Circular Monetary Regulations - REMON 1 - 55. Special Loan Limit (Circular REMON 1 - 23)

BANCO CENTRAL DE LA REPÚBLICA ARGENTINA
COMUNICACIÓN "A" 212 26/08/82
TO FINANCIAL ENTITIES:
Ref.: Circular MONETARY REGULATIONS -
REMON - 1 - 55. Special Loan Limit
(Circular REMON - 1 - 23)

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

“1º- Modify point 2 of section I of Circular REMON - 1 - 23 (Communication “A” 146) whose text is now drafted as follows:

2. The aforementioned line shall be integrated with seven sub-limits, the use of which shall be adjusted according to variations in the following indices, prepared by the National Institute of Statistics and Censuses:
   2.1. Consumer prices.
   2.2. Wholesale prices, general level.
   2.3. Wholesale prices, non-agricultural national.
   2.4. Wholesale prices, national agricultural - sub-group “Animal Production”.
   2.5. Wholesale prices, national agricultural - sub-group “Vegetable Production”
   2.6. Average total monthly salary.
   2.7. Cost of construction, Federal Capital - general level -.
   Each of the sub-limits shall be charged with placements formalized with the respective correction clauses.

2º- Replace the first paragraph of point 1 of section II of Circular REMON - 1 - 23 (Communication “A” 146), which shall remain drafted as expressed below:

1- Loans to natural persons holding the deposits mentioned in point 1 of the previous section, to meet unforeseen family needs and when it concerns holders dedicated to agricultural activity, to finance expenditures linked to their operations.

3º- Substitute, with effect from August 1, 1982, points 1º, 2º and 3º of Circular REMON - 1 - 36 (Communication “A” 166) with the following:

1º. The use of the loan line referred to in point 1 of section I of Circular REMON - 1 - 23 may exceed by up to 3% or be lower,

-2- without limitation, to the monthly average of the daily balances of fixed-term nominative non-transferable deposits adjustable in the medium term.

2º. Until September 1982, excesses of up to 10% will be admitted.

3º. For the amounts used in excess of the limits established in the previous points, entities must pay a monthly charge of 0.50%, while they may deduct from the peso amount of the interest resulting from applying the interest rate indicated in point 1 of Circular REMON - 1 - 27 (Communication “A” 153) 0.25% monthly of the amounts in which the monthly average of fixed-term nominative non-transferable deposits adjustable in the medium term exceeds the monthly utilization of the loan line.”

We salute you very attentively.
BANCO CENTRAL DE LA REPÚBLICA ARGENTINA
Néstor J. Taró
Manager of Standards for
Financial Entities
Danial E. de Pablo
Deputy General Manager