BANCO CENTRAL DE LA REPUBLICA ARGENTINA
COMMUNICATION "A" 3274 I 24/05/01
TO FINANCIAL ENTITIES:
Ref.: Circular
LISOL 1 – 338
RUNOR 1 – 439
OPASI 2 – 260
SERVI 1 – 55
New Reserve Regime. Minimum Liquidity Requirements and Minimum Cash

We address you to inform you that this Institution has adopted, on the matter referenced, the following resolution:

“1. Approve, effective as of 1.6.01, the regulations on “Minimum Liquidity Requirements” and “Minimum Cash” attached as Annexes I and II, respectively, and which form part of this resolution.

Substitute, effective as of 1.6.01, points 4.2.1. of Section 4. and 5.2. item i), of Section 5. of the regulations on “Mandatory Issuance and Placement of Debt” with the following:

“4.2.1. Automatic increase of one percentage point in the minimum liquidity requirements, - except for obligations with residual terms exceeding 365 days - and in the minimum cash rates, starting from the month following that in which the maximum term provided for in point 1.2. of Section 1. of these regulations expires.”

“i) The automatic increase of three additional percentage points in the minimum liquidity requirements and in the minimum cash rates.”

Repeal, as of 1.6.01, points 2.4. and 4.13.3. of Section 4. of the regulations on “Minimum Capital of Financial Entities”.
Substitute points 1.1. of Section 4. and 6.6.4.5. of Section 6. of the regulations on “Minimum Capital of Financial Entities” with the following:

“1.1. Current and special accounts at the Central Bank of the Argentine Republic, account “Liquidity Requirements” at Deutsche Bank (New York) and payment orders charged to the C.B.R.A. 0”

“6.6.4.5. Current accounts of entities at the Central Bank.”

Replace, effective as of 1.6.01, the second paragraph of point 2.5.3. and points 2.1.3., 2.2.3. and 2.6.1. of Section 2. of the regulations on “Allocation of Assets as Collateral” with the following:

“Assets admitted for the integration of minimum liquidity requirements and minimum cash must be deposited in the name of the respective electronic clearing chamber, for each entity, in special accounts at the Central Bank of the Argentine Republic, in which case they may be counted for this purpose.”

“2.1.3. Allocable Assets.
Funds and securities, except those counted to integrate minimum liquidity requirements and minimum cash.”

“2.2.3. Allocable Assets.
Funds and securities, except those counted to integrate minimum liquidity requirements and minimum cash.”

“2.6.1. Guaranteeable Operations.
Net balance of guarantee accounts countable as integration of minimum liquidity requirements and minimum cash.”

Substitute, effective as of 1.6.01, the second paragraph of point 5.1. of Section 5. of the regulations on “Consolidated Supervision” with the following:

“In the cases of minimum liquidity requirements and minimum cash, the individual base will not include subsidiaries abroad.”

Replace, effective as of 1.6.01, the first paragraph of point 4.3. of Section 4. of the regulations on “Payment of pensions and retirement benefits on behalf of the National Social Security Administration (ANSES)” with the following:

“The amount of unpaid pension payment instructions for each period will be debited from the current account in pesos that financial entities maintain at the Central Bank of the Argentine Republic.”

Substitute, as of 1.6.01, item iv) of point 3.1.1.1. of Section 3. of the regulations on “Liquidity Position” with the following:

“iv) Current accounts of entities at the Central Bank.”

Establish that transferable deficiencies of minimum liquidity requirements as of 31.5.01 may be integrated starting in June 2001, in whole or in part, into this regime or the minimum cash regime, indistinctly, provided that the maximum six-month usage period is respected.
Substitute, effective as of 1.6.01, points 1.1., 1.4. of Section 1., 3.1.1. and 3.1.3. of Section 3. of the regulations on “Current Accounts of Financial Entities at the Central Bank of the Argentine Republic” with the following:

“1.1. Obligated Entities.

Financial entities are obligated to maintain a current account in pesos opened at the Central Bank of the Argentine Republic.
Entities may maintain current accounts in US dollars or other foreign currencies, when they receive deposits in those currencies.”

“1.4. Issuance of checks.
Authorized exclusively for transactions between financial entities, carried out through the current account in pesos.”

“3.1.1. Deposit of banknotes and coins exclusively for current accounts in pesos.”

“3.1.3. Deposits of checks from other financial entities against the current account in pesos that they in turn have opened at the Central Bank of the Argentine Republic.”

Incorporate, effective as of 1.6.01, in Section 1. of the regulations on “Current Accounts of Financial Entities at the Central Bank of the Argentine Republic” the following point:

“1. Remuneration.
The balance recorded at the close of each business day in these accounts will accrue interest for a business day term, at the rate set daily and which will be transmitted through the Foreign Exchange and Open Market Operations Desk. The corresponding settlement will be made available to entities at the opening of operations of the next business day via the STAF communications system; the accrued amounts will be automatically credited to the corresponding current account.”

Incorporate, effective as of 1.6.01, as points 3.1.11. and 3.2.5. in Section 3. of the regulations on “Current Accounts of Financial Entities at the Central Bank of the Argentine Republic” the following:

“3.1.11. Transfers from other current accounts of the entity opened at the Central Bank of the Argentine Republic, ordered by the entity.”

“3.2.5. Transfers to other current accounts of the entity opened at the Central Bank of the Argentine Republic, ordered by the entity.”

Repeal as of 1.6.01 points 1.2. of Section 1. and 3.2.4.5. of Section 3. of the regulations on “Current Accounts of Financial Entities at the Central Bank of the Argentine Republic”.
Order the opening of current accounts in pesos and US dollars at the Central Bank of the Argentine Republic in the name of financial entities, unless otherwise indicated by the entity itself, under the same conditions as currently authorized.
Establish that during the period June-August 2001, the integration of the minimum cash requirement in pesos will be allowed using the balances of the current account in US dollars opened at the Central Bank of the Argentine Republic, in the following proportions, calculated on said requirement:

Period %
June 2001 90
July 2001 70
August 2001 40”

We send you attached the justifications for the measure adopted, the new ordering of “Minimum Cash” and the sheets that, in replacement of those previously provided, must replace the relevant ordered texts.

We salute you very attentively.
BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Alfredo A. Besio Alejandro Henke
Manager of Emission Deputy General Manager of Regulation of Norms and Information Regime

ANNEX: 78 sheets

C.B.R.A.
JUSTIFICATIONS FOR THE RESOLUTION ON THE NEW
RESERVE REGIME. MINIMUM LIQUIDITY REQUIREMENTS AND MINIMUM CASH
Annex
to
Comm. “A” 3274

The Central Bank of the Argentine Republic implemented, subsequent to the crisis of early 1995, a systemic liquidity policy consisting of constituting a liquidity reserve that would discourage mass withdrawals of deposits and other liabilities, due to its deterrent effect and positive impact on depositor confidence, and in turn, if such withdrawals occurred, to attenuate the effects on the lending capacity and credit of the economy.

Following the Tequila crisis, the Central Bank maintained a strong systemic liquidity policy consisting of constituting significant asset reserves to provide the financial system with immediate liquidity if necessary.

Thus, in the second half of 1995, minimum liquidity requirements were established (replacing the minimum cash). This new regime was based, primarily, on considering the residual terms of the operations included in the determination of the requirement, the directed integration towards instruments from abroad with the possibility of obtaining remuneration in order to decrease the costs of entities.

This systemic liquidity policy acquires greater importance from the legal restrictions - Convertibility Law and Organic Charter of the Central Bank - that the Central Bank has to act as lender of last resort and from the limitations the market imposes on these faculties in terms of risk perception.

In addition to these reserves, entities maintain funds for operational needs (technical reserve). The level of this reserve depends on the specific characteristics of the entities, such as: the quantity and geographic distribution of their branches, the structure and maturity of their liabilities and assets, access to contingent liquidity lines, the correlation of their liabilities, etc.

Recently, an analysis has been conducted on the behavior in recent years of deposits in various situations where declines were not attributable to seasonal factors.

These studies yielded as a result a need for systemic liquidity reserves to cover deposit withdrawals similar to the current one (that is, requirements plus technical reserve). However, it was demonstrated that demand deposits (current accounts and savings accounts) would require a lower liquidity reserve than the current one, while for time deposits it should be increased.

Since demand deposits (savings accounts and current accounts) are less sensitive to changes in the perception of the financial system's risk, as they register more stable behavior compared to time deposits in crisis situations, and given the provisions disseminated via Decree 439 of 17.04.01, it is considered convenient to modify the current systemic liquidity reserve scheme, establishing differential requirements for savings and current account deposits compared to those made for term.

By that provision, the National Government modified the Organic Charter of the Central Bank of the Argentine Republic (articles 19, item j) and 28), lifting the prohibition that the Institution had to remunerate reserve requirements (minimum cash).

On its part, article 4° of Decree 439 modified article 28 of the Organic Charter (24.144), which was drafted as follows: “With the object of regulating the quantity of money and monitoring the proper functioning of the financial system, the CENTRAL BANK OF THE ARGENTINE REPUBLIC may require that financial entities maintain available certain proportions of deposits and other liabilities, denominated in local and foreign currency. No other type of unavailable or immobilized deposits may be required of financial entities. Reserve requirements must be constituted in national currency or in the corresponding foreign currency, depending on whether they are liabilities of financial entities denominated in national or foreign currency, and will be integrated in cash at the entities, in demand deposits at the CENTRAL BANK OF THE ARGENTINE REPUBLIC or in public securities valued at market prices, in the latter case, in the proportion determined by the CENTRAL BANK OF THE ARGENTINE REPUBLIC”.

Consequently, it is considered convenient to implement a new liquidity regime based on minimum cash on demand operations, while the current regulations on “Minimum Liquidity Requirements” will cover only term operations.

Both requirements will include the systemic liquidity reserves necessary both to face the withdrawal of deposits as well as the technical requirement to continue operating the day after the end of said process.

The estimation made on the impact of the cited modifications yields a result, at the systemic level, practically balanced (small initial expansion).

The minimum cash can be integrated with the cash in register recorded in financial entities, in remunerated demand accounts at the Central Bank and in public securities of the National Government, within the limits established for each case and in the currency of the deposit that generated them.

Since it is a concept assimilable to cash in register, given that it serves as technical reserve, the computation as integration of the balances that non-bank financial entities register in current accounts in commercial banks, opened for that purpose, will be admitted, over which the latter must observe a minimum cash of 100%.

In that framework, the minimum liquidity requirements on time deposits are raised to 22%, 15% and 10%, according to the tranches provided for according to the residual term, maintaining the current integration alternatives that centralize on assets denominated in US dollars.

On the other hand, the minimum cash requirement on demand deposits will be 15.5% (currently observing a requirement of 18%).

The demand accounts that financial entities have opened at the Central Bank may be remunerated by virtue of the cited decree, for which purpose entities may have authorized at this Institution current accounts both in pesos and in foreign currencies.

The possibility of returning balances of current accounts makes redundant the current scheme of passive repos with public securities and of certificates of deposit issued by banks abroad as well as the mechanism of sale of those certificates that is deactivated, by virtue of the remuneration of accounts producing similar effects to the repo operation, simplifying operational procedures.

Current accounts in pesos and US dollars will be opened automatically in the name of entities under the same conditions as current accounts, while entities must request the Central Bank to open current accounts in other currencies, following the mechanisms established in current regulations.

Balances of current accounts in US dollars, as well as special guarantee accounts in favor of electronic clearing chambers in US dollars will be countable as integration of minimum liquidity requirements.

On its part, accounts in other currencies as well as guarantee accounts in favor of electronic clearing chambers in other currencies will be concepts countable for the integration of minimum cash, without restrictions regarding their placement. It will be at the option of entities to determine the currency and amounts of integration of said guarantee accounts.

Regarding the payment of daily interest, the system established for passive repos will be maintained, as well as the current provisions regarding the transfer of deficiencies of minimum liquidity requirements which will also be applicable in the case of defect in the integration of minimum cash.

For the purposes of the presentation of classification programs and regularization plans, incurred deficiencies must be taken into account both in the requirement of minimum liquidity requirements and in that of minimum cash, given that the global computation reflects the real situation of the entity in terms of liquidity.

The behavior that is registered at the level of technical reserve (countable as integration of the requirement of minimum cash) as a consequence of this regulatory change, will be subject to monitoring in order to analyze the causes of eventual significant variations.

Separately, progress will be made in the study on systemic risks associated with the concentration of liabilities taking into account, especially, the greater participation of institutional investors and in the determination of the requirement on the placement of funds in common investment funds, which for the moment will remain at 50%.

Finally, a schedule is established to achieve full compliance with the new regime of integration of minimum cash according to the currency of capture, which has the object of facilitating its compliance by entities that currently are exposed to a currency mismatch, which at the same time will allow avoiding eventual unwanted effects in the financial market.
This provision is framed within the faculties established in the Organic Charter of the Central Bank (Law 24.144 and complementary) and the Law of Financial Entities (Law 21.526 and complementary).

Regarding the requirement of minimum cash, it falls within what is established in articles 14 item b) (powers of the Board to prescribe reserves subject to the conditions of article 28) and 28 of Law 24.144 and article 31 of Law 21.526.

Regarding the minimum liquidity requirements, the legal basis is found in article 14 item d) (powers of the Board to establish technical liquidity and solvency relations for financial entities) of Law 24.144 and article 30 item e) of Law 21.526.

As a consequence of the adopted measures, it is necessary to adapt the different regulations that are affected: “Minimum Capital of Financial Entities”, “Allocation of Assets as Collateral”, “Consolidated Supervision”, “Mandatory Issuance and Placement of Debt”, “Payment of pensions and retirement benefits on behalf of the National Social Security Administration (ANSES)”, “Current Accounts of Financial Entities at the Central Bank of the Argentine Republic” and “Liquidity Position”.

ANNEX I
C.B.R.A.
UPDATED ORDERED TEXT OF THE REGULATIONS ON
MINIMUM LIQUIDITY REQUIREMENTS
-Index
Section 1. Requirement.
1.1. Obligations included.
1.2. Application base.
1.3. Minimum requirements.
1.4. Residual term.
1.5. Alternative requirement increase to debt placement.
1.6. Point increases of requirement by liability concentration.
1.7. Transfers.
Section 2. Integration.
2.1. Admitted concepts.
2.2. Computation.
2.3. Maximum computation limits.
Section 3. Non-compliance.
3.1. Charge.
3.2. Classification programs.
3.3. Regularization and sanitation plans.
Section 4. Base for observance of regulations.
4.1. Individual base.
Section 5. Responsible parties and sanctions.
5.1. Responsible for liquidity policy.
5.2. Responsibilities.
5.3. Sanctions.
Section 6. Models.
6.1. Model of consent for the disposal of assets by the
Central Bank of the Argentine Republic, to be presented by the financial entities or fund administrators for purposes of proving the degree of liquidity of holdings.
6.2. Model of notification of sale option contract.
6.3. Model of “stand-by” letter of credit.
Section 7. Transitional provisions.
Version: 7a. Communication “A” 3274 Validity:
01.06.01

1.1. Obligations included.
1.1.1. Concepts included.
Deposits and other obligations by financial intermediation (in pesos, foreign currency and public and private securities), except those included in the regulations on “Minimum Cash”.

Obligations that do not participate in the concept of financial intermediation are not included, among them the following:
i) Balances for the purchase of movable and immovable goods intended for own use. ii) Obligations linked to the proper functioning of the entity, such as:
a) Profits or surpluses pending distribution -including cash dividends, returns, fees and other participations pending payment or crediting- until the moment of making them available to holders. b) Sums received from third parties and made available by the entity to professionals or managers, to attend the payment of accessory service provision, such as title study, background, powers or appraisals. c) Social charges, taxes and withholdings on personnel, pending payment. d) Expenses, salaries, severance indemnities, fees, pending payment. iii) Collections on account of loans due or for the sale of movable and immovable goods, while not applied to reduce the corresponding asset items

1.1.2. Exclusions.
1.1.2.1. Obligations with the Central Bank of the Argentine Republic.
1.1.2.2. Obligations with local financial entities.
Version: 4a. Communication “A” 3274 Validity:
01.06.01

1.1.2.3. Obligations with banks abroad -including houses
parent and controlling entities of local entities and their branches- by lines that have as destination the financing of foreign trade operations.
1.1.2.4. Obligations for cash purchases to be settled and forward.
1.1.2.5. Cash sales to be settled and forward, linked or not to
active repos.

1.1.3. Computation.
The obligations included will be computed by the capitals effectively transacted, including in their case the quotation differences (positive or negative).
Therefore, accrued, due or to accrue interests and premiums are excluded, by the obligations included, as long as they have not been credited to account or made available to third parties.

1.2. Application base.
Minimum liquidity requirements will be applied on the monthly average of the daily balances of the obligations included recorded at the close of each day during each calendar month.
Averages will be obtained by dividing the sum of daily balances by the total number of days of each month.
Days on which no movement is registered must repeat the balance corresponding to the immediate previous business day.
Version: 4a. Communication “A” 3274 Validity:
01.06.01

1.3. Minimum Requirements

As a minimum, the requirements that arise from applying the following rates must be integrated:

Concept	Rate (%)
Fixed‑term deposits, obligations arising from “acceptances”, passive repos, guarantees and passive securities repos, term obligations with foreign banks and correspondents, negotiable obligations, constant‑term investments with early‑cancellation or renewal option for a determined term and variable remuneration, obligations with the fiduciary funds for Assistance to Financial and Insurance Entities and for Provincial Development and other term obligations, according to their residual term:
i) Up to 59 days.	22
ii) From 60 to 89 days.	22
iii) From 90 to 179 days.	15
iv) From 180 to 365 days.	10
v) More than 365 days.	0
Immobilized balances of the concepts covered by these rules.	22

1.4. Residual Term

1.4.1. Determination

1.4.1.1. General case

The residual term of each term obligation equals the number of days remaining until its maturity.

1.4.1.2. Term investments

For term investments the following criteria apply:

Fixed term. The remaining term until maturity is considered, taking into account any automatic extension or, where applicable, the term that arises from exercising the option to revoke it.
With early‑cancellation option. The remaining term until the date on which the investor may exercise the early‑cancellation option is taken into account, to the extent that the investor holds the right, or the originally agreed term if the entity holds that right.
With renewal option for a determined term. The remaining term until maturity is considered, taking into account, for this purpose, the term that would result from the possible exercise of the extension option by the entity, to the extent that the entity holds the right. When the investor holds that right, the originally agreed term is used, or, where applicable, the term resulting from renewal when the option has been exercised.

Version: 7a. Communication “A” 3274 Effective: 01.06.01

1.4.1.3. Refinancable term obligations

When a financial entity concludes agreements or option contracts that guarantee total or partial refinancing of term obligations, for the purpose of establishing the residual term until maturity the term that would arise from using those facilities, by the liability side covered by the agreement, shall be considered.

This criterion applies when the agreement is carried out with Backstop Fund S.A. (created by the National Government within the Capital Market Development Programme coordinated with the World Bank) or when the counterpart is a foreign bank that has at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”, provided that in the latter case the agreement is kept in custody at Deutsche Bank, New York or at the custody agents designated by it.

1.4.1.4. Obligations from foreign financial lines (not linked to foreign‑trade financing)

With early‑cancellation clauses. For the determination of the residual term, the remaining term until the date contractually foreseen at which the foreign entity may request early cancellation is taken into account, or the originally agreed term when it is subject to a decision by the local entity.
Without early‑cancellation clauses. The term remaining until maturity is taken into account to the extent that early cancellation is explicitly excluded by either party. Otherwise, they will be treated as sight‑line obligations.

Version: 19a. Communication “A” 3274 Effective: 01.06.01

1.4.2. Fixed‑term deposits

For fixed‑term deposits in pesos and foreign currency, the rates established – according to the term‑based opening schedule – shall be applied to the amounts resulting from multiplying the total daily balance of those obligations (recorded in the month to which they correspond) by the percentages resulting from the residual‑term structure of the previous month, considering the number of days that remained in that period until the obligation’s maturity, counted from each day of that interval.

1.4.3. Remaining term operations

In these cases – including term investments and obligations with foreign banks and correspondents that are computable – the residual terms shall equal the number of days remaining until the maturity of each obligation, counted from each day of the same month to which the minimum liquidity requirements correspond.

The requirements shall arise from applying the established rates to the daily balances of the mentioned obligations according to the different residual‑term bands set.

In the particular case of capital‑installment payment obligations, the amounts of amortisation services that mature within the year, counted from each day of the month to which the minimum liquidity requirement corresponds, shall be considered independently for the purpose of applying the appropriate rate based on the number of days remaining until each one’s maturity.

1.5. Alternative increase to the debt‑placement requirement

The exercise of the option not to issue debt, as provided in the rules on “Mandatory Debt Issuance and Placement”, shall determine an increase of one percentage point to the minimum liquidity requirements of all concepts, except for obligations with residual terms exceeding 365 days, starting from the month following the month in which the maximum term that may elapse between each issuance and placement expires.

This higher requirement shall automatically expire the month after the entity carries out a placement as provided in the rules on “Mandatory Debt Issuance and Placement”, after demonstrating that circumstance to the Superintendency of Financial and Currency Entities.

Version: 2a. Communication “A” 3274 Effective: 01.06.01

In case of fraud or action that, at the Superintendency’s judgment, directly or indirectly circumvents the mandatory debt‑placement requirement, the minimum liquidity requirements shall increase by an additional three percentage points.

1.6. Specific increases due to liability concentration

When an excessive concentration of liabilities (in holders and/or terms) is verified that implies a significant risk to an individual financial entity’s liquidity and/or has a material negative effect on systemic liquidity, additional minimum liquidity requirements may be set on the liabilities of the financial entity and/or other complementary measures deemed appropriate.

Such a situation shall be considered to exist, among other factors, when any of the following is present:

A high percentage of liabilities is concentrated in the same holder(s).
In term obligations, the residual term is short.
The mentioned liabilities represent a significant percentage relative to the integration of the minimum cash and minimum liquidity requirements and/or to the total private‑sector deposits of the entity.

1.7. Transfers

1.7.1. Admitted margin

The integration of the minimum liquidity requirements of the positions, based on the monthly average of daily balances of the included obligations, may not be less than 90 % of the requirement resulting from the following expression:

EMLA (n) = EML (n) + ENI (n‑1)

where

EMLA (n): adjusted minimum liquidity requirement for month n.
EML (n): minimum liquidity requirement according to the current rules for month n.
ENI (n‑1): non‑integrated requirement in month n‑1.

Version: 4a. Communication “A” 3274 Effective: 01.06.01

1.7.2. Utilisation period

The admitted transfer of the non‑integrated requirement from each month to the next position may be carried out for a maximum of six months, counted from the first month – inclusive – in which its use is opted for according to the preceding provision, or from the first immediate subsequent position in which the transferred deficits are compensated or a charge is levied on them.

Version: 6a. Communication “A” 3274 Effective: 01.06.01

2.1. Admitted concepts

2.1.1. Current accounts of financial entities opened at the Central Bank of the Argentine Republic in U.S. dollars or other foreign currencies

The balance recorded at the close of each business day in these accounts shall accrue interest for one business day at the rate set daily and transmitted through the Foreign Exchange and Open Market Operations Desk.

The corresponding settlement shall be made available to the entities at the opening of operations on the next business day via the STAF communications system; the accrued amounts shall be automatically credited to the corresponding current accounts.

In the case of foreign‑currency accounts that are also used for the integration of the minimum cash, the appropriation for those or for the minimum liquidity requirement shall be performed by the entity after the computation period ends, according to the procedure established by the informational regime.

2.1.2. “Stand‑by” letters of credit issued in U.S. dollars, with a minimum term of 360 days of validity at all times, by foreign banks that have at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”.

Without prejudice to the right to use the agreed margins by beneficiary entities in other circumstances, the resources committed in the letter of credit must be obligatorily available when, according to the daily survey prepared and published by the Central Bank of the Argentine Republic, a drop in deposits in pesos and U.S. dollars exceeding 10 % is determined over a maximum period of 120 consecutive days.

The use of the agreed fund margin under such letters of credit shall be unrestricted and the resources shall be immediately available upon simple request by the local entity or, where applicable, in compliance with instructions that, as previously provided, the Central Bank of the Argentine Republic may issue, without prior notice. The funds shall be credited to the “Liquidity Requirements” account opened at Deutsche Bank, New York.

Version: 2a. Communication “A” 3274 Effective: 01.06.01

The use of the resources may not be subject to any condition and no operations or commitments may be arranged that, directly or indirectly, would neutralise the availability of the funds during the operative period of the transaction.

When the resources are used, in whole or in part, cancellation may only occur after 360 days counted from the date of each disbursement.

It shall be admitted that, as collateral for the stand‑by letters of credit opened under the mentioned conditions and for this purpose of integrating the minimum liquidity requirements, the financial entity may affect mortgage or pledge loans or other documents representing its active portfolio, up to 125 % of the amount of the letters of credit.

The computation of this integration may be carried out provided the contract conforms to the stand‑by letter of credit model included in point 6.3 of Section 6 and that the original document representing the letter(s) of credit for the entity, together with the pertinent payment instrument, is kept in custody at Deutsche Bank, New York or at the custody agents designated by it. In addition, the entity must maintain the integration with this concept for at least the minimum term of validity of the letter of credit.

The amount of these letters of credit must reach, at a minimum, 1.2 times the sum computed as integration.

If the entity decides to discontinue the computation of this concept, the de‑integration shall take effect once the decision is notified to the custodian and after the minimum term of validity of the letters of credit (360 days from the notification date) has elapsed, during which period they will be considered as integration according to the following schedule:

Period	Integration %
First 90 days	100
Next 90 days	75
Subsequent 90 days	50
Last 90 days	25

Any act affecting the disposition of the letter of credit shall oblige the recalculation – deducting the respective amount – of the positions in which this concept has been used to integrate the minimum liquidity requirements, without prejudice to the application of the provisions in points 5.2 and 5.3 of Section 5.

Version: 2a. Communication “A” 3274 Effective: 01.06.01

Furthermore, the amount of credit lines committed to other local or foreign financial entities, whatever their nature, and the amount of liabilities existing with foreign banks subject to cancellation at simple request, shall be deducted within a 30‑day period.

2.1.3. “Liquidity Requirements” account opened at Deutsche Bank, New York, in the name and on behalf of the entity.

2.1.4. Fixed‑term deposit certificates issued by foreign banks that have, at a minimum, an international risk rating granted by any of the rating agencies, as detailed below:

Rating Agency	Required Rating
Moody’s Investors Service	Aa (long term)
Standard & Poor’s International Ratings Ltd.	AA (long term)
Fitch Ratings Ltd.	AA (long term)

The entities must hold the right to exercise a sale option to a foreign bank that meets the preceding requirement at any time during the validity of the imposition.

The possibility, expressly established in the instrument or in an independent document, to cancel the imposition early – at any time – at simple request of the holder is equivalent to holding the right to exercise the sale option.

The computation of this integration shall be admitted for the exercise value of the option or early cancellation, from the day of agreement.

The certificates and the corresponding sale‑option contracts for the entity shall be kept in custody at Deutsche Bank, New York, or at the custody agents designated by it, observing the provisions applicable to this matter in point 2.1.9.

2.1.5. Bonds of central governments of OECD member countries that have at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”.

They must be securities regularly quoted for significant amounts on foreign exchanges or markets.
The computation shall be performed taking into account the daily value of the bonds based on their daily quotation.

Version: 4a. Communication “A” 3274 Effective: 01.06.01

The computation of this integration shall be admitted provided the bonds or representative certificates of the investment are kept in custody at Deutsche Bank, New York or at the custody agents designated by it.

2.1.6. Securities – bonds and shares – issued by companies incorporated in OECD member countries. The issuing companies must maintain obligations that have at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”.

They must be highly liquid securities, regularly quoted for significant amounts on stock exchanges or markets operating in OECD jurisdictions.
The holding value of each security may not exceed 5 % of the daily turnover in those exchanges, measured as the average of the last twelve months of movements recorded for each security. The computation shall be performed taking into account the daily value of the securities based on their daily quotation. The computation shall be admitted provided the securities are kept in custody at Deutsche Bank, New York or at the custody agents designated by it.

2.1.7. Securities – bonds and shares – not covered in points 2.1.5 and 2.1.6, even when originating from active passes for the entity, issued by:

2.1.7.1. International organisations.

2.1.7.2. Central governments and, when they have full guarantee, their companies, agencies or departments. Otherwise, they will be considered private issuances.

2.1.7.3. Commercial banks.

In this case, the computation of deposit certificates, payment orders or other banking instruments shall also be admitted.

2.1.7.4. Other companies and/or private corporations.

Also admitted is integration with:

2.1.7.5. Senior tranche of asset‑backed issuances (only mortgages or pledges that, in both cases, grant first‑rank privilege or similar, and/or credit‑card coupons).

Version: 4a. Communication “A” 3274 Effective: 01.06.01

The integration with these concepts shall be admitted to the extent that, concurrently, the following conditions are verified:

Except for international organisations, the issuers must belong to OECD member countries.
The securities must have, at minimum, two international risk ratings granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”, as follows:
- a) For the concept referred to in point 2.1.7.2: “A” or equivalent.
- b) For the concepts referred to in points 2.1.7.1, 2.1.7.3 and 2.1.7.4: “AA” or equivalent.
- c) For the concept referred to in point 2.1.7.5: “AAA” or equivalent.
The issuances must have sufficient liquidity to the satisfaction of the Central Bank of the Argentine Republic (BCRA). As a prerequisite to computing this concept for integration, financial entities must accept that these holdings be subject to effective BCRA controls over their liquidity, which will be implemented through partial sales at opportunities and according to the procedure discretionarily determined by the BCRA.
- The entities shall sign the text whose model is included in point 6.1 of Section 6.
- If the BCRA determines that the securities do not pass the liquidity test, at values that do not affect their reference price supplied by Deutsche Bank, New York, the assets shall be immediately de‑integrated.
The securities must be kept in custody at Deutsche Bank, New York or at the custody agents designated by it.
The computation shall be performed taking into account the daily value supplied by Deutsche Bank, New York.

Version: 4a. Communication “A” 3274 Effective: 01.06.00

2.1.8. Units of investment funds whose assets are constituted – indiscriminately – by the securities referred to in points 2.1.5, 2.1.6 and 2.1.7.

It must be provided that the sale orders of the units be accepted on the day the instruction is given and that their settlement – with credit to the entity of the corresponding amount – be carried out within five business days from the sale order date. The computation shall be performed taking into account the unit value determined for each day of the month based on the daily quotation of the securities that compose the fund when its purpose is investment in the assets referred to in points 2.1.5 and 2.1.6. When the assets referred to in point 2.1.7 are involved, the corresponding value reported by Deutsche Bank, New York shall be used, as provided in that last point. When the fund includes among its investments the assets referred to in point 2.1.7, the computation of the units for integration shall also be subject to the liquidity controls and other requirements stipulated therein. Fund managers shall accept that the Central Bank of the Argentine Republic may dispose of the holdings for that examination; to that effect they shall sign the text whose model is included in point 6.1 of Section 6. The ownership of the units representing the investments shall be in the name of the financial entities and in order of Deutsche Bank, New York or the custody agents designated by it. Likewise, custody of the fund’s assets shall be the responsibility of that bank or the designated custody agents. No term, futures, options or other derivatives may be arranged, except those carried out for the purpose of hedging the risks implicit in the holdings or for price fixing, and under no circumstances may net short or negative positions be recorded.

2.1.9. Domestic securities (public and private) provided that the local entity holds the right to exercise a sale option on the securities to a foreign bank that has at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”.

It must be provided that the exercise of the option may be carried out at any time within the following 90 days.
The value of the option exercise shall be computed as integration from the day the operation is agreed.
The computation of this integration shall be admitted provided that:

Version: 6a. Communication “A” 3274 Effective: 01.06.01

Minimum Liquidity Requirements and Minimum Cash

i) The entity shall agree with the counter‑party that it informs Deutsche Bank, New York, about the execution of the option contract, adjusting to the notification model included in point 6.2 of Section 6.

ii) The original version of the option contract pertaining to the entity and the relevant securities shall be kept in custody at Deutsche Bank, New York, or with the custody agents it designates.

iii) The entity shall not maintain contracts for financial derivative operations concerning domestic securities whose fulfillment could result in the neutralization of those operations.

The entity shall refrain from formalizing other operations with the option‑issuing bank whose results, according to the applicable framework agreements, could be subject to a possible obligation to offset credits with debts. Consequently, there are no impediments for the local entity to be simultaneously a seller of a call option on the securities involved in the put option, constituting a “collar” transaction. In addition, the computation of this integration will be admitted from the day the transaction is concluded, provided that the supporting documentation of the put option – the option notice and contract – is deposited with the custodian bank within the following 72 business hours.

2.1.10. Mortgage‑backed Loans

Mortgage‑backed loans formalized between 15‑Oct‑1995 and 18‑Jul‑1997, according to the terms of the model contract adopted by the financial entities referred to in the repealed Section 9 of the ordered text disseminated by Communication “A” 2422, originated and carried out under the guidelines established by the Mortgage Bank or DB Program Manager S.A. (Deutsche Morgan Grenfell), and the participation certificates and debt representative securities issued by the trustees, concerning trusts related to the aforementioned mortgage loans, provided that the local entity holds the right to exercise a put option on the portfolio or on the securities that may be exercised at any time within the following 60 days, observing all other requirements contained in point 2.1.9.

2.1.11. Special Guarantee Accounts in Favor of the Electronic Clearing Houses

They shall be considered, even when the balances are pledged as collateral to the electronic clearing houses and deposited in their name, on behalf of the respective entity, in special accounts denominated in United States dollars at the Central Bank of the Argentine Republic.

Version: 3a. Communication “A” 3274 Effective: 01.06.01

2.1.12. Guarantees for Operations with Cancelatory Checks

The concepts admitted for the integration of the minimum liquidity requirements may be considered for that purpose, even when they are pledged as collateral for operations with cancelatory checks and deposited in special accounts at the Central Bank of the Argentine Republic.

2.2. Computation

The compliance with the integration of the minimum liquidity requirements shall be measured on the basis of the monthly average of daily balances of the concepts admitted for that purpose, recorded during the same month to which the requirements correspond, dividing the sum of those balances by the total number of days in the period. On days when no movement is recorded, the balance of the immediately preceding business day shall be repeated.

On no day of the month may the sum of the balances of the admitted concepts, recorded at the close of each day, be lower than 75 % of the total requirement determined for the immediately preceding month, recalculated based on the requirements and concepts in force in the month to which the requirements correspond, without considering the effects of the application of the provision in point 1.7.1 of Section 1.

The daily requirement shall be 80 % when, in the previous computation period, a deficiency of integration with an average monthly level exceeding the admissible transfer margin has been recorded.

2.3. Maximum Computation Limits

The integration of the admitted concepts shall be computable only up to the following maximum limits, measured with respect to the minimum requirement of each period:

Concept	Maximum computable (in %)
i) Points 2.1.1, 2.1.11 and 2.1.12 (taken together)	100
ii) Point 2.1.2	20
iii) Points 2.1.3 to 2.1.10 (taken together)	80
a) Points 2.1.7 and 2.1.8 (within the 80 % margin)	30
b) Point 2.1.9 (within the 80 % margin)	10
c) Point 2.1.10 (within the 80 % margin)	5

Version: 3a. Communication “A” 3274 Effective: 01.06.01

3. Non‑Compliance (Section 3)

3.1. Charge

3.1.1.

Deficiencies in the integration of the minimum liquidity requirements and deficiencies in the daily minimum integration shall be subject to a charge equivalent to the interest rate set for the discounting of transient illiquidity on the portfolio of credits granted to private‑sector non‑financial clients classified as “in normal situation” or “in normal compliance”, with no other effect except that provided in point 3.2.

When deficiencies in the average position and in the daily requirement occur concurrently in the same month, the charge shall be determined by the greater of the two.

For the purpose of determining deficiencies in the average position, the following shall be considered:

i) those for which the transfer option is not used.

ii) those that cannot be transferred to the following month because they exceed the admissible margin.

3.1.2.

Charges may be reduced in exceptional cases when mitigating circumstances exist, weighting the causes that originated the non‑compliance.

3.1.3.

Charges not paid in time and form shall be subject during the period of non‑compliance to interest equal to the rate obtained by adding 5 percentage points to the rate applicable to the deficiency, as provided in point 3.1.1.

3.1.4.

The charge shall be calculated with the following expression:

c = D * TNA / 36500
``` where

- **c**: amount of the charge.
- **D**: deficiency subject to charge, expressed in numeric units.
- **TNA**: annual nominal rate applicable to the non‑compliance, in percent.

**Version:** 4a. Communication “A” 3158 **Effective:** 01.04.00

The interest for charges not paid in time and form shall be calculated with the following expression:

``` i = [(1 + TEA) ^ (n/365) - 1] * 100
``` where

- **i**: interest rate corresponding to the default period, in percent, with two decimals.
- **TEA**: annual effective rate during the default period, as a decimal.
- **n**: number of calendar days between the due date fixed for the cashing and the day before the presentation of the corresponding debit note for the United States‑dollar current account opened at the Central Bank of the Argentine Republic.

For rounding the magnitudes of **c** and **i**, values shall be increased by one unit when the third digit of the fractions is equal to or greater than 5, discarding the fractions if they are lower.

### 3.2. Framing Programs

#### 3.2.1. Global Position
For this purpose, the global position of the entity shall be taken into account, which would arise from jointly considering – by algebraic sum – the minimum cash positions in the various currencies and the minimum liquidity requirements.

#### 3.2.2. Determining Situations
##### 3.2.2.1.
Integration defects, including for this purpose the margin transferred to the following month, in the average position that exceed 20 % of the adjusted requirements, for two consecutive months or four alternating months within a year.

**Version:** 5a. Communication “A” 3274 **Effective:** 01.06.01

##### 3.2.2.2.
Integration defects, regardless of magnitude, computed in the manner mentioned in point 3.2.2.1, for which the entity pays charges, recorded for three consecutive months or four alternating months within a year, provided that the determining situation described in point 3.2.2.1 does not occur.

The presentation of the framing program shall be made within 20 calendar days following the close of the period in which any of the previously described situations is recorded.

### 3.3. Regularization and Recovery Plans

The requirement to present a regularization and recovery plan, when it is determined that liquidity is affected by the recorded defects, and for which the considerations of point 3.2.1 shall apply, shall have the following consequences:

#### 3.3.1. Institutional Aspects
It shall constitute a barrier for:

i) Transformation of financial entities.

ii) Establishment of subsidiaries in the country and abroad.
\iii) Increases in participation in financial entities of the country and abroad.

iv) Installation of representative offices abroad.

#### 3.3.2. Limitation on Deposit Growth
From the first day of the month following the request for the plan, the amount of deposits in pesos, foreign currency and securities may not exceed the level reached on the last day of the preceding period.

The lifting of this restriction shall be subject to the resolution adopted regarding the submitted plan.

**Version:** 4a. Communication “A” 3274 **Effective:** 01.06.01

## 4. Observance Base of the Rules (Section 4)

### 4.1. Individual Base
Financial entities (including exclusively their subsidiaries in the country) shall observe the minimum liquidity rules on an individual basis.

**Version:** 1a. Communication “A” 2787 **Effective:** 19.10.98

## 5. Responsible Persons and Sanctions (Section 5)

### 5.1. Persons Responsible for Liquidity Policy
The financial entity shall inform the Superintendence of Financial and Currency Entities of the names of the persons responsible for managing the liquidity policy – which includes the adoption of measures to comply with the integration of minimum cash, minimum liquidity requirements and monitoring of the liquidity position – (officials and/or head of the area), the General Manager and the director or counselor or highest authority in the country in the case of foreign entities, to whom the function must be reported.

When changes occur in that roster, the information shall be updated within 10 calendar days of the modification being effected.

### 5.2. Responsibilities
The indicated officials shall be fully responsible for verifying that the declared integration strictly corresponds to the definition of the concepts admitted for that purpose, i.e., that they are not directly or indirectly subject to conditions that distort the objective pursued by those requirements (availability of funds in time and form adequate to meet the repayment of liabilities), such as the existence of contradictory documents, formalized or informal commitments, or operations that nullify the liquidity of the instruments admitted as integration.

Furthermore, the designated officials shall be responsible for changes in the resource‑raising policy that imply a scheme intended to evade the minimum liquidity requirements, such as extending the term of operations associated with early cancellation of obligations.

Mechanisms or modalities that, in the judgment of the Superintendence of Financial and Currency Entities, give rise to the presumption of improper conditions on the availability of liquidity shall obligate the financial entity to provide explanations on the matter within 5 business days from the notification of the request.

The Superintendence shall issue a decision within 30 business days following receipt of the explanations.

**Version:** 2a. Communication “A” 3274 **Effective:** 01.06.01

### 5.3. Sanctions
The verification of infringements shall determine the application of the following sanctions:

#### 5.3.1.
A fine of 5 % to 10 % of the amounts improperly computed, aggregating the sums of the last 12 months. The financial entity and the mentioned persons shall be jointly liable for the imposed fines.

#### 5.3.2.
Disqualification of 5 to 20 years from performing functions in the financial activity for the persons responsible for the liquidity area.

The sanctions shall be executed immediately, without prejudice to the right of appeal provided by the Financial Entities Law.

**Version:** 1a. Communication “A” 2787 **Effective:** 19.10.98

## 6. Models (Section 6)

### 6.1. Consent Model for the Disposition of Assets by the Central Bank of the Argentine Republic
*(indicate place and date)*

To:
Central Bank of the Argentine Republic
Reserve Administration Management
S./D.
Reference: Minimum Liquidity Requirements.
Consent (points 2.1.7 and 2.1.8 of the rules)

I address you in my capacity as legal representative of __________ (indicate the denomination of the local financial entity or the investment‑fund administrator, as appropriate), with the purpose of irrevocably expressing the total, full and perfect consent of the entity/administrator (indicate as appropriate) that I represent, for the Central Bank of the Argentine Republic to dispose of the assets covered by points 2.1.7 and/or 2.1.8 of the referenced rules, in order to verify their liquidity level, subject to the procedures that that Central Bank may determine at its sole discretion.

For this purpose, I release that Central Bank from any liability arising from the aforementioned sale, including any loss or incremental cost but not limited to it.

I also attach a certified copy of the instruments relating to the corporate decisions required by law, supporting the consent provided herein.

For all effects derived from this consent, the entity/administrator (indicate as appropriate) that I represent submits to Argentine legislation and the courts of the Federal Capital of the Argentine Republic.

**Version:** 2a. Communication “A” 3274 **Effective:** 01.06.01

### 6.2. Notification Model for Put‑Option Contract (point 2.1.9 of Section 2)

#### 6.2.1. English Version

Deutsche Bank, New York
Att.: Mr. Michael Tierney
We inform you that (name of the option seller) has entered with (Argentine entity's name) into the following put‑option transaction:
Operation: Put Option
Style: American
Underlying asset: (bond’s name)
Trade Date: __________
Premium Value Date: __________
Seller: __________
Buyer: (name of Argentine entity)
Put Amount: __________
Strike Price: __________
Expiration Date: __________
Maturity Date: __________
Premium: __________
Payment System: Cash Settlement / Physical delivery This contract was signed under the ISDA master agreement.


#### 6.2.2. Spanish Version

Deutsche Bank, Nueva York
Atención: Mr. Michael Tierney
Les informamos que (nombre del banco lanzador de opción) ha convenido con (nombre de la entidad local) la siguiente operación de opción de venta:

**Version:** 2a. Communication “A” 3274 **Effective:** 01.06.01

### 6.3. Stand‑by Letter of Credit Model

#### 6.3.1. Letter of Credit (English)

IRREVOCABLE STAND‑BY LETTER OF CREDIT No. ....
(Date)
Dear Sirs:
We, _______________________ (the “Issuer”) hereby issue, at your request, an irrevocable and unconditional stand‑by letter of credit under No. ________ on behalf of and for the account of __________________ (the “Beneficiary”) for the aggregate amount of US$ __________ (amount in numbers and words), on the date hereof for an effective period through __________ (the “Expiration Date”).

This irrevocable stand‑by letter of credit is issued to guarantee the obligation undertaken by __________ (bank’s name) to comply with the Liquidity Minimum Requirements established by Banco Central de la República Argentina, including the obligation to reimburse the amounts withdrawn after a 360‑day period from each withdrawal.

We undertake to fulfill this irrevocable letter of credit, without demand of payment or protest, by making a deposit upon a sight draft drawn and signed by __________ (the “Beneficiary”) or according to the instructions of Banco Central de la República Argentina, if applicable, complying with the formal requirements of Annex “A” attached hereto. Such draft shall be submitted to the Issuer’s offices located in ____________________.


#### 6.3.2. Annex to the Letter of Credit
**ANNEX “A” – CERTIFICATE FOR DRAWING UNDER IRREVOCABLE STAND‑BY LETTER OF CREDIT**

The undersigned hereby certifies to __________ (issuer), with reference to the irrevocable stand‑by letter of credit No. __________ issued by __________ (issuer) in favour of __________ (the beneficiary), the following:

(i) The beneficiary is making, __________ ("by his own decision" or "carrying out Banco Central de la República Argentina’s instructions", whichever is applicable) to fulfill the liquidity minimum requirements, under the provisions set forth by Banco Central de la República Argentina.

(ii) The amount of the draft accompanying the stand‑by letter of credit is US$ __________.

**Version:** 2a. Communication “A” 3112 **Effective:** 01.05.00

The amount shall be deposited by you by wire transfer in immediately available funds to the following account:

- Account title: __________ (Beneficiary’s name)
- Account number: __________
- Reference: “Liquidity requirements”, Deutsche Bank, New York
- Stand‑by Letter of Credit No. __________

The Beneficiary agrees not to undertake any other obligation which, directly or indirectly, may net, set off or otherwise hinder the availability of the funds provided by the Issuer under the letter of credit and for the effective term thereof.

IN WITNESS WHEREOF, the beneficiary has executed and delivered this certificate as of the ____ day of __________, ____.

(Signature of Beneficiary)

**Version:** 2a. Communication “A” 3112 **Effective:** 01.05.00

## 7. Transitional Provisions (Section 7)

### 7.1.
The holding of the "National Government Bond 9 % – maturity 2002" shall be admitted as a computable concept for the integration of the minimum liquidity requirements, without exceeding an amount equivalent to 18 % of the February 2001 minimum requirement.

Its computation shall be allowed for the amount invested for its acquisition, without taking into account the interest accrued on its nominal value and without exceeding the indicated ceiling, provided that the securities remain deposited in the account opened at the Central Registry and Settlement of Public Debt Instruments ("CRYL") of the Central Bank of the Argentine Republic.

**Version:** 6a. Communication “A” 3274 **Effective:** 01.06.01

## Origin of the Provisions Included in the Ordered Text of the Minimum Liquidity Requirements Rules

| Section | Point | Paragraph | Communication | Annex |  |  |
| --- | --- | --- | --- | --- | --- | --- |
| 1.1.1 | “A” 2422 | unique | 1. 1st | According to Communication “A” 3274. |  |  |
| 1.1.2.1 | “A” 2422 | unique | 1. 2nd |  |  |  |
| 1.1.2.2 | “A” 2422 | unique | 1. 2nd |  |  |  |
| 1.1.2.3 | “A” 2422 | unique | 1. 2nd | Includes interpretative clarification. |  |  |
| 1.1.2.4 | a |  |  |  |  |  |
| 1.1.2.5 | “A” 2422 | unique | 1. 2nd |  |  |  |
| 1.1.3 | 1st | “A” 2422 | unique | 1. 1st | Includes interpretative clarification. |  |
| 1.1.3 (last) | “A” 2422 | unique | 1. 2nd | Includes interpretative clarification. |  |  |
| 1.2 (1st) | “A” 2422 | unique | 2. 1st | According to Communication “A” 2511. |  |  |
|  |  |  | “A” 2422 | unique | 2. 7th | According to Communication “A” 2648. |
| 1.2 (2nd) | “A” 2422 | unique | 2. 8th | According to Communication “A” 2648. |  |  |
| 1.2 (last) | “A” 2422 | unique | 2. 9th | According to Communication “A” 2569. |  |  |
| 1.3.1 | “A” 2422 | unique | 4. | According to Communications “A” 2663, 2669, 2825, 3261 and 3274, with interpretative clarification. Decree No. 342/00. |  |  |
| 1.3.2 | “A” 3274 |  |  |  |  |  |
| 1.4.1.1 | Explicit criterion. |  |  |  |  |  |
| 1.4.1.2 | “A” 2422 | unique | 2. 3rd | According to Communication “A” 2511. |  |  |
| 1.4.1.3 | “A” 2422 | unique | 2. 6th | According to Communications “A” 2648 and 3274. |  |  |
| 1.4.1.4 | “A” 3126 |  |  |  |  |  |
| 1.4.2 | “A” 2422 | unique | 2. 2nd | According to Communication “A” 2511. Modified applicable criterion. |  |  |
| 1.4.3 | “A” 2422 | unique | 2. 4th and 5th | According to Communication “A” 2648. Modified applicable criterion. |  |  |
| 1.5 (1st) | “A” 2494 | 5.1.1 | 1st | According to Communication “A” 2653. Modified by Communications “A” 2886, 2931 and “A” 3274. |  |  |
| 1.5 (2nd) | “A” 2494 | 5.1. last | According to Communication “A” 2653. |  |  |  |
| 1.5 (last) | “A” 2494 | 5.3. |  |  |  |  |
| 1.6 | “A” 3229 | According to Communication “A” 3274. |  |  |  |  |
| 1.7 | “A” 2833 | 1. | Includes clarification. |  |  |  |
| 2.1.1 | “A” 3274 |  |  |  |  |  |
| 2.1.2 | “A” 2817 | According to Communications “A” 3112 and “A” 3274. |  |  |  |  |
| 2.1.3 | “A” 2422 | unique | 3.1.2 | According to Communications “A” 2663 and 3274. |  |  |

---

# Ordered Text of Source Norm

| Section | Point | Paragraph | Comm. | Annex | Point | Paragraph | Observations |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 2 | 2.1.4. | “A” | 2422 único | 3.1.10. | According to Comm. “A” 2648, “A” 3231 and 3274. |  |  |
| 2 | 2.1.5. | “A” | 2422 único | 3.1.3. | According to Comm. “A” 2663 and “A” 3274. |  |  |
| 2 | 2.1.6. | “A” | 2422 único | 3.1.8. | According to Comm. “A” 2648 and “A” 3274. |  |  |
| 2 | 2.1.7. | “A” | 2422 único | 3.1.11. | According to Comm. “A” 2648, 2705 and “A” 3274. |  |  |
| 2 | 2.1.8. | “A” | 2422 único | 3.1.9. | According to Comm. “A” 2648 and “A” 3274. |  |  |
| 2 | 2.1.9. | “A” | 2422 único | 3.1.5. | According to Comm. “A” 2663, 2648 and “A” 3274. |  |  |
| 2 | 2.1.10. | “A” | 2422 único | 3.1.7. | According to Comm. “A” 2648 and “A” 3274. |  |  |
| 2 | 2.1.11 | “A” | 3274 |  |  |  |  |
| 2 | 2.1.12. | “A” | 3274 |  |  |  |  |
| 2 | 2.2. | “A” | 2422 único | 3. 1º y 2º | According to Comm. “A” 2663, 2833, 2915, 3195, 3246 and 3274. |  |  |
| 2 | 2.3. | “A” | 2422 único | 3.2. | According to Comm. “A” 2705, 2817 and 3274. |  |  |
| 3 | 3.1.1. | “A” | 2422 único | 5. | According to Comm. “A” 2490, modified by Comm. “A” 2833 and 2915. |  |  |
| 3 | 3.1.2. | “A” | 2422 único | 5. | According to Comm. “A” 2490. |  |  |
| 3 | 3.1.3. | “A” | 2422 único | 5. | According to Comm. “A” 2490 and “A” 3100. |  |  |
| 3 | 3.1.4. | “A” | 2422 único | 5. | According to Comm. “A” 2490 and “A” 3274. |  |  |
| 3 |  | “B” | 5159 |  |  |  |  |
| 3 | 3.2.1. | “A” | 3274 |  |  |  |  |
| 3 | 3.2.2. | “A” | 2895 | According to Comm. “A” 2991 and “A” 3274. |  |  |  |
| 3 | 3.3. | “A” | 2833 | 2. | According to Comm. “A” 2895 and “A” 3274. |  |  |
| 3 | 3.3.2. | “A” | 2833 | According to “A” 3274. |  |  |  |
| 4 | 4.1. | Explicit criterion. |  |  |  |  |  |
| 5 | “A” | 2422 único | 6. | According to Comm. “A” 2490, with interpretative clarification. |  |  |  |
| 6 | 6.1. | “A” | 2422 único | 3.3. | According to Comm. “A” 2705, 2694 and “A” 3274. |  |  |
| 6 | 6.2. | “A” | 2422 único | 8. | According to Comm. “A” 3274. |  |  |
| 6 | 6.3. | “A” | 2422 único | 9. | According to Comm. “A” 2648 and “A” 3112. |  |  |
| 7 | 7.1. | “A” | 3251 | According to Comm. “A” 3274. |  |  |  |

---

## ANNEX II
### B.C.R.A.
### Ordered Text of the Minimum Cash Regulations

- **Index**
  1. Requirement.
     - 1.1. Covered obligations.
     - 1.2. Application base.
     - 1.3. Minimum cash.
     - 1.4. Alternative requirement increase to debt placement.
     - 1.5. Point‑in‑time requirement increases due to liability concentration.
     - 1.6. Transfers.
  2. Integration.
     - 2.1. Admitted concepts.
     - 2.2. Computation.
     - 2.3. Maximum computation limits.
  3. Non‑compliance.
     - 3.1. Charge.
     - 3.2. Framing programmes.
     - 3.3. Regularisation and remediation plans.
  4. Observation base of the rules.
     - 4.1. Individual base.
  5. Responsible parties and sanctions.
     - 5.1. Liquidity policy responsible parties.
  6. Transitional provisions.
     - 6.1. Integration with the U.S. dollar current‑account balances opened at the Central Bank of the Argentine Republic.

**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 1. Requirement
## 1.1. Covered obligations.
### 1.1.1. Included concepts.
1.1.1.1. Sight deposits and other sight‑financial intermediation obligations, in pesos and foreign currency.
1.1.1.2. Unused balances of advances in current accounts formalised that do not contain clauses enabling the entity to unilaterally and discretionarily cancel the possibility of using those margins.
### 1.1.2. Exclusions
1.1.2.1. Obligations with the Central Bank of the Argentine Republic.
1.1.2.2. Obligations with local financial entities.
1.1.2.3. Obligations with foreign banks –including parent and controlling entities of local entities and their branches– for lines destined to finance foreign‑trade operations.
1.1.2.4. Obligations for cash purchases to be settled and for term settlements.
1.1.2.5. Cash sales to be settled and for term settlements, linked or not to active repos.
### 1.1.3. Computation.
The covered obligations will be computed by the capital balances. Interest accrued, due or to become due on the covered obligations is excluded insofar as it has not been credited to an account or made available to third parties.
## 1.2. Application base.
The minimum‑cash requirement will apply to the monthly average of the daily balances of the covered obligations, recorded at the close of each day during each calendar month.
Averages are obtained by dividing the sum of the daily balances by the total number of days of the month.
On days with no movement, the balance of the immediately preceding business day must be repeated.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

The minimum‑cash requirement will be observed separately for each currency in which the obligations are denominated.
## 1.3. Minimum cash.
The amounts of minimum cash arising from applying the following rates must be integrated:

| Concept | Rate (%) |
|---------|----------|
| 1.3.1. Deposits in current accounts | 15.5 |
| 1.3.2. Deposits in savings boxes | 15.5 |
| 1.3.3. Pupillary usuries, special accounts for closed circles, “Unemployment fund for construction‑industry workers”, “Salary payment” and special current accounts for legal entities | 15.5 |
| 1.3.4. Other sight deposits, including with foreign banks and correspondents, pension assets credited by ANSES pending cash‑conversion and immobilised balances corresponding to obligations covered by these rules | 15.5 |
| 1.3.5. Sight deposits – savings boxes, current accounts, special current accounts, etc., except the accounts “Unemployment fund for construction‑industry workers” and “Salary payment” – whose remuneration exceeds by more than one and a half points the nominal annual interest rate for deposits in savings boxes in pesos or U.S. dollars, as appropriate, that arises from the B.C.R.A. daily survey of the second day prior to imposition | 80 |
| 1.3.6. Unused balances of advances in current accounts formalised | 15.5 |
| 1.3.7. Sight placements – whatever the form of imposition and its remuneration – that must at least constitute the assets of common investment funds (as provided in the rules of the National Securities Commission) | 50 |
| 1.3.8. Deposits in current accounts of non‑bank financial entities, computable for the integration of their minimum cash | 100 |

**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

## 1.4. Alternative requirement increase to debt placement
Exercising the option not to issue debt, as provided in the rules on “Mandatory issuance and placement of debt”, will determine an increase of one percentage point in the minimum‑cash rates of all concepts, starting the month after the expiration of the maximum period that may elapse between each issuance and placement.
This higher requirement will automatically lapse the month after the entity effectuates a placement as provided in the rules on “Mandatory issuance and placement of debt”, after demonstrating that circumstance to the Superintendency of Financial and Exchange Entities.
In case of fraud or action that, in the judgment of the Superintendency of Financial and Exchange Entities, directly or indirectly attempts to evade the mandatory debt‑placement compliance, the minimum‑cash rates will increase by an additional three percentage points.
## 1.5. Point‑in‑time requirement increases due to liability concentration
When an excessive concentration of liabilities (in holders and/or terms) is verified, implying a significant risk to the individual liquidity of the financial entity and/or a substantial negative effect on systemic liquidity, additional minimum cash may be set on the entity’s liabilities and/or complementary measures deemed pertinent.
The situation is considered to exist when, among other factors, any of the following is present:
- A high percentage of liabilities is concentrated in the same holder(s).
- In term obligations, the residual term is short.
- The mentioned liabilities represent a significant percentage relative to the integration of minimum cash and the minimum‑liquidity requirements and/or the total private‑sector deposits in the entity.
## 1.6. Transfers
### 1.6.1. Admitted margin
The integration of the minimum cash of the positions in the monthly average of daily balances of the covered obligations may not be lower than 90 % of the requirement resulting from the following expression:

**EEMA (n) = EEF (n) + ENI (n‑1)**

where
- **EEMA (n):** adjusted minimum‑cash requirement for month *n*.
- **EEF (n):** minimum‑cash requirement according to the current rules for month *n*.
- **ENI (n‑1):** non‑integrated requirement in month *n‑1*.
### 1.6.2. Utilisation period
The admitted transfer of the non‑integrated requirement in each month to the following position may be effected for a maximum of six months, counted from the first month – inclusive – in which the option to use it is exercised as previously provided or from the first immediate subsequent position in which the transferred deficits are compensated or a charge is paid on them.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 2. Integration
## 2.1. Admitted concepts.
Integration must be performed in the same currency as the requirement.
### 2.1.1. Cash.
Includes banknotes and coins held in the entity’s vaults and in custody at other financial entities.
### 2.1.2. Current accounts of financial entities opened at the Central Bank in pesos, U.S. dollars or other foreign currencies.
The balance recorded at the close of each business day in these accounts will earn interest for one business day at the rate set daily and transmitted through the Exchange Operations and Open Market Desk. The corresponding settlement will be made available to entities at the opening of operations the next business day via the STAF communications system; accrued amounts will be automatically credited to the corresponding current accounts.
For foreign‑currency accounts also used for the integration of minimum‑liquidity requirements, appropriation for those or for minimum cash will be performed by the entity after the computation period ends according to the procedure established by the reporting regime.
Special current accounts opened for the accreditation of pension assets will not be computable.
### 2.1.3. Special guarantee accounts in favour of electronic clearing houses.
These will be considered, even when balances are pledged as guarantees to the electronic clearing houses and deposited in their name on behalf of the respective entity, as special accounts in pesos at the Central Bank of the Argentine Republic.
### 2.1.4. Current accounts of non‑bank financial entities.
Opened at commercial banks for the integration of the minimum‑cash requirement.
### 2.1.5. Public securities.
National public securities that have normal and regular quotation.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

## 2.2. Computation.
Compliance with the integration of minimum cash will be measured on the basis of the monthly average of daily balances of the admitted concepts, recorded during the same month to which the minimum cash corresponds, dividing the sum of those balances by the total number of days in the period. On days with no movement, the balance of the immediately preceding business day must be repeated.
For current accounts opened at commercial banks by non‑bank entities, the balances reflected in the account statements will be taken into account.
The computation of national public securities will be performed taking into account the value that arises for each day of the month based on the daily quotation of the securities.
## 2.3. Maximum computation limits.
Integration of the admitted concepts will only be computable up to the following maximum limits, measured against the minimum cash of each period:

| Concept | Maximum computable (in %) |
|---------|---------------------------|
| i) Points 2.1.1 to 2.1.4 (combined) | 100 |
| ii) Point 2.1.5 | 0 |

**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 3. Non‑compliance
## 3.1. Charge.
### 3.1.1.
Deficiencies in the integration of minimum cash will be subject to a charge equivalent to the interest rate set for the discounting of transient illiquidity on credit portfolios granted to private‑sector non‑financial clients classified as “in normal situation” or “normal compliance”, with no other effect except as provided in point 3.2.
The charge will be applied to the total resulting from the sum of the deficiencies by currency, calculated at the exchange rate established by the Central Bank.
For this purpose, to determine the deficiencies of the average‑position, the following will be considered:
- i) those for which the transfer option is not used.
- ii) those that cannot be transferred to the next month because they exceed the admitted margin.
### 3.1.2.
Charges may be reduced in exceptional cases when mitigating circumstances exist and the causes that originated the non‑compliance are weighted.
### 3.1.3.
Charges not entered in time and form will be subject during the period of non‑compliance to interest equal to the rate that results from adding 5 percentage points to the rate applicable to the deficiency, as provided in point 3.1.1.
### 3.1.4.
The charge will be calculated with the following expression:

c = D * TNA / 36500

where
- **c:** charge amount.
- **D:** deficiency subject to charge, expressed in numerals.
- **TNA:** nominal annual rate applicable to the non‑compliance, in percent.

To determine the interest for charges not entered in time and form, the following expression will be applied:

i = [(1 + TEA)^{n/365} - 1] * 100

where
- **i:** interest rate corresponding to the default period, in percent, with two decimals.
- **TEA:** effective annual rate during the default period, as a unitless factor.
- **n:** number of calendar days between the due date set for cash‑conversion and the day before the submission of the corresponding debit note for the relevant current account opened at the Central Bank of the Argentine Republic.
For rounding the magnitudes of “c” and “i”, values will be increased by one unit when the third digit of the fractions is equal to or greater than 5, discarding the latter if they are lower.
## 3.2. Framing programmes.
### 3.2.1. Global position.
For these purposes, the global position of the entity will be taken into account, which would arise from jointly – via algebraic sum – the minimum‑cash positions in the different currencies and the minimum‑liquidity requirements.
### 3.2.2. Determining situations.
#### 3.2.2.1.
Integration defects, including for these purposes the margin transferred to the next month, in the average position that exceed 20 % of the adjusted requirements for two consecutive months or four alternating months within a year.
#### 3.2.2.2.
Integration defects, regardless of magnitude, computed as mentioned in point 3.2.2.1, concerning those for which the entity pays charges, that are recorded for three consecutive months or four alternating months within a year.
This is provided as long as the determining situation foreseen in point 3.2.2.1 is not configured.
The framing programme must be submitted within 20 calendar days following the close of the period in which any of the previously foreseen situations is recorded.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01
## 3.3. Regularisation and remediation plans.
The requirement to present a regularisation and remediation plan, when liquidity is found to be affected by the recorded defects, will have the following consequences as indicated in point 3.2.1.
### 3.3.1. Institutional aspects.
It will constitute a barrier for:
- i) Transformation of financial entities.
- ii) Establishment of subsidiaries in the country and abroad.
- iii) Increases in participation in financial entities of the country and abroad.
- iv) Establishment of representative offices abroad.
### 3.3.2. Limitation on deposit growth.
From the first day of the month following the request for plan presentation, the amount of deposits in pesos, foreign currency and securities may not exceed the level reached on the last day of the preceding period.
The lifting of this restriction will be subject to the resolution adopted regarding the presented plan.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 4. Observation base of the rules
## 4.1. Individual base.
Financial entities (including exclusively their subsidiaries in the country) will observe the minimum‑cash rules individually.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 5. Responsible parties and sanctions
## 5.1. Liquidity policy responsible parties.
The financial entity will inform the Superintendency of Financial and Exchange Entities of the names of those responsible for managing the liquidity policy – which includes adopting the measures for compliance with the integration of minimum cash, the minimum‑liquidity requirements and monitoring the liquidity position – (officials and/or area manager), the General Manager and the director or counselor or highest authority in the country in the case of foreign entities, to whom the function must be reported.
When changes occur in that list, the information must be updated within 10 calendar days of the modification being operated.
**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MINIMUM CASH B.C.R.A. Section 6. Transitional provisions
## 6.1. Integration with the U.S. dollar current‑account balances opened at the Central Bank of the Argentine Republic.
During the period June‑August 2001, integration of the minimum‑cash requirement in pesos will be allowed with the balances of the U.S. dollar current account opened at the Central Bank of the Argentine Republic, in the following proportions, calculated on the mentioned requirement:

| Period | % |
|--------|---|
| June 2001 | 90 |
| July 2001 | 70 |
| August 2001 | 40 |

**Version:** 1a. Communication “A” 3274 **Effective:** 01.06.01

# MANDATORY DEBT ISSUANCE AND PLACEMENT B.C.R.A. Section 4. Alternative procedure
## 4.1. Utilisation.
Entities may choose not to issue debt or shares, as provided in these rules, with the effects set out in point 4.2.
## 4.2. Effects.
### 4.2.1.
Automatic increase of one percentage point of the minimum‑liquidity requirements – except for obligations with residual terms greater than 365 days – and of the minimum‑cash rates, starting the month after the expiration of the maximum period foreseen in point 1.2 of Section 1 of these rules.
### 4.2.2.
Automatic increase of the minimum capital requirement for credit risk and interest rate risk that, if greater than the basic requirement, must be integrated from the last day of the month following the expiration of the maximum period foreseen in point 1.2 of Section 1 of these rules. For this purpose, the sum of the results of the expressions referred to in points 3.1 of Section 3 and 6.1 of Section 6 of the “Minimum Capital of Financial Entities” rules will be multiplied by 1.05.
These higher requirements will lapse the month after the entity effectuates a placement as provided in these rules, after demonstrating that circumstance to the Superintendency of Financial and Exchange Entities.
**Version:** 6a. Communication "A" 3274 **Effective:** 01.06.01

# MANDATORY DEBT ISSUANCE AND PLACEMENT B.C.R.A. Section 5. Sanctions
## 5.1. Serious breach.
For the application of the provisions of article 41 of the Financial Entities Law, any fraud or action that, in the judgment of the Superintendency of Financial and Exchange Entities, directly or indirectly attempts to evade compliance with these provisions will be considered a serious breach.
It will be presumed that such intent exists, among other situations, when assets (cash, securities, loans, other financial‑intermediation credits, etc.) are held by holders who are also debt‑holders of the entity, directly or indirectly.
## 5.2. Consequences.
The verification of those circumstances will determine, in addition, the following consequences:
- i) Automatic increase of three additional percentage points of the minimum‑liquidity requirements and the minimum‑cash rates.
- ii) Automatic increase of the minimum capital requirement referred to in point 4.2.2 of Section 4, with the caveat that in these cases the coefficient to be used will be 1.10.
These higher requirements will lapse the month after the entity regularises the situation as provided in these rules, to the satisfaction of the Superintendency of Financial and Exchange Entities.
**Version:** 4a. Communication "A" 3274 **Effective:** 01.06.01

# SOURCE OF THE INCLUSIONS IN THE ORDERED TEXT OF THE DEBT ISSUANCE AND PLACEMENT RULES

**Ordered Text of Source Norm**

| Sec. | Point | Paragraph | Comm. | Point | Paragraph | Observations |
| --- | --- | --- | --- | --- | --- | --- |
| 1.1. | “A” | 2494 | 1. Modified by Comm. “A” 2616. According to Comm. “A” 2825 and “A” 3093. |  |  |  |
| 1.2. | “A” | 2494 | 2. 1st and 3rd Modified by Comm. “A” 2653, point 3 and Comm. “A” 2886, pt. 1. |  |  |  |
| 1.3.1. | “A” | 2494 | “A” 2266 3.1. |  |  |  |
| 1.2.1.3. | According to Comm. “A” 3093, pt. 1. |  |  |  |  |  |
| 1.3.2. | “A” | 3093 | 1. |  |  |  |
| 1.3.3. | “A” | 2494 | 3.2. According to Comm. “A” 3093, pt.1. |  |  |  |
| 2 | 2.1. | “A” | 2494 | 6.1. |  |  |
| 2 | 2.2. | “A” | 2494 | 6.2. |  |  |
| 3.1.1. | “A” | 2494 | 4.1. |  |  |  |
| 3.1.2. | “A” | 2494 | 4.2. |  |  |  |
| 3.1.2.1. | “A” | 2653 | 5. 1st Incorporates interpretative clarification. |  |  |  |
| 3.1.2.2. | “A” | 2653 | 5. 2nd |  |  |  |
| 3.1.3. | “A” | 2494 | 4.3. |  |  |  |
| 3.1.3.1. | “A” | 2653 | 5. 1st Incorporates interpretative clarification. |  |  |  |
| 3.1.3.2. | “A” | 2653 | 5. 2nd |  |  |  |
| 3.1.4. | “A” | 2494 | 4.4. 1st |  |  |  |
| 3.1.5. | “A” | 2494 | 4.4. 2nd According to Comm. “A” 3093. 1st “A” 2494 4. 4th According to Comm. “A” 2653, pt. 4. |  |  |  |
| 3.2. | 2nd “A” | 2494 | 4. 4th According to Comm. “A” 3093, pt. 2. |  |  |  |
| 3.3. | “A” | 2494 | 4. 5th According to Comm. “A” 2653, pt. 4. |  |  |  |
| 3.4. | “A” | 2494 | 4. 2nd and 3rd According to Comm. “A” 3093, pt. 3. |  |  |  |
| 3.5. | “A” | 2653 | 5. 3rd According to Decree 342/00. |  |  |  |
| 4.1. | “A” | 2886 | Effective according to Comm. “A” 2931, pt. 1. According to Comm. “A” 3093. |  |  |  |
| 4.2. | last “A” | 2886 | Effective according to Comm. “A” 2931, pt. 1. |  |  |  |
| 4.2.1. | “A” | 2886 | Effective according to Comm. “A” 2931, pt. 1 and Comm. “A” 3274. |  |  |  |
| 4.2.2. | “A” | 2886 | According to Comm. “A” 2931 and 2970 (pt. 3.8 of Section 3.) |  |  |  |

# ORDERED TEXT OF ORIGIN NORM

**Section** | **Point** | **Paragraph** | **Communication** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | ---
1° “A” | 2494 | 5.3. | 1° Modified by Comm. “A” 2886, pt. 3. | 5.1. |  |
2° “A” | 2494 | 5.3. | 2° Modified by Comm. “A” 2886, pt. 3. |  |  |
1° “A” | 2494 | 5.3. | 3° and 4° Modified by Comm. “A” 2886, pt. 3. and Comm. “A” 3274. | 5. |  |
5.2. |  |  | 2° “A” 2886 | 6. | 6.1. “A” 2494 7. |

## MINIMUM CAPITALS OF FINANCIAL ENTITIES B.C.R.A. Section 4. Risk‑Weight Table

**Concept** | **Weight (%)**
--- | ---
1. Availability. | -
1.1. Current and special accounts at the Central Bank of the Argentine Republic, "Liquidity Requirements" account at Deutsche Bank (New York) and payment orders charged to the B.C.R.A. | 0
1.2. Current, correspondent or sight accounts at the parent house or foreign controlling bank of the local financial entity or its branches in other countries and its subsidiaries, provided they are subject to a consolidated supervision regime and the parent or controller is located in OECD countries with an international risk rating of “A” or higher, or in other countries whose central banks or equivalent supervisory authorities have cooperation agreements with the B.C.R.A. | 0
1.3. Cash on hand (in pesos, US dollars, French francs, Swiss francs, British pounds, German marks and yen) and in ATMs. | 0
1.4. Gold and other precious metals that meet the following conditions: | 0
1.4.1. Must have a market value derived from daily quotations of relevant transactions and not be significantly distorted in the event of liquidation of holdings. |
1.4.2. Must be minted or formed into "good delivery" bars, the latter bearing the seal of any of the refiners, smelters and assayers listed by the B.C.R.A. |
1.5. Other current accounts, correspondent accounts and other sight accounts in domestic banks and foreign banks with an international risk rating in the “investment grade” category. | 20
2. Public securities. |
2.1. Subject to minimum capital requirement for market risk. | 0
2.2. Other domestic securities. |
2.2.1. From provincial, municipal and City of Buenos Aires governments, including their companies (regardless of legal nature), whose issuance does not have an express guarantee of the National Government or resources from federal tax co‑participation or the Federal Housing System (Law 24.464), via direct or indirect assignment of the corresponding rights, with the pertinent intervention of the Nation’s Ministry of Economy. | 100
2.2.2. From National Government corporations that do not have an express guarantee. | 50
2.3. Bonds of agencies or departments of central governments of OECD member countries with an international risk rating of “A” or higher. | 20
3. Loans. |
3.1. To the non‑financial private sector. |
3.1.1. With preferred guarantees. |
3.1.1.1. In cash (pesos, US dollars, French francs, Swiss francs, British pounds, German marks and yen) and gold. | 0
3.1.2. With other coverage margins. | 20
3.1.3. With counterparties having an international risk rating in the “investment grade” category. | 0
3.1.4. Others. | 50
3.2. With foreign banks. |
3.2.1. Parent house or controlling bank of the local financial entity or its branches in other countries and its subsidiaries, provided they are subject to a consolidated supervision regime and the parent or controller is located in OECD countries with an international risk rating of “A” or higher, or in other countries whose central banks or equivalent supervisory authorities have cooperation agreements with the B.C.R.A. | 0
3.2.2. Others with an international risk rating in the “investment grade” category. | 20
3.3. With the financial sector. |
3.3.1. Official national banks – whose operations have a State guarantee – and provincial, municipal and City of Buenos Aires banks, regarding financings that have a guarantee of resources from federal tax co‑participation or the Federal Housing System (Law 24.464), via direct or indirect assignment of the corresponding rights. | 0
3.4. With guarantee of foreign banks. |
3.4.1. Parent house or controlling bank of the local financial entity or its branches in other countries and its subsidiaries, provided they are subject to a consolidated supervision regime and the parent or controller is located in OECD countries with an international risk rating of “A” or higher, or in other countries whose central banks or equivalent supervisory authorities have cooperation agreements with the B.C.R.A. |

*Version: 2a. Communication “A” 3274 Effective: 01.06.01*

## MINIMUM CAPITAL BY INTEREST‑RATE RISK B.C.R.A. Section 6

6.6.4.4. The available or agreed margin, as appropriate, of contingent credit lines, as provided in paragraphs ii) and iii) of point 6.6.1.2.
6.6.4.5. Current accounts of the entities at the Central Bank of the Argentine Republic.
6.6.5. Allocations to the first‑month band.
The margins used and the corresponding required balances for financing instrumented through credit cards will be included in the first band.
6.6.6. Allocations of computable asset positions.
6.6.6.1. Positive or buying.
It will be recorded as a holding in the temporary bands for the cash flows of the included asset, according to issuance or contractual conditions.
6.6.6.2. Negative or selling.
It will be recorded in the temporary bands for the cash flows of the included asset according to issuance or contractual conditions, with a negative sign.
6.7. Calculation of the requirement for a critical scenario.
The calculation of the minimum capital requirement for interest‑rate risk must also be performed for a critical‑scenario assumption, using σp = 0.0774 and σd = 0.0303 in the applicable formula.
Information on the calculations performed for this purpose must be sent to the General Sub‑Management of Analysis and Auditing of the Superintendency of Financial and Currency Entities.

*Version: 3a. Communication “A” 3274 Effective: 01.06.01*

# ORDERED TEXT OF ORIGIN NORM

**Section** | **Point** | **Paragraph** | **Comm.** | **Cap./Annex** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | --- | ---
3. | 3.6.2.6. | 1º “A” 2145 | Antepenultimate | 3.6.2.6. | last | Incorporates interpretative clarification.
3. | 3.6.2.7. | “A” 2249 |  |  |  |
3. | 3.6.2.8. | “A” 2474 | 3.1.4. 2º | Procedural rules on requirement and integration of minimum capitals (point 3.1.4., 2nd paragraph).
3. | 3.6.2.9. |  | Incorporates interpretative clarification.
3. | 3.7. | 1º “A” 2494 | 5.1.1. 1º | 5.1.2. | According to Comm. “A” 2653. Modified by Comm. “A” 2931.
3. | 3.7. | 2º “A” 2494 | 5.1. last | According to Comm. “A” 2653.
3. | 3.7. | last “A” 2494 | 5.3. | Includes interpretative clarification.
4. | 1.1. a | 1.4. | “A” 2136 I | According to Comm. “A” 2541, annex. Point 1.1. modified by Comm. “A” 3274.
4. | 1.4.1. | “A” 2192 | antepenultimate |
4. | 1.4.2. | “A” 2290 | 1st and 2nd |
4. | 1.5. | “A” 2136 I | According to Comm. “A” 2541, annex.
4. | 2. | “A” 2136 I | According to Comm. “A” 2541, annex. Modified by Comm. “A” 2793, 2872, 3039 and 3274. Point 2.2.1 includes interpretative clarification.
4. | 3.1.1.1. | a | 3.1.1.6. | “A” 2136 I | According to Comm. “A” 2541, annex.
4. | 3.1.1.7. | i) and ii) “A” 2136 I | According to Comm. “A” 2632. Modified by Comm. “A” 2939.
4. | 3.1.1.7. | iii) and iv) “A” 2136 I | According to Comm. “A” 2541, annex.
4. | 3.1.1.7. | v) “A” 2939 | 1. |
4. | 3.1.1.8. | a | 3.1.1.11. | “A” 2136 I | According to Comm. “A” 2541, annex.
4. | 3.1.1.12. | “A” 2136 I | According to Comm. “A” 2541, annex, and Comm. “A” 3141.
4. | 3.1.2. | “A” 2136 I | According to Comm. “A” 2541, annex.

# ORDERED TEXT OF ORIGIN NORM

**Section** | **Point** | **Paragraph** | **Comm.** | **Cap./Annex** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | --- | ---
4. | 3.2. | “A” 2136 I | According to Comm. “A” 2541, annex and "A" 3133. Points 3.2.2. to 3.2.5. include interpretative clarifications.
4. | 3.3. | "A" 2136 I | According to Comm. “A” 2541, annex, "A" 3133 and “A” 3238. Includes interpretative clarification.
4. | 3.4. and 3.5. | "A" 2136 I | According to Comm. “A” 2541, annex.
4. | 4.1. and 4.2. | "A" 2136 I | According to Comm. “A” 3133.
4. | 4.3. a | 4.13. | "A" 2136 I | According to Comm. “A” 2541, annex, "A" 3133 and "A" 3274.
4. | 4.14. | "A" 2136 | According to Comm. “A” 2541, "A" 3133 and "A" 3238. Includes interpretative clarification.
4. | 4.15. | "A" 2136 | According to Comm. “A” 2541 and "A" 3133.
4. | 4.16. | “A” 3064 | 3. |
4. | 5.1. | “A” 2136 I | According to Comm. “A” 2632.
4. | 5.2. a | 5.3.2. | “A” 2136 I | According to Comm. “A” 2541, annex.
4. | 6. | “A” 2136 I | According to Comm. “A” 2541, annex, "A" 2793 and "A" 2872.
4. | 7.1. a | 7.3. | “A” 2136 I | According to Comm. “A” 2541, annex and "A" 3133. Points 7.3.2. to 7.3.5. include interpretative clarifications.
7. | 4. | “A” 2136 | According to Comm. “A” 2541, annex, "A" 3133 and "A" 3238.
7. | 5. | “A” 2136 | According to Comm. “A” 2541, annex and "A" 3133.
4. | last “A” 2136 I | According to Comm. “A” 2541, annex.
5. | 5.1. | “A” 2419 "A" 3040 | 2. | 1. |
5. | 5.2. | “A” 2136 "A" 2419 | II | 2. | According to Comm. “A” 3040.
6. | 6.1. | “A” 2922 I |
6. | 6.2. | “A” 2922 I |
6. | 6.3. | “A” 2922 I |
6. | 6.4.1.1. | a | 6.4.1.8. | “A” 2922 I | Modified by Comm. “B” 6523. Includes interpretative clarifications.
6. | 6.4.1.9. | “A” 2922 I | Modified by Comm. “B” 6523 and "A" 3064.

# ORDERED TEXT OF ORIGIN NORM

**Section** | **Point** | **Paragraph** | **Comm.** | **Cap./Annex** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | --- | ---
6. | 6.5. | “A” 2922 I | Modified by Comm. “A” 2948 and "B" 6523.
6. | 6.6. | “A” 2922 I | Modified by Comm. “B” 6523. Point 6.6.4.5. modified by Comm. “A” 3274.
6. | 6.7. | “A” 2922 I |
7. | 7.1. a | 7.4. | “A” 2461 unique I. and II.
7. | 7.5. | “A” 2461 unique I. and II. Modified by Comm. “A” 2736, 2768, and 2948. Point 7.5.2 includes interpretative clarification.
7. | 7.6. | “A” 2461 unique III.
7. | 7.7. | “A” 2461 unique VI.
7. | 7.8. | “A” 2461 unique VII.
8. | 8.1. | “A” 414 LISOL‑1 VI 3.1. 1st According to Comm. “A” 2279 (modified by Comm. “A” 2453, 2793, 2914 and 3039).
8. | 8.2.2. | “A” 414 LISOL‑1 VI 3.1.2. According to Comm. “A” 2223. Modified by Comm. “A” 2768 and 2948.
8. | 8.2.3. | 1st “A” 414 LISOL‑1 VI 3.1.2.2. According to Comm. “A” 2264. Incorporates interpretative clarification.
8. | 8.2.3.1. | a | 8.2.3.4. | “A” 414 LISOL‑1 VI 3.1.2.2. According to Comm. “A” 2264. In the second paragraph of point 8.2.3.3. incorporates interpretative clarification.
8. | 8.2.3.5. | “A” 2264 | 2.
8. | 8.2.3.6. | “A” 414 LISOL‑1 VI 3.1.2.2. According to Comm. “A” 2264.
8. | 8.2.4.1. | “A” 2287 3.1. and 3.3. According to Comm. “A” 2890.
8. | 8.2.4.1. | “A” 2287 last |
8. | 8.2.4.2. | 1st “A” 2497 | 1.
8. | 8.2.4.2. | last “A” 2263 | 2.
8. | 8.2.4.3. | 1st and last “A” 2287 | 3.2.
8. | 8.2.4.3. | 2nd “A” 2474 Procedural rules on requirement and integration of minimum capitals (point 3.2.7.).
8. | 8.2.4.4. | “A” 2264 | 1.

# AFFECTATION OF ASSETS IN GUARANTEE B.C.R.A. Section 2. General Authorizations

## 2.1. By foreign credit lines
### 2.1.1. Guarantee‑eligible operations
Foreign credit lines received for the settlement of operations processed through the Euroclear and Cedel securities clearing systems.
### 2.1.2. Authorized entities
Financial entities with an “A” rating or higher.
### 2.1.3. Affected assets
Cash and securities, except those counted toward the minimum liquidity requirements and the minimum cash.

## 2.2. By futures, options and other derivative products
### 2.2.1. Guarantee‑eligible operations
Derivative operations that are:
#### 2.2.1.1. Traded in institutionalised markets that operate on exchanges and markets of the country or OECD member countries, formally enabled for such purposes, in accordance with the margin requirements established therein.
#### 2.2.1.2. Traded over‑the‑counter abroad under the following conditions:
- i) Counterparties must be foreign banks with an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of financial entities”.
- ii) The guarantee margins considered for each operation must not exceed 20 % of the transaction value.
### 2.2.2. Authorized entities
#### 2.2.2.1. Financial entities with an “AA” rating or higher.
#### 2.2.2.2. Branches or subsidiaries of foreign banks that have opted for the alternative regime to meet the evaluation requirement, subject to the following conditions:
- i) The parent or controlling entity must have an international risk rating equivalent to a local “AA” evaluation or higher and be subject to a consolidated supervision regime.
- ii) The controlling entity must explicitly guarantee the obligations assumed by the local subsidiary.
### 2.2.3. Affected assets
Cash and securities, except those counted toward the minimum liquidity requirements and the minimum cash.

## 2.3. By passive passes
### 2.3.1. Guarantee‑eligible operations
Passive pass operations of the following assets:
#### 2.3.1.1. Securities, including participation certificates and debt securities of financial trusts.
#### 2.3.1.2. Foreign currency.
#### 2.3.1.3. Credit portfolio.

*Version: 2a. Communication “A” 3274 Effective: 01.06.01*

# AFFECTATION OF ASSETS IN GUARANTEE B.C.R.A. Section 2. General Authorizations (continued)

## 2.5.3. Affected assets
Assets must have sufficient liquidity conditions that allow their immediate use at the time of settlement of the electronic clearing houses, if necessary.
Assets admitted for the integration of the minimum liquidity requirements and the minimum cash must be deposited in the name of the respective electronic clearing house, on behalf of each entity, in special accounts at the Central Bank of the Argentine Republic, in which case they may be counted for that purpose.
Settlement of assets not admitted for such integration must be guaranteed through an agreement with a bank that has an “A” rating or higher.

## 2.5.4. Guarantee amounts
Guarantee amounts will be agreed between the clearing houses and the financial entities.
For the low‑value clearing house, the minimum will be equivalent to the simple average of the five highest net debtor balances recorded in the last quarter, taking into account that the month change for establishing the quarter may be made up to the 15th of each month.
When the monthly computation of the guarantee base is performed, the following shall apply:
- a) If the new base is higher than the previous one, the equivalent amount of the difference must be deposited to update the guarantee magnitude within the established deadline.
- b) If for three consecutive months the new bases are lower than the already constituted guarantee amount, the difference between that guarantee and the highest of the three bases will be returned to the entity immediately.

*Version: 2a. Communication “A” 3274 Effective: 01.06.01*

# B.C.R.A. AFFECTATION OF ASSETS IN GUARANTEE

## High‑value clearing house
In the case of the high‑value clearing house, the guarantee amount may not be lower than the net debtor balance of the day.

## 2.6. By operations with canceling checks
### 2.6.1. Guarantee‑eligible operations
Net balance of guarantee accounts computable as integration of the minimum liquidity requirements and the minimum cash.
### 2.6.2. Authorized entities
Entities that have a rating of 3, 4, and 5 assigned by the Superintendency of Financial and Currency Entities and whose liabilities are not guaranteed by the National Government, provincial governments or the Government of the Autonomous City of Buenos Aires.

*Version: 3a. Communication “A” 3274 Effective: 01.06.01*

# ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE RULES ON AFFECTATION OF ASSETS IN GUARANTEE

**Section** | **Point** | **Paragraph** | **Comm.** | **Annex** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | --- | ---
1. | 1.1. | According to art. 28, inc. b), of Law 21.526 | 1.2. | “A” 2774 I | 6. | Includes interpretative clarification.
1. | 1.3. | Incorporates criteria not previously disclosed with a general character.
2. | 2.1. | “A” 2281 | Modified by Comm. “A” 2753 and 2832. In point 2.1.3. includes interpretative clarification (mod. Comm. “A” 3274).
2. | 2.2. | “A” 2774 II | In points 2.2.2.2. and 2.2.3. includes interpretative clarifications (mod. Comm. “A” 3274).
2. | 2.3. | “A” 2774 I | 1., 2., 3. and 5.
2. | 2.4. | “A” 2422 unique 3.1.6. 3rd According to Comm. “A” 2648.
2. | 2.5. | “A” 2610 I I.1. Complemented by Comm. “A” 2683 and “A” 3274 "A" 2610 I II.1.
2. | 2.6. | “A” 3216 | Modified by Comm. “A” 3274
3. | 3.1. | “A” 2774 II | 2. last Modified by Comm. “A” 2832
3. | 3.2. | “A” 2774 I | 2.a) 1st

# CONSOLIDATED SUPERVISION B.C.R.A. Section 5. Observance of Rules

## 5.1. Individual base
Unless otherwise provided, financial entities (including their subsidiaries in the country and abroad) shall individually observe the rules applicable to them.
In the case of minimum liquidity requirements and minimum cash, the individual base shall not include foreign subsidiaries.

## 5.2. Consolidated base
Without prejudice to individual compliance, controlling financial entities subject to consolidated supervision shall, on a consolidated basis, observe the following rules:
### 5.2.1. Monthly consolidated base
- 5.2.1.1. Minimum capital.
- 5.2.1.2. Classification of debtors and minimum provisions by uncollectibility risk.
- 5.2.1.3. Credit risk segmentation.
- 5.2.1.4. Credit grading.
  - i) Maximum limit for holding participations in companies that do not provide complementary financial‑service activities.
  - ii) Maximum limit of 2.5 % of the computable patrimonial responsibility of the entity of the second month prior to the granting of the corresponding financing, which reaches the complementary margin of 200 % of the computable patrimonial responsibility of the client.

*Version: 2a. Communication “A” 3274 Effective: 01.06.01*

# ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE RULES ON CONSOLIDATED SUPERVISION

**Section** | **Point** | **Paragraph** | **Comm.** | **Annex** | **Point** | **Paragraph** | **Observations**
--- | --- | --- | --- | --- | --- | --- | ---
1. | 1.1. | “A” 2227 | 1. | 1st
1. | 1.2. | “A” 2227 | 1. | last
1. | 1.3. | 1st and 2nd “A” 2227 | 5.
1. | 1.3. | 3rd and last "A" 2227 | 6.
2. | 2.1. | “A” 2227 unique | 1. Modified by Comm. “A” 2649 and 2988
2. | 2.2. | “A” 2227 unique | 1.
2. | 2.3. | “A” 2619 | 1st and last According to Comm. “A” 2988
2. | 2.4. | “A” 2227 unique | 3.
3. | 3.1. | “A” 2227 unique | 2.2.
3. | 3.2. | “A” 2227 unique | 2.3. Modified by Comm. “A” 2988
3. | 3.3. | “A” 2227 unique | 2.4.
3. | 3.4. | “A” 2227 | 10. 1st "A" 2732 2nd and 4th
4. | 4.1. | “A” 2227 unique | 4.1.
4. | 4.2. | “A” 2227 unique | 4.2.
4. | 4.3. | 1st “A” 2227 unique | 4.3. 1st
4. | 4.3. | 2nd “A” 2227 | 11.
4. | 4.3. | last “A” 2227 unique | 4.3. last
4. | 4.4. | “A” 2227 unique | 4.4.
4. | 4.5. | “A” 2227 unique | 5.4.
5. | 5.1. | “A” 2227 unique | 5.2.1. last According to Comm. “A” 2649 and “A” 3274
5. | 5.2. | “A” 2227 unique | 5.1. and 5.2.1. last According to Comm. “A” 2649
5. | 5.2.1.1. | “A” 2227 unique | 5.1.1. and 5.1.7. According to Comm. “A” 2649
5. | 5.2.1.2. | “A” 2227 unique | 5.1.5. According to Comm. “A” 2649
5. | 5.2.1.3. | “A” 2227 unique | 5.1.2. and 5.1.3. According to Comm. “A” 2649
5. | 5.2.1.4.i) | 1st “A” 2227 unique | 5.1.4. According to Comm. “A” 2649 and 3274
5. | 5.2.1.4.ii) | “B” 5902 | 5. | Modified by Comm. “A” 2649
5. | 5.2.1.5. | “B” 5902 | 5. | Modified by Comm. “A” 2649

# PAYMENT OF RETIREMENTS AND PENSIONS ON BEHALF OF THE ADMINISTRATION

**B.C.R.A. NATIONAL SOCIAL SECURITY ADMINISTRATION (ANSES)**

### Section 4. Provision and Use of Funds

#### 4.1. Opening of special current accounts
The Central Bank of the Argentine Republic will open, for financial entities that provide pension payment services, two special current accounts with the following denominations:
- ANSES – even months.
- ANSES – odd months.

#### 4.2. Movement of the special current accounts
- **4.2.1.** In these accounts, the total amount of payment instructions issued will be credited within the 24 business hours preceding the start of each payment period. Corresponding amounts for new benefits or other concepts will also be credited on the dates indicated by ANSES.
- **4.2.2.** Deposits or credits by transfers ordered by the entities will not be accepted.
- **4.2.3.** Withdrawals of funds may be made as necessary through the issuance of checks or fund transfer orders, via telex, for entities located in the interior of the country. The special current accounts may not carry a debit balance.

#### 4.3. Movement in the current accounts at the Central Bank of the Argentine Republic
The amount of unpaid pension payment instructions for each period will be debited from the peso current account that financial entities maintain at the Central Bank of the Argentine Republic.
Commissions for the service rendered will be credited to these accounts, so paying banks must not deduct any amount from the net amount to be paid to the beneficiary for that concept.
In addition to the aforementioned allocations, all amounts ordered by ANSES related to the service will be recorded in these accounts.

*Version: 2a. Communication "A" 3274 Effective: 01.06.01*

# ORDERED TEXT OF ORIGIN NORM OBSERVATIONS

**Section** | **Point** | **Paragraph** | **Comm.** | **BCRA or Resolution** | **ANSES** | **Annex** | **Article or Clause** | **Paragraph**
--- | --- | --- | --- | --- | --- | --- | --- | ---
4 | 4.2.3. | "A" 2090 unique | Pt. 3.
4 | 4.3. | 1st and 2nd "A" 2090 unique | Pt. 4. Modified by Comm. “A” 3274.
3. | 3. 3rd "A" 2268 |

# Liquidity Position B.C.R.A. Section 3. Preparation

## 3.1. Computable concepts

To prepare the liquidity position, the following concepts shall be taken into account:

### 3.1.1. The following assets, which will be considered by their capital:

#### 3.1.1.1. Liquid assets, which include:

1. Liquidity Requirements account opened at Deutsche Bank, New York.
2. Funds in foreign banks with an international risk rating of **"A"** or higher granted by any of the rating agencies approved by the rules on **"Evaluation of financial entities"**, not computable for the integration of the minimum liquidity requirements.
3. Other unrestricted‑use funds abroad.
4. Current accounts of the entities at the Central Bank of the Argentine Republic.
5. Foreign public securities, regularly quoted on foreign exchanges or markets, issued by central governments of countries that are members of the Organisation for Economic Co‑operation and Development (OECD) that have an international risk rating of **"A"** or higher granted by any of the rating agencies approved by the rules on **"Evaluation of financial entities"**.
6. Term deposit certificates issued by foreign banks, units of mutual funds and other securities computable for the integration of the minimum liquidity requirements.

**Version:** 2a. Communication “A” 3274 **Effective:** 01.06.01

---

## Origin of the provisions included in the ordered text of the regulations on Liquidity Position

| Section | Point | Paragraph | Comm. | Annex | Point | Paragraph | Observations |
|---------|-------|-----------|------|-------|-------|-----------|--------------|
| 1 | 1.1. |  | “A” 2690 | single | 1. | 1st to 3rd |  |
| 1 | 1.2. |  | “A” 2690 | single | 1. | 4th and last | Includes interpretative clarification |
| 2 | 2.1. |  | “A” 2690 | single | 2. |  |  |
| 2 | 2.2. |  | “A” 2690 | single | 3. |  |  |
|  |  |  | “A” 2374 | 7. |  |  |  |
|  |  |  | “A” 2696 |  |  |  | Procedural rules (point 4.) |
| 3 | 3.1. |  | “A” 2690 | single | 3. |  | Modified by Comm. “A” 2696 |
|  |  |  | “A” 2839 |  |  |  | Procedural rules (correspondence table) |
|  |  |  |  |  |  |  | Points 3.1.1.3. ii) and 3.1.5.3. (according to Communication “A” 2932, point 15.) |
|  |  |  |  |  |  |  | Point 3.1.1.1. iv) (according to Comm. “A” 3274) |
| 3 | 3.2. |  | “A” 2690 | single | 4. |  |  |
|  |  |  | “A” 2696 |  |  |  | Procedural rules (points 1. to 4.). In point 3.2.2.2 includes interpretative clarification |
| 3 | 3.3. |  | “A” 2696 |  |  |  | Procedural rules (points 1.6. to 1.9.) |
| 4 |  |  | “A” 2690 | single | 5. |  |  |
| 5 |  |  | “A” 2690 | single | 6. | last |  |
|  |  |  | “A” 2839 |  |  |  | Procedural rules (page 10) |

---

# Updated Ordered Text of the Regulations on Current Accounts of Financial Entities at the Central Bank of the Argentine Republic

## Index

- Section 1. Characteristics.
- Section 2. Opening.
- Section 3. Provision and use of funds.
- Section 4. Balance reconciliation.

---

## Section 1. Characteristics

### 1.1. Obliged entities

Financial entities are obliged to maintain a peso‑denominated current account opened at the Central Bank of the Argentine Republic. Entities may also maintain current accounts in United States dollars or other foreign currencies when they receive deposits in those currencies.

### 1.2. Permitted operations

Current accounts shall be used to process fund movements arising from their relationships with the Central Bank of the Argentine Republic and from operations with other financial entities. National, provincial, municipal official bodies and other institutions that are authorized and for which the nature of their management requires fund movements in a financial entity may use the account that the entity has opened at the Central Bank of the Argentine Republic.

### 1.3. Issuance of checks

Check issuance is enabled exclusively for transactions between financial entities, carried out through the peso current account.

### 1.4. Remuneration

The balance recorded at the close of each business day in these accounts will earn interest for a one‑day period, at the rate set daily and transmitted through the Exchange Operations and Open Market Desk. The corresponding settlement will be made available to the entities at the opening of operations on the next business day via the STAF communications system; the accrued amounts will be automatically credited to the corresponding current account.

**Version:** 2a. Communication "A" 3274 **Effective:** 01.06.01

---

## Section 2. Opening

### 2.1. Request

Entities must submit a request for opening each current account they wish to maintain by means of a note signed by the senior authority – addressed to the Sub‑Management of Current Accounts – accompanied by a list of up to six officials authorized to order movements in the account, indicating position, identity document and signature. In justified cases, additional authorized signatures beyond that number may be admitted. The designation of these officials must be made with the intervention of the governing body of each entity (board of directors, administrative council, etc.), and, when legally required, recorded in minutes together with the mentioned data. Any subsequent modification of the authorized signatures shall be communicated immediately to the aforementioned area under the conditions set out.

### 2.2. Account numbers and usage keys

Whenever financial entities sign any type of documentation referring to their current accounts at the Central Bank of the Argentine Republic, they must record the account number, denomination and – in case the operation is carried out through electronic systems or by telephone – the corresponding identification key. Incorrect recording of the current account number will make the financial entity responsible for any damage resulting from the erroneous allocation of funds.

The Central Bank of the Argentine Republic will continuously update and publish the numbers of the current accounts opened by financial entities.

**Version:** 2a. Communication "A" 3274 **Effective:** 01.06.01

---

## Section 3. Provision and use of funds

### 3.1. Credits

The provision of funds may arise from the following concepts:

1. Deposit of banknotes and coins exclusively for peso current accounts.
2. Credits from favorable balances in electronic clearing houses and clearing houses inside the country.
3. Deposit of checks from other financial entities against the peso current account that is also opened at the Central Bank of the Argentine Republic.
4. Deposit of checks drawn by the holders against their accounts in other financial entities, provided they are exchangeable in the electronic clearing houses.
5. Deposit of checks from other financial entities drawn on commercial banks in favor of the account holders, provided they are exchangeable in the electronic clearing houses.
6. Transfers in favor of the holder made by other financial entities through the Electronic Payments Medium (MEP) or other expressly authorized alternative means by the Central Bank of the Argentine Republic.
7. Transfers in favor of the holder, as settlement of guarantees, made by:
   - 7.1. The electronic clearing houses through the Electronic Payments Medium (MEP) or other authorized alternative means.
   - 7.2. The Central Bank of the Argentine Republic as cancellation of balances for operations between entities associated with ATM networks and/or purchase‑card and credit‑card systems.
8. Cash deposits from entities inside the country processed through the Regional Treasuries.
9. Fees corresponding to the provision, by commercial banks, of pension payment services.
10. Movements carried out by the Central Bank of the Argentine Republic, including, among others:
    - 10.1. Foreign‑exchange and open‑market operations.
    - 10.2. Cancellation of balances for operations between entities associated with ATM networks and/or purchase‑card and credit‑card systems.
    - 10.3. Services rendered to public bodies (AFIP, Autonomous Government of the City of Buenos Aires, etc.).
    - 10.4. Judicial dispositions.
    - 10.5. Purchase from third parties of cancelled checks by order of the BCRA.
11. Transfers from other current accounts of the entity opened at the Central Bank of the Argentine Republic, ordered by the entity.

### 3.2. Debits

Debits to the current accounts shall be effected by:

1. Issuance of checks that can be settled directly at the Central Bank of the Argentine Republic.
2. Unfavorable balances in the electronic clearing houses and clearing houses inside the country.
3. Transfers of funds to other financial entities or to accounts located in New York – own or of other local entities – ordered through the Electronic Payments Medium (MEP) or other expressly authorized alternative means by the Central Bank of the Argentine Republic, with a record in all cases of the type of operation that motivates the order.
4. Movements carried out by the Central Bank of the Argentine Republic, including, among others:
   - 4.1. Foreign‑exchange and open‑market operations.
   - 4.2. Cancellation of balances for operations between entities associated with ATM networks and/or purchase‑card and credit‑card systems.
   - 4.3. Services rendered to public bodies (ANSES, AFIP, Autonomous Government of the City of Buenos Aires, etc.).
   - 4.4. Judicial dispositions.
   - 4.5. Sale to third parties of cancelled checks by order of the BCRA.

**Version:** 3a. Communication "A" 3274 **Effective:** 01.06.01

5. Transfers to other current accounts of the entity opened at the Central Bank of the Argentine Republic, ordered by the entity.

### 3.3. Maintenance of a credit balance

1. Entities must always have sufficient funds in their current accounts at the Central Bank of the Argentine Republic to cover the normal development of operations; debit balances are not permitted. Consequently, operations ordered by entities that lack coverage will be rejected.
2. When the balance generated by inter‑bank securities clearing in the electronic clearing houses gives rise to debits that exceed the available balance in the pertinent account, the entity must make contributions that enable coverage up to the deadline established for the settlement of the day’s operations. Failing that, the guarantees constituted will be liquidated according to the operating scheme of the cited clearing houses.
3. When, due to the balance generated by inter‑bank securities clearing in interior clearing houses, other operations with the holders, or the application of charges and other concepts, the Central Bank of the Argentine Republic determines amounts to debit that exceed the available balance in the entity’s peso current account, the entity must return documents amounting to a level that allows the account to remain credit‑positive and/or make contributions that enable coverage on that day. Failing that, the fund movements that have been accounted for will be reversed according to the order of precedence determined by the Central Bank of the Argentine Republic.
4. In the cases of points 3.3.2. and 3.3.3., the entity’s intervention in the various clearing houses will be limited to the presentation of the documents drawn against the other member entities, without being able to withdraw the securities at its own expense. This circumstance will be communicated to the entities participating in the respective clearings.

   The Superintendency of Financial and Currency Entities may consider that the solvency or liquidity of the corresponding entity is affected, thereby subjecting it to the provisions of article 34 of the Financial Entities Law.
5. When the balance generated by the cancellation of operations between entities associated with ATM networks and/or purchase‑card and credit‑card systems is insufficient, and the guarantee constituted by each entity for that purpose does not cover the debtor balance, the totality of the presented operations will be returned to the network.

**Version:** 2a. Communication "A" 3274 **Effective:** 01.06.01

---

## Section 4. Balance reconciliation

### 4.1. Current‑account summaries

At the start of each day’s operations, entities will receive from the Central Bank of the Argentine Republic the summaries of their accounts corresponding to the operations recorded the previous day. They shall immediately reconcile them with their own accounting.

### 4.2. Time limits for contesting movements and confirming the balance

For balance recognition, the provisions of article 793 of the Commercial Code apply, extending the period for written response to **30 calendar days**, non‑extendable. The preceding term shall be counted from the fifteenth day after the accounting registration in the current account.

### 4.3. Claims

Observations regarding any current‑account summary shall be made by note addressed to the Sub‑Management of Current Accounts, which must be submitted through the entry desk within the periods indicated in the preceding point, invariably accompanied by a photocopy of the supporting documentation for the claim (receipts, notes, etc.). Any other request or observation that does not require supporting documentation may be made by other alternative means established by the Central Bank of the Argentine Republic.

**Version:** 2a. Communication "A" 3274 **Effective:** 01.06.01

---

## Origin of the provisions included in the ordered text on current accounts of financial entities at the Central Bank of the Argentine Republic

| Section | Point | Paragraph | Comm. | Annex | Point | Paragraph | Observations |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 1 | 1.1. |  | “A” 90‑Cap. I | 1.1. |  | According to Comm. “A” 3274. |  |
| 1 | 1.2. |  | “A” 90‑Cap. I | 1.2. |  | According to Comm. “A” 3024 and 3274 |  |
| 1 | 1.3. |  | “A” 90‑Cap. I | 3.3.1., 2nd part |  | According to “A” 3274. |  |
| 1 | 1.4. |  | “A” 3274. |  |  |  |  |
| 2 | 2.1. |  | “A” 90‑Cap. I | 2.1. |  | According to Comm. “A” 3024 and 3274. |  |
| 2 | 2.2. |  | “A” 90‑Cap. I | 2.2. |  | According to Comm. “A” 2534 |  |
| 3 | 3.1. |  | “A” 90‑Cap. I | 3.1. |  |  |  |
| 3 | 3.1.1. |  | “A” 90‑Cap. I | 3.1.1. |  | According to Comm. “A” 3274. |  |
| 3 | 3.1.2. |  | “A” 90‑Cap. I | 3.1.2. |  |  |  |
| 3 | 3.1.3. |  | “A” 90‑Cap. I | 3.1.3. |  | According to Comm. “A” 3274. |  |
| 3 | 3.1.4. |  | “A” 90‑Cap. I | 3.1.4. |  |  |  |
| 3 | 3.1.5. |  | “A” 90‑Cap. I | 3.1.5. |  |  |  |
| 3 | 3.1.6. |  | “A” 2558 2° |  |  |  |  |
| 3 | 3.1.7.1. |  | “A” 2610 I I.2‑2), I.2‑7), I.2‑8) and II.3‑2) |  |  | According to Comm. “A” 3024 |  |
| 3 | 3.1.7.2. |  | “A” 2929 I 1.5. |  |  |  |  |
| 3 | 3.1.8. |  | “A” 90‑Cap. I | 3.2. |  |  |  |
| 3 | 3.1.9. |  | “A” 2867 single | 4.3. |  | According to Comm. “A” 3024 |  |
| 3 | 3.1.10.1 |  |  |  |  |  |  |
| 3 | 3.1.10.4. |  | “A” 90‑Cap. I | 3.1.7. |  | According to Comm. “A” 3024 |  |
| 3 | 3.1.10.5. |  | “A” 3206 1. |  |  |  |  |
| 3 | 3.1.11. |  | “A” 3274. |  |  |  |  |
| 3 | 3.2. |  | “A” 90‑Cap. I | 3.3. |  |  |  |
| 3 | 3.2.1. |  | “A” 90‑Cap. I | 3.3.1., 1st part |  |  |  |
| 3 | 3.2.2. |  | “A” 90‑Cap. I | 3.3.2. |  |  |  |
| 3 | 3.2.3. |  | “A” 90‑Cap. I | 3.4. |  | According to Comm. “A” 647, modified by Communications “A” 2558, 2631, 2692 and 3024 |  |
| 3 | 3.2.4.1‑5. |  | “A” 90‑Cap. I | 3.3.3. |  | According to Comm. “A” 3024, 3026 and 3274 |  |
| 3 | 3.2.5. |  | “A” 3274. |  |  |  |  |
| 3 | 3.3. |  | “A” 90‑Cap. I | 4. |  |  |  |
| 3 | 3.3.1. |  | “A” 90‑Cap. I | 4.1. |  | According to Comm. “A” 1110 and 3274 |  |
| 3 | 3.3.2. |  | “A” 90‑Cap. I | 4.2. | 1st | According to Comm. “A” 1110, 2610, 3024 and 3274 |  |
| 3 | 3.3.3. |  | “A” 90‑Cap. I | 4.2. | 1st | According to Comm. “A” 1110, 2319, 2610, 3024 and 3274 |  |
| 3 | 3.3.4. |  | “A” 90‑Cap. I | 4.2. | 2nd | According to Comm. “A” 1110 and 2610 |  |
| 3 | 3.3.5. |  | “A” 3024 |  |  |  |  |
| 4 | 4.1. |  | “A” 90‑Cap. I | 5.1. |  | According to Comm. “A” 647 and 3024 |  |
| 4 | 4.2. |  | “A” 90‑Cap. I | 5.2. |  | According to Comm. “A” 647 |  |
| 4 | 4.3. |  | “A” 90‑Cap. I | 5.3. |  | According to Comm. “A” 647, 3024 and 3274 |  |

---

Circular LISOL 1-338. RUNOR 1-439. OPASI 2-260. SERVI 1-55 New Reserve Regime. Minimum Liquidity Requirements and Minimum Cash

1.3. Minimum Requirements

1.4. Residual Term

1.4.1. Determination

1.4.1.1. General case

1.4.1.2. Term investments

1.4.1.3. Refinancable term obligations

1.4.1.4. Obligations from foreign financial lines (not linked to foreign‑trade financing)

1.4.2. Fixed‑term deposits

1.4.3. Remaining term operations

1.5. Alternative increase to the debt‑placement requirement

1.6. Specific increases due to liability concentration

1.7. Transfers

1.7.1. Admitted margin

1.7.2. Utilisation period

2.1. Admitted concepts

2.1.1. Current accounts of financial entities opened at the Central Bank of the Argentine Republic in U.S. dollars or other foreign currencies

2.1.3. “Liquidity Requirements” account opened at Deutsche Bank, New York, in the name and on behalf of the entity.

2.1.4. Fixed‑term deposit certificates issued by foreign banks that have, at a minimum, an international risk rating granted by any of the rating agencies, as detailed below:

2.1.5. Bonds of central governments of OECD member countries that have at least an international risk rating of “A” or higher granted by any of the rating agencies admitted by the rules on “Evaluation of Financial Entities”.

2.1.7. Securities – bonds and shares – not covered in points 2.1.5 and 2.1.6, even when originating from active passes for the entity, issued by:

2.1.7.1. International organisations.

2.1.7.2. Central governments and, when they have full guarantee, their companies, agencies or departments. Otherwise, they will be considered private issuances.

2.1.7.3. Commercial banks.

2.1.7.4. Other companies and/or private corporations.

2.1.7.5. Senior tranche of asset‑backed issuances (only mortgages or pledges that, in both cases, grant first‑rank privilege or similar, and/or credit‑card coupons).

2.1.8. Units of investment funds whose assets are constituted – indiscriminately – by the securities referred to in points 2.1.5, 2.1.6 and 2.1.7.

Minimum Liquidity Requirements and Minimum Cash

2.1.10. Mortgage‑backed Loans

2.1.11. Special Guarantee Accounts in Favor of the Electronic Clearing Houses

2.1.12. Guarantees for Operations with Cancelatory Checks

2.2. Computation

2.3. Maximum Computation Limits

3. Non‑Compliance (Section 3)

3.1. Charge

3.1.1.

3.1.2.

3.1.3.

3.1.4.

Lineage: Amended

Timeline

Similar documents from other regulators

2.1.3. “Liquidity Requirements” account opened at Deutsche Bank, New York, in the name and on behalf of the entity.

2.1.7. Securities – bonds and shares – not covered in points 2.1.5 and 2.1.6, even when originating from active passes for the entity, issued by:

2.1.8. Units of investment funds whose assets are constituted – indiscriminately – by the securities referred to in points 2.1.5, 2.1.6 and 2.1.7.

3. Non‑Compliance (Section 3)