BOARD OF DIRECTORS

BOARD RESOLUTION NO. 010/2024

SUBJECT: TREASURY MANAGEMENT – MODIFICATION OF THE CUSTODY OF SECURITIES REGULATION.

VIEWED:

• The Political Constitution of the State of February 7, 2009.
• Law No. 1670 of October 31, 1995, of the Central Bank of Bolivia (BCB).
• Law No. 1503 of May 5, 2023, Law on the Purchase of Gold Destined to Strengthen International Reserves.
• Supreme Decree No. 5076 dated November 30, 2023.
• The Statute of the Central Bank of Bolivia approved by Board Resolution No. 095/2022, of October 6, 2022.
• Board Resolution No. 122/2021 of October 19, 2021, which approves the Custody of Securities Regulation and its modifications.
• The Report from the International Operations Management and the Treasury Management BCB-GOI-SRES-DNI-INF-2024-4 of January 10, 2023.
• The Report from the Legal Affairs Management BCB-GAL-SANO-DLBCI-INF-2024-7 of January 10, 2024.

CONSIDERING:

That Article 327 of the Political Constitution of the State establishes that the BCB is a public law institution, with legal personality and its own assets. Within the framework of the State's economic policy, it is the function of the BCB to maintain the stability of the internal purchasing power of the currency, to contribute to economic and social development.

That numeral 5 of Paragraph I of Article 328 of the Political Constitution of the State establishes that it is an attribute of the Central Bank of Bolivia - BCB, in coordination with the economic policy determined by the Executive Branch, to administer international reserves.

That Article 1 of Law No. 1670 establishes that the Central Bank of Bolivia is an institution of the State, of public law, of an autarkic nature, of indefinite duration, with its own legal personality and assets and with legal domicile in the city of La Paz. It is the sole monetary and exchange authority of the country, with administrative, technical, and financial competence and specialized normative faculties of general application.

That Article 44 of Law No. 1670 establishes that the highest authority of the BCB is its Board of Directors, which is responsible for defining its policies, specialized norms of general application, and internal rules; as well as establishing administrative, operational, and financial strategies for the BCB, approving their respective short and medium-term programs.

That subsections a) and o) of Article 54 of Law No. 1670 provide that the BCB Board of Directors has the attributes to issue norms and adopt general decisions that are necessary for the BCB to fulfill the functions, competencies, and faculties assigned to it by the Law; as well as to approve, modify, and interpret the Statute and Regulations of the BCB, by two-thirds of the votes of all its members, without the need for any additional administrative act.

That Paragraph III of Article 9 of Law No. 1503 establishes that the Central Bank of Bolivia will take the necessary actions for the replenishment of international reserves, based on market conditions and foreign exchange liquidity of the International Reserves.

That the Final Provision of Law No. 1503 states that within the framework of Articles 327 and 328 of the Political Constitution of the State, the BCB, with the objective of complying with its constitutional mandate, is authorized to apply what is provided in Law No. 1670, of October 31, 1995, of the Central Bank of Bolivia and its modifications, being this sufficient for the development of its functions, without requiring further provisions from said law.

That Supreme Decree No. 5076 regulates the export of gold, authorizing the Central Bank of Bolivia to issue the Gold Export Certificate.

That numerales 1) and 30) of Article 10 of the BCB Statute determine that the Board of Directors of the Issuing Entity has the attributes to approve general decisions and issue norms that are necessary for the BCB to fulfill the functions, competencies, and faculties assigned to it by the Law; as well as to approve, modify, and interpret the Statute and Regulations of the BCB, by two-thirds of the votes of all its members, without the need for an additional administrative act.

That Board Resolution No. 122/2021, of October 19, 2021, approved the Custody of Securities Regulation.

That the Report from the International Operations Management and the Treasury Management BCB-GOI-SRES-DNI-INF-2024-4 recommends to the BCB Board of Directors, among others, to approve the proposal for modification to the Custody of Securities Regulation.

That the Report from the Legal Affairs Management BCB-GAL-SANO-DLBCI-INF-2024-7 concludes that the modification to the Custody of Securities Regulation, proposed by the International Operations Management and the Treasury Management, is legally appropriate, as it does not contravene the current legal framework, recommending to the BCB Board of Directors its approval.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Incorporate numeral 14 into Article 4. (Definitions) of the Regulation of the Custody of Securities, approved by Board Resolution No. 122/2021 dated October 19, 2021, with the following text:

“14. Promissory notes delivered in favor of the BCB within the framework of the Regulation for the Definition of the Gold Export Quota and for the Issuance of the Gold Export Certificate.”

Article 2.- The modification to the Custody of Securities Regulation will enter into force from its publication.

Article 3.- The Presidency and the General Management are charged with the compliance of this Resolution.

La Paz, January 10, 2024

SIGNED. ROGER EDWIN ROJAS ULO, Gabriel Herbas Camacho, Gumercindo Héctor Pino Guzmán, Diego Alejandro Perez Cueto Eulert.