Board Resolution No. 043/2014

BOARD RESOLUTION No. 043/2014

SUBJECT: FINANCIAL ENTITIES MANAGEMENT — AUTHORIZES AS AN ENTITY FOR COMPENSATION AND SETTLEMENT SERVICES UNILINK S.A. WITHIN THE SCOPE OF APPLICATION OF THE REGULATION ON ELECTRONIC COMPENSATION CHAMBERS AND COMPENSATION AND SETTLEMENT SERVICES.

HAVING SEEN:

The Political Constitution of the State.

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

Law No. 393 of August 21, 2013, on Financial Services.

The Regulation on Electronic Compensation Chambers and Compensation and Settlement Services approved by Board Resolution of the BCB No. 017/2008 of February 12, 2008, modified with Board Resolution of the BCB No. 158/2011 of December 13, 2011.

The Report from the Financial Entities Management and the Systems Management BCB-GEF-SSPSF-DSF-INF-2014-96 of April 30, 2014.

The Report from the Legal Affairs Management BCB-GAL-SANO-INF-2014-145 of May 2, 2014.

CONSIDERING:

That the Political Constitution of the State establishes in Article 328 that it is an attribute of the BCB, in coordination with the economic policy determined by the Executive Branch, in addition to those indicated by Law, to regulate the payment system.

That Law No. 1670 provides in its articles 44 and 54 Inc. k), that the Board of Directors of the BCB in its capacity as the highest authority of the Institution, is responsible for defining its policies, specialized regulations of general application, and internal norms, being empowered to authorize the creation and regulate the operation of Compensation Chambers.

That Law No. 393, in Article 123, item d), defines as a complementary financial service the administration of compensation and settlement chambers, establishing in its Article 317 that the founders of complementary service companies must process the constitution permit and operating license before the Financial System Supervisory Authority - ASFI. Likewise, Article 340 of this same Law establishes that the norms for the creation, constitution, and operation of compensation chambers shall be established by the Central Bank of Bolivia.

That the note ASFI/DNP/R-46760/2014 from the Financial System Supervisory Authority (ASFI) informs the BCB that it does not have specific regulatory norms to grant operating licenses to companies providing compensation and settlement services within the scope of the payment system.

That, article 8 of the Regulation on Electronic Compensation Chambers and Compensation and Settlement Services establishes that, in case there is no supervisory and control body, the BCB will issue the corresponding authorization for the compensation and settlement of payment instruments through an express Resolution of its Board, for which effect the compliance with the requirements and guidelines for compensation and settlement established in Chapters IV and VII of the Regulation will be verified.

That the Financial Entities Management and the Systems Management of the BCB, through Report BCB-GEF-SSPSF-DSF-INF-2014-96 of April 30, 2014, indicate that compliance with what is established in article 8 of the Regulation on Electronic Compensation Chambers and Compensation and Settlement Services has been verified, regarding the requirements and guidelines for compensation and settlement indicated in chapters IV and VII respectively. That likewise, within the framework of what is established in Circular SGDB No. 016/2012 on minimum operational security requirements for electronic payment instruments, it has been verified that the electronic fund transfer orders that would be processed by participants of UNILINK S.A. comply with what is required in this provision. And that since there is no supervisory and control body, they recommend that the Board authorize UNILINK S.A. to carry out activities of compensation and settlement of electronic fund transfer orders generated through electronic fund transfers, virtual offices, and national money orders.

That the Legal Affairs Management through Report BCB-GAL-SANO-INF-2014-145, states that the incorporation of UNILINK S.A. into the scope of application of the Regulation on Electronic Compensation Chambers and Compensation and Settlement Services for the performance of compensation and settlement activities is legally appropriate, as it falls within the current legal framework, being the competence of the Board of Directors of the BCB to consider its authorization.

That, the Board of Directors of the BCB is responsible for defining its policies, specialized regulations of general application, and internal norms, being empowered to issue the norms and adopt the general decisions that may be necessary for the fulfillment of the functions, competencies, and powers assigned by Law, as established in article 54 Inc. a) of Law No. 1670.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Authorize as an Entity for Compensation and Settlement Services UNILINK S.A., for the performance of compensation and settlement activities of electronic fund transfer orders generated through electronic fund transfers, virtual offices, and national money orders, within the scope of application of the Regulation on Electronic Compensation Chambers and Compensation and Settlement Services.

Article 2.- Once the ASFI regulates this type of complementary financial services, UNILINK S.A. must adapt to what is provided by the norms issued by said Authority.

Article 3.- This Resolution shall enter into force from its signing.

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

La Paz, May 6, 2014

Abraham Perez Alandia Rafael Boyan Tellez Reynaldo Yujra Segales Ronald Polo Rivero