Circular LISOL 1 - 130. Minimum Capital of Financial Entities. Risk Indicators

BANCO CENTRAL DE LA REPUBLICA ARGENTINA
__________________________________________________________________ COMUNICACION " A " 2417 13/02/96 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
LISOL 1 - 130.
Minimum Capital of Financial Entities. Risk Indicators

We address you to inform you that this Institution has adopted the following resolution:

"- Replace, effective February 1, 1996, Annex II to Communication "A" 2136 with the following:

RISK INDICATOR TABLE

FOREIGN CURRENCY OPERATIONS	PESO OPERATIONS	RISK INDICATOR
Annual Nominal Interest Rate	Annual Nominal Interest Rate	In %
In %	In %
Up to 14	Up to 18	1.00
More than 14 to 17	More than 18 to 21	1.20
More than 17 to 20	More than 21 to 24	1.40
More than 20 to 23	More than 24 to 27	1.60
More than 23 to 26	More than 27 to 30	1.80
More than 26 to 29	More than 30 to 33	2.00
More than 29 to 32	More than 33 to 36	2.20
More than 32 to 35	More than 36 to 39	2.40
More than 35 to 38	More than 39 to 42	2.60
More than 38 to 41	More than 42 to 45	2.80
More than 41 to 44	More than 45 to 48	3.00
More than 44 to 47	More than 48 to 51	3.20
More than 47 to 50	More than 51 to 54	3.40
More than 50 to 53	More than 54 to 57	3.60
More than 53 to 56	More than 57 to 60	3.80
More than 56 to 59	More than 60 to 63	4.00
More than 59 to 62	More than 63 to 66	4.30
More than 62 to 65	More than 66 to 69	4.60
More than 65 to 68	More than 69 to 72	4.90
More than 68 to 71	More than 72 to 75	5.20
More than 71 to 74	More than 75 to 78	5.50
More than 74	More than 78	6.00

The collection or accrual of concepts that do not constitute a service effectively provided or a genuine reimbursement of expenses, or the subscription and integration of shares in the case of entities of a cooperative nature, when they are associated - directly or indirectly - with the financing granted, is considered a component of the financial cost of the operation and, as such, added to the rate in order to determine the bracket of this table to which it is attributable."

We clarify that the provisions of the preceding resolution will be considered to determine the minimum capital required as of March 31, 1996, for which effect the adopted definition will apply with respect to the monthly average of daily balances of the included financiations registered from the current month.

We salute you very attentively.

BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Juan Carlos Isi Hector O. Biondo
Submanager of Standards for Financial Entities Submanager General of the Operations Area