Communication A 1823 - Foreign Currency Resource Capture and Application Regime

BANCO CENTRAL DE LA REPÚBLICA ARGENTINA
COMMUNICATION "A" 1823 12/04/91
TO FINANCIAL ENTITIES:
Ref.: Circulars CREATION, OPERATION AND EXPANSION OF FINANCIAL ENTITIES - CREFI - 1 - 20, LIQUIDITY AND SOLVENCY - LISOL - 1 - 45, ASSET OPERATIONS - OPRAC - 1 - 317, LIABILITY OPERATIONS - OPASI - 2 - 73 AND MONETARY REGULATIONS - REMON - 1 - 631. Regime for the capture and application of resources in foreign currency.

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

"1st - Replace with effect from 2.5.91 point 2 of the resolution disseminated by Communication "A" 1234 (text according to Communication "A" 1289), with the following:

"2 - Credit unions and housing savings and loan societies that possess the patrimonial responsibility required of them as a financial company and financial companies may carry out the following operations in foreign currency:

• Purchase and sale of foreign currencies and banknotes.
• Purchase, sale and issuance of drafts and transfers in foreign exchange to/from abroad.
• Purchase and sale of checks and traveler's checks, in foreign currency.
• Arbitrage."

2nd - Replace with effect from 2.5.91 points 1.1., 2.1., 3.1. and 4.1. of the Regime for the capture and application of resources in foreign currency (text according to Annex I to Communication "A" 1820), with the following:

"1.1. Participating Entities.

• Banks authorized to operate in foreign currency and those included in
  point 1 of the resolution disseminated through Communication "A"1234

-2-

2.1. - Participating Entities.

• Banks authorized to operate in foreign currency and those included in the
  point 1 of the resolution disseminated through Communication "A" 1234.

• Financial companies.

• Credit unions and housing savings and loan societies that possess the patrimonial responsibility that would correspond to them as a financial company."

"3.1. Participating Entities.

• Banks authorized to operate in foreign currency and those included in the
  point 1 of the resolution disseminated through Communication "A: 1234, that are not registered in the Registry of entities authorized to capture fixed-term deposits on behalf and order of the B.C.R.A.
• Financial companies.
• Credit unions and housing savings and loan societies that possess the patrimonial responsibility that would correspond to them as a financial company,

4.1. - These deposits will be subject, within the realization for deposits and other
obligations, to the following maximum daily limits with respect to the computable patrimonial responsibility of the last day of the month immediately preceding the one in question:
4.1.1. Banks; 3 times
4.1.2. Financial companies, credit unions and Societies
of savings and loans for housing or other real estate 1.5 times"

Likewise, we clarify that financial companies that decide to operate under the regime for the capture and application of resources in foreign currency must have the minimum patrimonial responsibility required as provided in Circular LISOL - 1, Chapter VI, point 2.

We salute you very attentively.
BANCO CENTRAL DE LA REPÚBLICA ARGENTINA
Alfredo A. Besio José Agustín Uriarte
Technical Manager of General Manager
Financial Entities