Circular LISOL 1-1110: Liquidity Coverage Ratio. Adjustments.

"Year of the Reconstruction of the Argentine Nation" COMMUNICATION “A” 8269 03/07/2025 TO FINANCIAL ENTITIES:
Ref.: Circular LISOL 1-1110: Liquidity Coverage Ratio. Adjustments.
___________________________________________________________________________ We address ourselves to you to inform you that this Institution has adopted the resolution which, in its pertinent part, provides:
“1- To establish that, for the purposes of determining the liquidity coverage ratio (LCR), the balance exceeding the minimum payment of credit card financing shall be included within cash inflows from loans with no specific maturity (remaining balance up to the amount owed according to the respective statement), provided that they are cash inflows from retail and/or SME clients, and that the corresponding contract provides for unilateral cancellation by the financial institution and the right to demand payment within 30 (thirty) days (ordered text on Liquidity Coverage Ratio, pt. 5.2.3.). 2- Financial entities shall assume that they will receive the entirety of this excess balance –including interest and principal– within a 30 (thirty) day horizon, and additionally, that they will continue granting loans at a rate of 80% (eighty percent) of this cash inflow (pt. 5.2.3.1.). An inflow rate of 20% (twenty percent) shall apply (pt. 6.2.5.1.).” Regarding the above, we forward to you the pages that, in replacement of those previously provided, should be incorporated into the ordered text referenced. In this sense, it is recalled that on this Institution’s website www.bcra.gob.ar, by accessing “Financial System - LEGAL AND REGULATORY FRAMEWORK - Regulations and summaries - Ordered texts of general regulations”, the modifications made with text highlighted in special characters (strikethrough and bold) can be found. We salute you attentively. BANCO CENTRAL DE LA REPÚBLICA ARGENTINA Darío C. Stefanelli Marina Ongaro Principal Manager of Issuance and Regulatory Applications Deputy General Manager of Financial Regulation
ANNEX

5.2.3. Other inflows based on the counterparty.
All other types of operations, secured or unsecured, shall be calculated based on the counterparty.
When considering payments from financing, financial entities must include only inflows from loans that do not present any payment delays, allocating them on the latest possible date based on the counterparties' contractual rights. In the case of revolving financing (understood as those in which borrowers are authorized to make draws and repayments within agreed limits on a credit line, including credit cards and current account overdrafts), this implies assuming the renewal of existing loans and that remaining balances receive the same treatment as committed facilities, provided for in point 4.4.4. Inflows from loans with no specific maturity shall not be included, except that they are:
i) minimum payments of principal amortization, commissions or interest associated with these loans, which have a contractual maturity within the 30-day period; ii) the excess balance of the minimum payments mentioned in subsection i) (remaining balance up to the amount owed according to the respective statement), provided that: a) they are inflows from retail and/or SME clients, and b) the corresponding contract provides for unilateral cancellation by the financial institution and the right to demand payment within 30 days. In these cases, the following assumptions and factors shall apply.

5.2.3.1. Inflows from retail and SME clients.
Financial entities shall assume that they will receive all payments –including those for interest and principal– with contractual maturity within the 30-day horizon originating from loans granted to retail and SME clients that do not present any payment delays. At the same time, they must presuppose that they continue granting them loans at a rate of 50% of their contractual inflows. In the case of the excess balance over the minimum payment of credit card financing provided for in subsection ii) of point 5.2.3., financial entities shall assume that they will receive the entirety of this excess balance –including interest and principal– within a 30-day horizon, and additionally, that they will continue granting loans at a rate of 80% of this cash inflow. The factors provided for in point 6.2.5.1 shall apply. B.C.R.A. LIQUIDITY COVERAGE RATIO
Section 5. Total cash inflows. Version: 3rd COMMUNICATION “A” 8269 Validity: 04/07/2025 Page 3

5.2.3.2. Wholesale inflows.
Financial entities shall assume that they will receive all payments –including those for interest and principal– with contractual maturity within the 30-day horizon originating from loans granted to wholesale clients that do not present any payment delays. Furthermore, regarding cash inflows from financial entities, currency exchanges, insurers and CNV-regulated agents, non-financial trust fiduciaries and central banks, they shall assume that they will not use them to grant new financing to those counterparties. When it comes to other wholesale cash inflows, including those from non-financial private sector clients –except for currency exchanges, insurers and CNV-regulated agents, non-financial trust fiduciaries or SMEs included in point 5.2.3.1.–, the National Government, other sovereign states and multilateral development banks, they shall assume that they will continue extending financing by an amount equivalent to 50% of the inflows from those counterparties. The following factors shall apply:
i) Non-financial wholesale counterparties. Includes non-financial private sector –except for SMEs provided in point 5.2.3.1. and currency exchanges, insurers, CNV-regulated agents, non-financial trust fiduciaries–, other sovereign states and multilateral development banks and National Government: the factor provided for in point 6.2.5.2 shall apply to them. ii) Financial entities, currency exchanges, insurers, CNV-regulated agents, non-financial trust fiduciaries and central banks: the factor provided for in point 6.2.5.3 shall apply. iii) Inflows from securities maturing within the 30-day period, not included in the High-Quality Liquid Assets (HQLA/FALAC), and inflows resulting from the release of positions held in segregated accounts due to regulatory requirements on investor trading asset protection that are applicable, provided that those segregated positions are maintained in high-quality liquid assets: the factor provided for in point 6.2.5.4 shall apply. Inflows from securities calculable in the HQLA/FALAC that mature within 30 days are excluded, as these must be included in that Fund to the extent they meet the operational requirements provided for in point 2.1. iv) Deposits maintained in other financial entities, insurers, CNV-regulated agents and non-financial trust fiduciaries for operational purposes –as provided in point 4.2.2.–. It shall be assumed that they remain in those entities, so inflows from these deposits cannot be calculated: the factor provided for in point 6.2.5.5 shall apply. B.C.R.A. LIQUIDITY COVERAGE RATIO
Section 5. Total cash inflows. Version: 3rd COMMUNICATION “A” 8269 Validity: 04/07/2025 Page 4

5.2.4. Other cash inflows.
5.2.4.1. Cash inflows from derivative operations.
The amounts of cash inflows from derivative operations shall be calculated according to the methodology described in point 4.4.1.
When derivatives are secured by high-quality liquid assets, cash inflows shall be calculated net of any contractual obligation to provide cash or other assets as collateral by the financial entity, given that these contractual obligations would reduce the HQLA/FALAC. To the sum of all net cash inflows from derivative operations, the factor provided for in point 6.2.6 shall be applied.
5.2.4.2. Other contractual cash inflows.
The concepts included in this category must be detailed.
Without prejudice to the above, for the purposes of these provisions, cash inflows related to non-financial income shall not be taken into consideration.
The factor provided for in point 6.2.7 shall apply.
B.C.R.A. LIQUIDITY COVERAGE RATIO
Section 5. Total cash inflows. Version: 2nd COMMUNICATION “A” 8269 Validity: 04/07/2025 Page 5

6.2.1.2. Assets that do not qualify in the HQLA/FALAC (point 5.2.1.2.).
i) do not cover short positions. 100% ii) cover short positions. 0%
6.2.2. Margin loans backed by collateral assets that do not qualify in the HQLA/FALAC (point 5.2.1.3.).
6.2.2.1. If collateral is not used to cover short positions. 50%
6.2.2.2. If collateral is used to cover short positions. 0%
6.2.3. Collateral obtained through active repurchase operations or in which securities are borrowed or by collateral asset swaps maturing within the 30-day horizon, which are re-used to cover short positions that could be extended for more than 30 days (point 5.2.1.4.). 0%
6.2.4. Committed credit, liquidity or other contingent financing facilities maintained by the entity with other financial entities (point 5.2.2.). 0%
6.2.5. Other inflows based on the counterparty (point 5.2.3.).
6.2.5.1. Inflows from retail and SME clients (point 5.2.3.1.).
i) Credit card financing. a) Minimum payment of principal amortization, commissions or interest associated with loans with no specific maturity. 50% b) Excess balance over the minimum payment referred to in subsection a). 20% ii) Others. 50% B.C.R.A. LIQUIDITY COVERAGE RATIO
Section 6. Factors. Version: 2nd COMMUNICATION “A” 8269 Validity: 04/07/2025 Page 5

6.2.5.3. Amounts to be received from financial entities, currency exchanges, insurers and CNV-regulated agents, non-financial trust fiduciaries and central banks (subsection ii) of point 5.2.3.2.). 100%
6.2.5.4. Inflows from securities maturing within the 30-day period –not included in the HQLA/FALAC– and inflows resulting from the release of positions held in segregated accounts (subsection iii) of point 5.2.3.2.). 100%
6.2.5.5. Operational deposits maintained in other financial entities, insurers and CNV-regulated agents and non-financial trust fiduciaries (subsection iv) of point 5.2.3.2.). 0%
6.2.6. Cash inflows from derivative operations (point 5.2.4.1.). 100%
6.2.7. Other contractual cash inflows (point 5.2.4.2.). 50%
B.C.R.A. LIQUIDITY COVERAGE RATIO
Section 6. Factors. Version: 2nd COMMUNICATION “A” 8269 Validity: 04/07/2025 Page 6

B.C.R.A. ORIGIN OF THE PROVISIONS CONTAINED IN THE ORDERED TEXT ON LIQUIDITY COVERAGE RATIO ORDERED TEXT ORIGINATING STANDARD OBSERVATIONS
Section Point Paragraph Com. Cap./ Annex Point Paragraph
1.
1.1. “A” 5693 3. According to Com. “A” 6209, 6475 and 6633.
1.2. “A” 5693 single 1.1.
1.3. “A” 5693 single 1.2.
1.4. “A” 5693 single 1.3.
1.5. “A” 5693 single 1.4.
1.6. “A” 5693 single 1.5.
1.7. “A” 5693 single 1.6.
2.
1° and 2° “A” 5693 single 1° and 2°
2.1. “A” 5693 single 2.1.
2.2. “A” 5693 single 2.2. According to Com. “A” 6241, 6327 and 8199.
3.
3.1. “A” 5693 single 3.1.
3.2. “A” 5693 single 3.2.
3.3. “A” 5693 single 3.3.
4.
4.1. “A” 5693 single 4.1.
4.1.1. “A” 5693 single According to Com. “A” 6004.
4.2. “A” 5693 single 4.2.
4.2.1. “A” 5693 single 4.2. According to Com. “A” 6431 and 6586.
4.2.2. “A” 5693 single 4.2.
4.2.3. “A” 5693 single 4.2.
4.2.4. “A” 5693 single According to Com. “A” 6004.
4.3. “A” 5693 single 4.3.
4.4. “A” 5693 single 4.5.
4.4.2.1. “A” 5693 single 4.5. According to Com. “A” 6004.
4.4.5. “A” 5693 single 4.5. According to Com. “A” 6004.
4.4.6.1. “A” 5693 single 4.5. According to Com. “A” 6004.
4.4.6.2. “A” 5693 single 4.5.
4.4.6.3. “A” 5693 single 4.5. According to Com. “A” 6004.
5. 5.1. “A” 5693 single 5.1.
5.2. “A” 5693 single 5.2. According to Com. “A” 8269.
6.
6.1. “A” 5693 single 6.1.
6.1.4.2. “A” 5693 single 6.1. According to Com. “A” 6008.
6.1.4.11. “A” 5693 single 6.1. According to Com. “A” 6004 and 6008.
6.2. “A” 5693 single 6.2. According to Com. “A” 8269.
7. 7.1. “A” 5693 single 7.1.
7.2. “A” 5693 single 7.2.
8.
8.1. “A” 5693 single 8.1.
8.2. “A” 5693 single 8.2.
last “A” 6723 1. According to Com. “A” 7393.