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2024-02-28 | RESOLUCIÓN DE DIRECTORIO N° 032/2024

Added 2026-07-27 · Updated 2026-08-13

Board Resolution No. 032/2024

The Board of Directors of the Central Bank of Bolivia authorizes the provision of a temporary liquidity credit of Bs3,000,000,000.00 to the General Treasury of the Nation, represented by the Ministry of Economy and Public Finance, for a term of one year at an annual interest rate of 3.85%. The credit is secured by negotiable, amortizable Treasury Bonds, with principal and interest payable at maturity. The President of the Central Bank is authorized to sign the corresponding credit contract, and the Presidency and General Management are tasked with executing this resolution.

Bolivia

Banco Central de Bolivia

BOARD OF DIRECTORS

BOARD RESOLUTION NO. 032/2024

SUBJECT: MONETARY OPERATIONS MANAGEMENT - APPROVAL OF THE GRANTING OF AN EXCEPTIONAL LIQUIDITY CREDIT TO THE GENERAL TREASURY OF THE NATION UNDER LAW NO. 1670 - MANAGEMENT YEAR 2024.

VISTOS (SEEING):

The Political Constitution of the State, dated February 7, 2009.
Law No. 1178 of July 20, 1990, on Government Administration and Control and its modifications.
Law No. 1670 of October 31, 1995, of the Central Bank of Bolivia (BCB) and its modifications.
The Regulation for the Contracting of Liquidity Credits approved by Ministerial Resolution No. 021 of January 25, 2023, issued by the Ministry of Economy and Public Finance (MEFP).
The Regulation for the Approval of Credits to the Public Sector within the framework of Law No. 1670, approved via Board Resolution No. 110/2019 of August 27, 2019.
The Statute of the BCB approved by Board Resolution No. 095/2022, of October 6, 2022.
The Monetary Program and Financial Fiscal Program 2024 approved on January 29, 2024, by the BCB.
The Execution Decision of the 2024 Financial Fiscal Program signed on January 30, 2024, between the MEFP and the BCB.
Note MEFP/VTCP/DGCP/UEPS/No. 063/2024 of February 27, 2024, from the MEFP.

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Report BCB-GOM-SOSP-DCE-INF-2024-11 of February 29, 2024, from the Monetary Operations Management (GOM).
Report BCB-APEC-SMF-INF-2024-8 of February 29, 2024, from the Economic Policy Advisory (APEC).
Report BCB-GAL-SANO-DLBCI-INF-2024-70 of February 29, 2024, from the Legal Affairs Management (GAL).

CONSIDERING:

That paragraph I of Article 326 of the Political Constitution of the State determines that the State through the Executive Branch will determine the objectives of the country's monetary and exchange rate policy in coordination with the BCB.
That Article 327 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 Article 11 of Law No. 1178 establishes that any internal or external public debt with a term equal to or greater than one year shall be contracted by the highest authority of the State Treasury System, on behalf of the National Treasury.
That Article 1 of Law No. 1670 establishes that the BCB is a State institution, of public law, autonomous in nature, of indefinite duration, with legal personality and its own assets, and with legal domicile in the city of La Paz. It is the sole monetary and exchange rate authority of the country, with administrative, technical, and financial competence and specialized normative faculties of general application, in the manner and with the scope established in the Law.
That Article 22 of the aforementioned Law provides that the BCB may not grant credit to the Public Sector nor incur contingent liabilities in its favor. Exceptionally, it may do so in favor of the National Treasury with the favorable vote of two-thirds of the members present

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in a meeting of its Board of Directors, in whose subsection a) it states that to attend to urgent needs derived from public calamities, declared by Supreme Decree; Subsection b) states that to attend to temporary liquidity needs within the limits of the monetary program.

That Article 23 of Law No. 1670 determines that the operations provided for in Article 22 shall be documented in all cases through negotiable public debt securities issued by the National Treasury, which in the case provided for in subsection b) shall have a maximum term of one year.
That Article 44 of the aforementioned legal body states that the Board of Directors is responsible for defining its policies, specialized norms of general application, and internal rules; as well as establishing administrative, operational, and financial strategies, approving their respective short and medium-term programs.
That subsections a) and j) of Article 54 state as attributions of the Board of Directors of the BCB to issue norms and adopt general decisions that are necessary for the issuing entity to fulfill the functions, competencies, and faculties assigned to it by the Law, as well as to set the interest rate of the credits granted by the BCB.
That Article 57 of Law No. 1670 states that the President is the first executive authority of the Institution. Therefore, he is responsible for directing and supervising the work leading to the formulation of policies and specialized norms of general application and the definition of administrative, operational, and financial strategies of the BCB.
That subsection e) of Article 59 of Law No. 1670 states that the President has the following attributions: to exercise the legal representation of the BCB, without prejudice to his faculties of delegation according to this Law.
That Article 7 of the Regulation for the Contracting of Liquidity Credits approved by Ministerial Resolution No. 021/2023 regulates the Negotiation and Contracting of credits requested by the MEFP.

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That the Regulation for the Approval of Credits to the Public Sector within the framework of Law No. 1670, approved by Board Resolution No. 110/2019, aims to regulate Articles 22 and 23 of Law No. 1670, which establish the requirements and procedures for the approval of credits to the Public Sector.
That said Regulation, in its Article 10, establishes the requirements for the consideration of credit for temporary liquidity needs.
That Article 11 states that upon receipt of the credit request and the documentation established in Article 10, prior to the consideration of the Board of Directors, the President of the BCB will request: i) Technical Report from the GOM specifying the outstanding debt balance as of the date of the request, future payment maturities of the TGN to the BCB, and suitability of the public value offered to back the operation; ii) Report from the GAL regarding compliance with regulations and submission of required documentation; iii) Report from the APEC considering the impact of said credit on the monetary program that is part of the Execution Decision of the Fiscal-Financial Program that the highest authorities of the BCB and the MEFP sign annually.
That Article 12 establishes the financial conditions, where the Board of Directors will set interest rates and the term considering, as a reference, the prevailing public security yields in the market in either of the two currencies, in relation to the credit request of the MEFP.
That Article 13 provides that the Board of Directors of the BCB will consider the Reports presented by the areas, and if appropriate, approve the credit with the favorable vote of two-thirds of its members present in a Board session, and for this purpose, it will issue an express Resolution.
That Article 14 of the aforementioned Regulation establishes that the Board Resolution will approve the granting of the Credit and the Public Credit Contract between the MEFP and the BCB.
That the Statute of the BCB in numerals 1) and 10) of its Article 10 establishes that the Board of Directors of the Issuing Entity has the attributions to approve general decisions and

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issue the 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 by two-thirds of the votes of the members present, credits to the General Treasury of the Nation to attend to temporary liquidity needs, within the limits of the Monetary Program.

That Articles 26 and 34 of the Statute determine that 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 the GAL. These reports must be issued to the Board of Directors through the General Management with its recommendation. Likewise, that among the attributions of the President of the BCB is the signing of contracts concluded by the BCB.
That the Execution Decision of the 2024 Financial Fiscal Program establishes that up to Bs6,000,000,000.00 (Six Thousand Million 00/100 Bolivianos) in net liquidity credits (gross credit minus amortizations) are available for 2024.
That the MEFP via Note MEFP/VTCP/DGCP/UEPS/No. 063/2024, within the framework of subsection b) of Article 22 of Law No. 1670, requests the granting of a liquidity credit with the following characteristics: i) amount and currency Bs3,000,000,000.00 (Three Thousand Million 00/100 Bolivianos), ii) term: 1 year, iii) principal payment: at maturity, iv) interest payment: at maturity, v) backing value: Negotiable Treasury Bonds - amortizable. To this effect, in compliance with what is established in the "Regulation for the Approval of Credits to the Public Sector within the Framework of Law No. 1670", it sends the payment plan, disbursement schedule, and monthly cash flow of the TGN projected including reimbursements to the BCB.
That the GOM, via Report BCB-GOM-SOSP-DCE-INF-2024-11, concludes that the request for the Liquidity Credit to the General Treasury of the Nation for the 2024 management year for an amount of 3,000,000,000.00 (Three Thousand Million 00/100 Bolivianos), made by the MEFP, falls within what is established in Law No. 1670 and the Regulation for the Approval of Credits to the Public Sector, approved via Board Resolution No. 110/2019. Finally, it recommends that the Board of Directors of the BCB approve the financial conditions of the credit with an interest rate of 3.85% (three point eight five percent) annual for a term of one year, prior to the criteria of the GAL and APEC according to their competencies.

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That the APEC, in its Report BCB-APEC-SMF-INF-2024-8, concludes that the Monetary Program and Financial Fiscal Program 2024 approved on January 29, 2024, the "Execution Decision of the 2024 Financial Fiscal Program" and the "Schedule of the BCB liquidity credit to the TGN" contemplate a liquidity credit of up to Bs3,000,000,000.00 (Three Thousand Million 00/100 Bolivianos), in the month of February; therefore, it is within the established limit.
That the GAL via Report BCB-GAL-SANO-DLBCI-INF-2024-70, concludes that the MEFP request is legally appropriate, recommending its consideration by the Board of Directors of the BCB, for its approval with the favorable vote of at least two-thirds of the members present, via express resolution and authorization to the President of the BCB for the signing of the respective contract; likewise, in accordance with subsection a) of Article 54 of Law No. 1670, Article 13 of the Regulation for the Approval of Credits to the Public Sector within the framework of Law No. 1670, and numeral 10) of Article 10 of the Statute of the BCB.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Within the framework of what is established in subsection b) of Article 22 and Article 23 of Law No. 1670 and in accordance with the Monetary Program and Financial Fiscal Program 2024, approve the granting of a Liquidity Credit in favor of the TGN – Management 2024, represented by the MEFP, under the following terms and conditions:

Field	Value
Amount:	Bs3,000,000,000.00 (Three Thousand Million 00/100 Bolivianos).
Currency:	Bolivianos.
*Term ():**	1 year.
Interest Rate:	3.85% annual.
Payment Frequency:	Annual for principal and interest.
Guarantee:	Negotiable Treasury Bond – Amortizable.

(*) The term is calculated from the first disbursement

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Article 2.- Approve the Exceptional Liquidity Credit Contract in favor of the TGN – Management 2024, in accordance with Article 14 of the Regulation for the Approval of Credits to the Public Sector within the framework of Law No. 1670.

Article 3.- Authorize the Acting President of the BCB to sign the contract with the MEFP under the terms of this Resolution.

Article 4.- The Presidency and General Management are tasked with the execution and compliance of this Resolution.

La Paz, February 29, 2024

SIGNED. ROGER EDWIN ROJAS ULO, Oscar Ferrufino Morro, Gabriel Herbas Camacho, Gumercindo Héctor Pino Guzmán, Diego Alejandro Pérez Cueto Eulert.