BOARD OF DIRECTORS

BOARD RESOLUTION NO. 021/2025

SUBJECT: TREASURY MANAGEMENT – AUTHORIZING THE MONETIZATION OF MONETARY MATERIAL FROM THE Bs1, 50c, 20c, AND 10c DENOMINATIONS.

VIEWED:

The Political Constitution of the State of February 7, 2009.
Law No. 901 of November 28, 1986, creating a new monetary unit.
Law No. 1670 of October 31, 1995, of the Central Bank of Bolivia (BCB) and its modifications.
The Regulation on Monetization, Distribution, Destruction of Monetary Material, and Destruction of Counterfeit Material, approved by Board Resolution No. 094/2018 of July 24, 2018, and its modifications.
Board Resolution No. 067/2023 of May 2, 2023, approving the Exchange and Fragmentation Regulation of the Central Bank of Bolivia.
The Statute of the BCB, approved via Board Resolution No. 095/2022 of October 6, 2022.
The technical report BCB-GTES-SAMM-DAMM-INF-2025-18 of February 14, 2025, issued by the Treasury Management (GTES).
The legal report BCB-GAL-SANO-DLBCI-INF-2025-41 of February 17, 2025, issued by the Legal Affairs Management (GAL).

CONSIDERING:

That Article 327 of the Political Constitution of the State determines 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.

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That paragraph 4 of Paragraph I of Article 328 of the Political Constitution of the State establishes that it is an attribute of the BCB, in coordination with the economic policy determined by the Executive Branch, to authorize the issuance of currency.

That Articles 1 and 3 of Law No. 901 establish the creation of the Boliviano as a new unit of the monetary system of the Plurinational State of Bolivia, through banknotes and coins that the BCB will issue and circulate with legal and mandatory tender status, with the BCB being the sole issuer of banknotes and coins.

That Articles 1 and 3 of Law No. 1670 establish that the Issuing Entity is the sole monetary authority of the country, with administrative, technical, and financial competence and specialized regulatory powers; it will formulate policies of general application in monetary, exchange, and payment system matters, for the fulfillment of its object.

That Article 10 of Law No. 1670 provides that the BCB will exercise exclusively and non-delegably the function of issuing the monetary unit of Bolivia named the "Boliviano," in the form of banknotes and metallic coins.

That Article 11 of Law No. 1670 provides that the banknotes and coins issued by the BCB are means of payment with legal tender status throughout the territory of the Plurinational State of Bolivia, with unlimited liberatory power.

That Article 44 of Law No. 1670 establishes that the highest authority of the BCB is its Board of Directors, responsible for defining its policies, specialized regulations of general application, and internal rules; as well as for establishing administrative, operational, and financial strategies of the BCB.

That paragraphs a) and m) of Article 54 of Law No. 1670 determine that the BCB Board of Directors has the attribute to issue regulations and adopt general decisions that are necessary for the BCB to fulfill the functions, competencies, and powers assigned to it by the Law, and to authorize and supervise the printing, issuance, and destruction of banknotes, and the minting and withdrawal of coins, within the norms of the aforementioned Law.

That Article 2 of the Regulation on Monetization, Distribution, Destruction of Monetary Material, and Destruction of Counterfeit Material defines monetization as a function

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privative to the BCB as the sole issuer of the Boliviano, through which nominal value is granted to Boliviano banknotes and coins for their entry into circulation.

That Article 3 of the aforementioned Regulation determines that the BCB Board of Directors, via express Resolution, will authorize the monetization of monetary material based on reports from GTES and GAL, in function of the issuance or storage requirements determined by GTES.

That Articles 4 and 5 of the aforementioned Regulation determine that the monetization authorization will consist of an Act and Verification Sheet signed by a Director designated by the BCB Board of Directors, the General Manager, the Treasury Manager, and the Deputy Manager of Monetary Material Operations; and that GTES will register the monetization of banknotes and coins, accounting transferring the nominal value of each of the denominations of "Monetary Material in Warehouses" to the "Central Vault" account.

That the BCB Regulation on Exchange and Fragmentation of Monetary Material aims to regulate the exchange and fragmentation operations of Boliviano banknotes and/or coins that must be carried out by all Financial Intermediation Entities (FIEs) supervised by the Financial System Supervision Authority (ASFI).

That paragraphs 1) and 2) of Article 5 of the BCB Statute establish the regulatory and administrative competence of the Issuing Entity to issue specialized regulations in the fields assigned to it by the Law and to establish its own ordering, organization, and functions, in concordance with the specialized nature of the institution and within the framework of national legislation.

That paragraphs 1) and 11) of Article 10 of the BCB Statute provide that the BCB Board of Directors has the attribute to approve general decisions and issue regulations that are necessary for the BCB to fulfill the functions, competencies, and powers assigned to it by the Law, as well as to approve the printing, issuance, and destruction of Boliviano banknotes and coins, and those issued for commemorative and numismatic purposes, as well as their denominations, dimensions, designs, and colors, according to Regulations when applicable.

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That Paragraph I of Article 24 of the aforementioned Statute provides that Resolutions and decisions of the Board of Directors are adopted by a simple majority of votes of the members present in a meeting, except in cases where Law No. 1670 or the Statute require qualified majorities.

That Article 26 of the BCB Statute states that the Board of Directors pronounces itself on matters within its competence via Resolutions. It may also do so via decisions that will be expressly recorded in an Act. Every draft Board Resolution must be motivated and justified by a technical report from the Management or Managements to which the subject matter of the Resolution corresponds, and by a report from GAL. These reports must be sent to the Board of Directors by the General Management with its recommendation.

That the report BCB-GTES-SAMM-DAMM-INF-2025-18 from GTES concludes that, based on the recent evolution of coin distribution, the current stock of pieces in the Bs1, 50c, 20c, and 10c denominations in the BCB vault will be insufficient to meet issuance requirements in the short term, and with the purpose of satisfying the demand of FIEs, responding to the population's exchange and fragmentation needs, and meeting issuance requirements, in accordance with current regulations, it is technically viable to proceed with the monetization of Bs1, 50c, 20c, and 10c coins. For this effect, the monetary material to be used will correspond to non-monetized coin pieces, provided under Contract SANO-DLABS No. 131/2016 signed with the company MONNAIE DE PARIS, as well as Contract SANO-DLABS No. 140/2023 and its modification signed with the company MINT OF FINLAND, an amount totaling Bs31,352,500; recommending to the Board of Directors its authorization for monetization and the designation of a Board member to participate in the monetization act.

That the report BCB-GAL-SANO-DLBCI-INF-2025-41 from GAL concludes that the request from GTES through report BCB-GTES-SAMM-DAMM-INF-2025-18, regarding the monetization of 8.03 million pieces of the Bs1 denomination (Bs8.03 million), 33.085 million pieces of the 50c denomination (Bs16.54 million), 13.58 million pieces of the 20c denomination (Bs2.72 million), and 40.64 million pieces of the 10c denomination (Bs4.06 million), corresponding to 95,335,000 pieces, equivalent to Bs31,352,500, is legally appropriate by virtue of the legal provisions contained in the Political Constitution of the State, Articles 1 and 3 of Law No. 901, Law No. 1670, and the BCB Statute; recommending

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the BCB Board of Directors to authorize the monetization of coins within the framework of what is provided in Articles 3 and 4 of the Regulation on monetization, distribution, destruction of Monetary Material, and destruction of counterfeit material and its modifications, in conformity with paragraphs 2) and 11) of Article 10, Paragraph I of Article 24, and Article 26 of the BCB Statute. Finally, in the exercise of the supervision attribute, it corresponds to the BCB Board of Directors to designate one of its members to participate in the corresponding monetization act.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Authorize the monetization of coins in the Bs1, 50c, 20c, and 10c denominations, according to the following detail:

Denomination	Quantity (Pieces)	Amount (Bs)
Bs1	8,030,000	8,030,000
50c	33,085,000	16,542,500
20c	13,580,000	2,716,000
10c	40,640,000	4,064,000

Article 2.- Designate Acting Director Gumerindo Héctor Pino Guzmán to, on behalf of the Board of Directors, participate in the monetization act of the aforementioned material.

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

La Paz, February 18, 2025

SIGNED: ROGER EDWIN ROJAS ULO, Gumerindo Héctor Pino Guzmán, Miguel Angel Marañon Urquidi, Víctor Gonzalo Calisaya Gomez.

"2025 BICENTENARY OF BOLIVIA"

Board Resolution No. 021/2025