RegAlertRule · BCRA · 31 Jul 1985 · A 733
Circular Monetary Regulations - REMON 1 - 252. Subscription and integration of a financial asset of the Central Bank at an unregulated rate
Effective August 1985, financial entities must allocate a specified proportion of their average monthly daily balances of non-transferable fixed-term deposits at unregulated interest rates to subscribe to and integrate a financial asset of the Central Bank at an unregulated rate. These invested balances will earn interest at a rate initially set at 6.25% effective monthly, with prior placements in Central Bank public securities portfolios before August 5, 1985, counting toward this requirement. Deficiencies in meeting this integration obligation are subject to a charge equivalent to that for minimum cash deficiencies in australes, and the relevant provision from Communication A 712 is repealed. Entities may continue making such placements until August 2, 1985, inclusive.
CENTRAL BANK OF THE ARGENTINE REPUBLIC
COMMUNICATION "A" 733 31/07/85
TO FINANCIAL ENTITIES:
Ref.: Circular MONETARY REGULATIONS - REMON 1 - 252. Subscription and integration of a financial asset of the Central Bank "at an unregulated rate".
We address you to inform you that this Institution adopted the following resolution:
" 1 - Establish that from August 1985, financial entities must allocate to the subscription and integration of a financial asset of the Central Bank "at an unregulated rate", measured by the average monthly daily balances, no less than the amount resulting from applying the proportion to be fixed on the average monthly daily balances of non-transferable fixed-term deposits at an unregulated interest rate. 2 - The average balances invested in the financial asset referred to in the previous point, recorded each month, will be remunerated at the interest rate periodically fixed by the Central Bank. Initially it will be 6.25% effective monthly. 3 - For the purposes of compliance with the requirement established in point 1 of this resolution, the average monthly daily balances from placements in central bank public securities portfolio participations, at fixed yield, corresponding to operations contracted before 5.8.85, will be computable. 4 - Provide that deficiencies in the integration of the financial asset "at an unregulated rate" will be subject to a charge equivalent to that which must be observed for deficiencies in minimum cash in australes. 5 - Leave without effect the provision contained in the last section of the resolution disseminated by Communication "A" 712."
Consequently, entities may continue to make placements in central bank public securities portfolio participations until 2.8.85, inclusive.
We salute you very attentively.
CENTRAL BANK OF THE ARGENTINE REPUBLIC
Alfredo A. Besio
Manager of Standards for
Financial Entities
Néstor J. Taró
Deputy General Manager
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- Obligation 1
- Permission 1
- Definition / condition 6
- background, boilerplate
Lineage: No known changes
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The links and the sentences they come from (1)
- Amends
- Communication No. 712 of 1985Not in RegAlert
“Leave without effect the provision contained in the last section of the resolution disseminated by Communication "A" 712.”
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