Regulatory Alerts2025-01-01 | JPRFM-2025-021-FResolution JPRFM-2025-021-F: Incorporation of General Provision Second Allowing Private Financial Entities to Grant Credit Operations with 100% State-Guaranteed Collateral
The Financial and Monetary Policy and Regulation Board (JPRFM) issued Resolution JPRFM-2025-021-F to amend the Codification of Monetary, Financial, Securities, and Insurance Resolutions by incorporating a new General Provision Second. This provision permits private financial entities to extend credit operations to public sector financial entities secured by 100% collateral in titles issued by the Ecuadorian State or the Central Bank of Ecuador, provided the total exposure does not exceed 50% of the granting entity's total technical equity. These specific operations are exempt from the single-borrower exposure limits established in Article 210 of the Organic Code of the Monetary and Financial System, with the JPRFM mandated to review the provision and its limits annually.