, investments with constant term, with option for early cancellation or renewal for a determined term and with variable remuneration, obligations with the fiduciary funds for Assistance to Financial Entities and Insurance and for Provincial Development and other term obligations, according to their residual term (with the exception of what is provided in point 1.3.2.):

i) Up to 59 days. 15 ii) From 60 to 89 days. 15 iii) From 90 to 179 days. 8 iv) From 180 to 365 days. 3 v) More than 365 days. 0"

"1.3.3. Immobilized balances of the concepts included in these rules with the exception of those corresponding to point 1.3.4. 15"

"1.3.4. Fixed-term deposits made by the Judiciary with funds originating from the cases in which it intervenes, according to their residual term:

i) Up to 179 days. 8 ii) From 180 to 365 days. 3 iii) More than 365 days. 0

Immobilized balances for this concept. 8"

"7.3. For the purposes of the daily requirement, on no day during the period 12/10/01/12/26/01, the sum of the balances of the concepts admitted as integration, registered at the close of each day, shall be less than 60% of the total requirement determined in November 2001."

2. Incorporate, with effect from 12/27/01, as point 7.4. in the rules on "Minimum Liquidity Requirements" the following:

"7.4. For the purposes of the daily requirement, on no day during the period 12/27/01/01/31/02, the sum of the balances of the concepts admitted as integration, registered at the close of each day, shall be less than 60% of the total requirement determined in November 2001 decreased by the amount equivalent to 6% of the deposits and other obligations of the private sector included in points 1.3.1. to 1.3.4. of Section 1., corresponding to that month.

For these purposes, the recalculation referred to in the second paragraph of point 2.2. of Section 2. shall not apply."

3. Set at 12.5%, from 12/27/01, the requirement rate for the concepts included in points 1.3.1. to 1.3.5. of Section 1. of the rules on "Minimum Cash".

We send you attached the sheets that, in replacement of those previously provided, correspond to incorporate in the ordering on "Minimum Cash" and "Minimum Liquidity Requirements".

We greet you very attentively.

BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Alfredo A. Besio José Rutman
Manager of Emission Manager Principal of of Norms Norms and Authorizations

ANEXO

MINIMUM LIQUIDITY REQUIREMENTS B.C.R.A. Section 1. Requirement.
1.3. Minimum requirements.
As a minimum, the requirements arising from applying the following rates must be integrated:

Concept Rate in %
1.3.1. Fixed-term deposits -except those included in point
1.3.4.-, obligations for “acceptances” -including liabilities from the sale or assignment of credits to parties other than financial entities-, reverse repos, guarantees and reverse stock market repos, term obligations with banks and foreign correspondents, debentures, investments with constant term, with option for early cancellation or renewal for a determined term and with variable remuneration, obligations with the fiduciary funds for Assistance to Financial Entities and Insurance and for Provincial Development and other term obligations, according to their residual term (with the exception of what is provided in point 1.3.2.) i) Up to 59 days. 15 ii) From 60 to 89 days. 15 iii) From 90 to 179 days. 8 iv) From 180 to 365 days. 3 v) More than 365 days. 0
1.3.2. Deposits and other concepts included in point
1.3.1. captured from 11/26/01, whose remuneration exceeds
by more than one percentage point the nominal annual interest rate for fixed-term deposits of 30 to 59 days, in pesos or in US dollars -as applicable-, for amounts up to $100,000. This rate, which the B.C.R.A. will disseminate on Fridays, or the next business day if it is a holiday, through Communication “B” and which will apply for the following calendar week, will reflect the average of rates from the daily survey of the five preceding business days before the second business day prior to dissemination. 100
1.3.3. Immobilized balances of the concepts included in
these rules with the exception of those corresponding to point 1.3.4. 15
1.3.4. Fixed-term deposits made by the Judiciary with funds
originating from the cases in which it intervenes, according to their residual term:
Version: 12th Communication “A” 3417 Validity:
12/27/01

MINIMUM LIQUIDITY REQUIREMENTS B.C.R.A. Section 1. Requirement. i) Up to 179 days. 8 ii) From 180 to 365 days. 3 iii) More than 365 days. 0 Immobilized balances for this concept. 8
1.4. Residual term.
1.4.1. Determination.
1.4.1.1. General case.
The residual term of each term obligation is equivalent to the number of days remaining until its maturity. This criterion does not apply to the concepts included in point 1.3.2., for which the established requirement will apply regardless of the residual term, since only the agreed remuneration is taken into account.
1.4.1.2. Term investments.
In the case of term investments, the following criteria will apply:
i) Constant term.
The remaining term until maturity will be considered, taking into account the automatic extension or, if applicable, the term resulting from the exercise of the option to revoke it. ii) With option for early cancellation. The remaining term until the date on which the investor can exercise the option for early cancellation will be taken into account, to the extent that they are the holder of the right, or the originally agreed term, in case the entity is the holder of that right. iii) With option for renewal for a determined term. The remaining term until maturity will be considered, taking into account for this purpose the term that would result from the eventual exercise of the extension option by the entity, to the extent that it is the holder of the right. Version: 22nd Communication “A” 3417 Validity:
12/27/01

MINIMUM LIQUIDITY REQUIREMENTS B.C.R.A. Section 7. Transitional Provisions.
7.1. The holding of the "Government Bond 9% - maturity 2002" will be admitted as a computable concept for the integration of the minimum
liquidity requirements, without exceeding the amount equivalent to 18% of the minimum requirement of February 2001. Its computation will be allowed for the amount invested for its acquisition without taking into account the interest accrued on its nominal value and without exceeding the stated cap, provided that the titles are kept deposited in the account opened in the Central Registration and Clearing System for Public Debt Instruments "CRYL" of the Central Bank of the Republic of Argentina.
7.2. For the quarterly period November 2001/January 2002, the integration of the minimum liquidity requirements with the balances of the current account
in pesos opened at the Bank Central will be admitted, without exceeding 70% of the requirement.
7.3. For the purposes of the daily requirement, on no day during the period 12/10/01/12/26/01,
the sum of the balances of the concepts admitted as integration, registered at the close of each day, shall be less than 60% of the total requirement determined in November 2001.
7.4. For the purposes of the daily requirement, on no day during the period 12/27/01/01/31/02, the
sum of the balances of the concepts admitted as integration, registered at the close each day, shall be less than 60% of the total requirement determined in November 2001 decreased by the amount equivalent to 6% of the deposits and other obligations of the private sector included in points 1.3.1. to 1.3.4. of Section 1., corresponding to that month. For these purposes, the recalculation referred to in the second paragraph of point 2.2. of Section 2. shall not apply. Version: 9th Communication “A” 3417 Validity:
12/27/01

B.C.R.A. ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE RULES ON MINIMUM LIQUIDITY REQUIREMENTS ORDERED TEXT ORIGINATING NORM
Section Point Paragraph Com. Annex Point Paragraph Observations

1. 1.1.1. “A” 2422 single 1. 1st According to Com “A” 3274.
2. 1.1.2.1. “A” 2422 single 1. 2nd
3. 1.1.2.2. “A” 2422 single 1. 2nd
4. 1.1.2.3. “A” 2422 single 1. 2nd
5. 1.1.2.4.
   a
   1.1.2.5.
   “A” 2422 single 1. 2nd
6. 1.1.3. 1st “A” 2422 single 1. 1st Includes interpretative clarification.
7. 1.1.3. last “A” 2422 single 1. 2nd Includes interpretative clarification.
8. 1.2. 1st “A” 2422 single 2. 1st According to Com. “A” 2511.
   “A” 2422 single 2. 7th According to Com. “A” 2648.
9. 1.2. 2nd “A” 2422 single 2. 8th According to Com. “A” 2648.
10. 1.2. last “A” 2422 single 2. 9th According to Com. “A” 2569.
11. 1.3.1. “A” 2422 single 4. According to Com. “A” 2663,
    2669, 2825, 3261, 3274,
    3305, 3311, 3337, 3338 and
    3417 with interpretative clarification. Decree No.
    342/00.
12. 1.3.2. “A” 3365 3.
13. 1.3.3. “A” 3274 According to Com. “A” 3305,
    3311, 3338 and 3417.
14. 1.3.4. “A” 3305 According to Com. “A” 3311,
    3338 and 3417.
15. 1.4.1.1. Explicit criterion.
    According to Com. “A” 3365.
16. 1.4.1.2. “A” 2422 single 2. 3rd According to Com. “A” 2511.
17. 1.4.1.3. “A” 2422 single 2. 6th According to Com. “A” 2648 and
19. 1.4.1.4. “A” 3126
20. 1.4.2. “A” 2422 single 2. 2nd According to Com. “A” 2511.
    Modifies applicable criterion.
21. 1.4.3. “A” 2422 single 2. 4th and 5th According to Com. “A” 2648.
    Modifies applicable criterion.
22. 1.5. 1st “A” 2494 5.1.1. 1st According to Com. “A” 2653.
    Modified by the Com.
    “A” 2886, 2931 and 3274.
    5.1.2.
23. 1.5. 2nd “A” 2494 5.1. last According to Com. “A” 2653.
24. 1.5. last “A” 2494 5.3.
25. 1.6. “A” 3229 According to Com. “A” 3274.
26. 1.7. “A” 2833 1. Includes clarification.
27. 2.1.1. “A” 3274 According to Com. “A" 3304.
28. 2.1.2. “A” 2817 According to Com. “A” 3112 and
30. 2.1.3. “A” 2422 single 3.1.2. According to Com. “A” 2663 and

MINIMUM LIQUIDITY REQUIREMENTS
ORDERED TEXT ORIGINATING NORM
Section Point Paragraph Com. Annex Point Paragraph Observations
2. 2.1.4. “A” 2422 single 3.1.10. According to Com. “A” 2648, “A”
3231, 3274 and “A” 3290.
2. 2.1.5. “A” 2422 single 3.1.3. According to Com. “A” 2663, “A”
3274 and “A” 3290.
2. 2.1.6. “A” 2422 single 3.1.8. According to Com. “A” 2648, “A”
3274 and “A” 3290.
2. 2.1.7. “A” 2422 single 3.1.11. According to Com. “A” 2648,
2705, “A” 3274 and “A” 3290.
2. 2.1.8. “A” 2422 single 3.1.9. According to Com. “A” 2648, “A”
3274 and “A” 3290.
2. 2.1.9. “A” 2422 single 3.1.5. According to Com. “A” 2663,
2648, “A” 3274 and “A” 3290.
2. 2.1.10. “A” 2422 single 3.1.7. According to Com. “A” 2648 and “A”
3274.
2. 2.1.11 “A” 3274 According to Com. “A” 3304.
2. 2.1.12. “A” 3274
2. 2.1.13. “A” 3365 3.
2. 2.1.14. “A” 3365 3.
2. 2.2. “A” 2422 single 3. 1st and 2nd According to Com. “A” 2663,
2833, 2915, 3195, 3246,
3274, 3302, 3365 and 3401.
2. 2.3. “A” 2422 single 3.2. According to Com. “A” 2705,
2817, 3274, 3357 and 3365.
3. 3.1.1. “A” 2422 single 5. According to Com. “A” 2490, modified by the Com. “A”
2833, 2915 and 3326.
3. 3.1.2. “A” 2422 single 5. According to Com. “A” 2490.
3. 3.1.3. “A” 2422 single 5. According to Com. “A” 2490, 3100
and 3326.
3. 3.1.4. “A” 2422 single 5. According to Com. “A” 2490 and “A”
3274.
“B” 5159
3. 3.2.1. “A”3274
3. 3.2.2. “A” 2895 According to Com. “A” 2991 and “A”
3274.
3. 3.3. “A” 2833 2. According to Com. “A” 2895 and “A”
3274.
3. 3.3.2. “A” 2833 According to “A” 3274.
4. 4.1. Explicit criterion.
5. “A” 2422 single 6. According to Com. “A” 2490, with
interpretative clarification.
6. 6.1. “A” 2422 single 3.3. According to Com. “A” 2705, 2694
and “A” 3274.
6. 6.2. “A” 2422 single 8. According to Com. “A” 3274.
6. 6.3. “A” 2422 single 9. According to Com. “A” 2648 and “A”
3112.
6. 6.4. “A” 3132 single
6. 6.5. “A” 3290
7. 7.1. “A” 3251 According to Com. “A” 3274.
7. 7.2. “A” 3361 2.
7. 7.3. “A” 3401 1. According to Com. “A” 3417.
7. 7.4. “A” 3417 1.

MINIMUM CASH B.C.R.A. Section 1. Requirement.
The requirement will be observed separately for each of the currencies in which the obligations are denominated. At the option of the entities, the requirement on demand obligations for checks and pending transfers and for correspondent operations abroad in currencies other than the euro or the US dollar may be charged to the requirement in the latter currency. This alternative may be applied only if the requirement in currencies other than the US dollar or the euro does not exceed the equivalent to US$ 100,000 or 1% of the minimum cash requirement of all foreign currencies, whichever is greater.
1.3. Minimum cash.
The minimum cash amounts arising from applying the following rates must be integrated:
Concept Rate in %
1.3.1. Checking account deposits. 12,5
1.3.2. Savings account deposits. 12,5
1.3.3. Pupilary usuries, special accounts for closed circles,
special accounts for cash deposits, “Unemployment fund for workers in the construction industry”, “Payment of remuneration”, special checking accounts for legal entities and pension savings. 12,5
1.3.4. Other deposits and demand obligations, including with banks and foreign correspondents, pension benefits
credited by ANSES pending cashing and immobilized balances corresponding to obligations included in these rules. 12,5
1.3.5. Unused balances of formalized current account advances. 12,5
1.3.6. Demand placements -regardless of the form of imposition- that, as a minimum, must constitute the credit of the
common investment funds (in accordance with what is provided in the Norms of the National Securities Commission). 50 Version: 5th Communication “A” 3417 Validity:
12/27/01

B.C.R.A. ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE RULES ON MINIMUM CASH ORDERED TEXT ORIGINATING NORM OBSERVATIONS Sec. Point Para. Com. Annex Sec. Point Para.
1.1. “A” 3274 II 1. 1.1.
1.1.1. “A” 3274 II 1. 1.1.1.
1.1.2. “A” 3274 II 1. 1.1.2.
1.1.3. “A” 3274 II 1. 1.1.3.
1.2. “A” 3274 II 1. 1.2. According to Com. “A” 3304.
1.3. “A” 3274 II 1. 1.3.
1.3.1. “A” 3274 II 1. 1.3.1. According to Com. “A” 3338 and
3417.
1.3.2. “A” 3274 II 1. 1.3.2. According to Com. “A” 3338 and
3417.
1.3.3. “A” 3274 II 1. 1.3.3. According to Com. “A” 3338,
3399 and 3417.
1.3.4. “A” 3274 II 1. 1.3.4. According to Com. “A” 3338 and
3417.
1.3.5. “A” 3274 II 1. 1.3.5. According to Com. “A” 3338 and
3417.
1.3.6. “A” 3274 II 1. 1.3.6. According to Com. “A” 3365.
1.3.7. “A” 3274 II 1. 1.3.7.
1.3.8. “A” 3365 2.
1.4. “A” 3274 II 1. 1.4.
1.5. “A” 3274 II 1. 1.5.
1.6. “A” 3274 II 1. 1.6.
1.6.1. “A” 3274 II 1. 1.6.1.
1.
1.6.2. “A” 3274 II 1. 1.6.2. According to Com. “A” 3304.
2.1. “A” 3274 II 2. 2.1.
2.1.1. “A” 3274 II 2. 2.1.1. According to Com. "A" 3304.
2.1.2. “A” 3274 II 2. 2.1.2. According to Com. “A” 3304.
2.1.3. “A” 3274 II 2. 2.1.3.
2.1.4. “A” 3274 II 2. 2.1.4.
2.1.5. “A” 3274 II 2. 2.1.5. According to Com. “A” 3338.
2.1.6. “A” 3311
2.2. “A” 3274 II 2. 2.2.
2.3. “A” 3274 II 2. 2.3. According to Com. “A” 3311 and
3338.
2.
2.4. “A” 3365 2. According to Com. “A” 3387.
3.1. “A” 3274 II 3. 3.1.
3.1.1. “A” 3274 II 3. 3.1.1. According to Com. “A” 3326 and
3365.
3.1.2. “A” 3274 II 3. 3.1.2.
3.1.3. “A” 3274 II 3. 3.1.3. According to Com. “A” 3326.
3.1.4. “A” 3274 II 3. 3.1.4.
3.2. “A” 3274 II 3. 3.2.
3.2.1. “A” 3274 II 3. 3.2.1.
3.2.2. “A” 3274 II 3. 3.2.2.
3.3. “A” 3274 II 3. 3.3.
3.3.1. “A” 3274 II 3. 3.3.1.
3.
3.3.2. “A” 3274 II 3. 3.3.2.
4. 4.1. “A” 3274 II 4. 4.1.

MINIMUM CASH
ORDERED TEXT ORIGINATING NORM OBSERVATIONS
Sec. Point Para. Com. Annex Sec. Point Para.
5. 5.1. “A” 3274 II 5. 5.1.
6. 6.1. “A” 3361 1.
6.2. “A” 3387 1. According to Com. “A” 3401.