Regulatory Alerts2023-01-01 | JPRF-F-2023-064JPRF-F-2023-064 — Extraordinary and Temporary Financial Relief Mechanism Applicable to the National Financial System until June 30, 2023
The Financial Policy and Regulation Board (JPRF) of Ecuador issued Resolution JPRF-F-2023-064 to extend the validity of the Extraordinary and Temporary Financial Relief Mechanism for public financial sector entities until June 30, 2023, following a request by BanEcuador to mitigate the adverse effects of the pandemic. This extension allows public banks to continue restructuring obligations to reactivate productive activities and reduce non-performing loan portfolios, addressing operational delays in system parametrization that previously excluded some debtors from the benefit. The resolution explicitly mandates that this measure remains exceptional and temporary, ensuring that financial institutions maintain responsibility for their solvency and asset quality without constituting a state guarantee.