Board Resolution No. 011/2014

BOARD RESOLUTION NO. 011/2014

SUBJECT: ECONOMIC POLICY ADVISORY — APPROVES LIMIT FOR FOREIGN INVESTMENTS BY INSURANCE COMPANIES.

HAVING SEEN:

Law No. 1670 of October 31, 1995, of the Central Bank of Bolivia.

Law No. 1883 of June 25, 1998, on Insurance.

Supreme Decree No. 25201 of October 16, 1998, which approves the Regulation of Law No. 1883.

The Report from the Economic Policy Advisory BCB-APEC-SIE-[NF-2014-02 of January 31, 2014.

CONSIDERING:

That Law No. 1883 in its article 35, establishes that the Central Bank of Bolivia (BCB) will periodically set the maximum limit for investments by Insurance Companies in securities of issuers constituted abroad, which may not be greater than fifty percent (50%) of the resources for investment.

That Supreme Decree No. 25201 in its article 18, determines that the Board of Directors of the BCB must annually set the maximum limit for foreign investments by Insurance Companies.

That Law No. 1670 in its articles 6 and 14, establishes that the Issuing Entity must execute monetary policy and regulate the amount of money and the volume of credit in accordance with its monetary program, and also to ensure the strengthening of international reserves so as to allow the normal functioning of the country's international payments.

That the Economic Policy Advisory in its Technical Report BCB-APEC-SIE-INF-2014-02, recommends maintaining the percentage of thirty percent (30%) as the maximum limit for foreign investments for Insurance Companies valid for the 2014 fiscal year.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Rolando Marin Ibáñez, Rafael Ojeda Téllez, Reynaldo Yujra Segales

1/2. B.D. No. 011/2014

Article 1.- Maintain in the 2014 fiscal year the maximum limit for foreign investment for Insurance Companies at thirty percent (30%) of their investment resources.

Article 2.- Communicate to the Pension and Insurance Supervision and Control Authority (APS) the aforementioned decision, so that it may authorize the limits within the maximum established by this Resolution.

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

La Paz, February 4, 2014