BANCO CENTRAL DE LA REPUBLICA ARGENTINA

__________________________________________________________________ COMUNICACIÓN "A" 3527 I 25/03/02 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
OPASI 2 – 298
REMON 1 - 752
Fixed-term deposits. Minimum capture terms. Deposits in dollars payable in pesos.
Minimum cash requirement

We address you to bring to your knowledge that this Institution adopted the following resolution:

"1. Replace point 1.10.1.1. of Section 1. of the regulations on "Fixed-term deposits and investments" with the following:
"1.10.1.1. In pesos or foreign currency:
i) Non-transferable.
Minimum: 7 days.
Peso deposits with a term of less than 14 days may only be established with cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits or with funds converted in the foreign exchange market from transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations.

The establishment of fixed-term peso deposits with funds from checking and savings accounts in pesos regarding balances not available in cash is also admitted, with a minimum term of 14 days. Upon maturity, the certificates may only be renewed or deposited in those accounts, an aspect that must be recorded in the document. ii) Transferable. Minimum 30 days. Peso deposits must be established with cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits or with funds converted in the foreign exchange market from transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations.

Foreign currency deposits may only be established with cash or with transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations.

Deposits in US dollars payable in pesos must be established with a term of 14 days or more with the deposit of cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits."

2. Replace point 1.8.2. of Section 1. of the regulations on "Fixed-term deposits and investments" with the following:
   "1.8.2. US dollars and euros.
   1.8.2.1. Payable in the same species.
   i) Total or partial cancellations must be effected in the same class of asset (bills or transfers) in which the funds were deposited.

ii) When the deposit has been made in bills, the depositor may opt, upon total or partial withdrawal, to receive bills or transfers.
1.8.2.2. Payable in pesos.

The effectiveness of the deposits and their cancellation -including agreed interest- will be carried out in pesos considering the "Reference exchange rate" reported by the Central Bank of the Republic Argentina for the business day prior to the deposit date and the maturity date, respectively."

3. Incorporate into Section 1. of the regulations on "Minimum cash" the following point:
   "1.3.16. Fixed-term deposits in US dollars payable in pesos. 0"

4. Incorporate into Section 2. of the regulations on "Minimum cash" the following point:
   "2.5. Additional retribution.
   An interest rate equivalent to 0.75 times the average monthly rate resulting from the daily survey conducted by the Central Bank of the Republic Argentina for fixed-term peso deposits for terms of 7 to 59 days will be recognized, without exceeding the average rediscount rate in effect during the month under report, applied to the lesser amount between:

i) the monthly average of daily balances registered in the accounts referred to in points 2.1.2. and 2.1.4., and ii) the minimum cash requirement corresponding to fixed-term peso deposits of 14 days or more included in point 1.3.8. of Section 1. To the sum obtained as provided above, the amount resulting from applying to the computable base value -paragraph i) or ii)- the average monthly rate used to settle interest on a daily basis on those accounts will be deducted. The settlement and crediting will be carried out monthly in arrears in accordance with what the relevant information regime establishes."

5. Revoke point 6. of the resolution disseminated by Communication "A" 3443."

We greet you very respectfully.
BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Alfredo A. Besio José Rutman
Manager of Emission Principal Manager of of Norms Norms and Authorizations

ANNEX

SUMMARY TABLE OF THE DIFFERENT FIXED-TERM INVESTMENT ALTERNATIVES Currency | Source of Funds | Minimum Term | Reserve Requirement | Interest Rate --- | --- | --- | --- | --- Pesos | Debit to account | 14 days | 40% | Special * According to general regulations | n/a | Freely agreed Pesos | Cash * | 7 days | 9%-7%-5% | Normal According to general regulations | n/a | Freely agreed Foreign Currency (bills / foreign transfer excl. Foreign Trade) | Cash * | 7 days | 9%-7%-5% | Normal Pre/Post Export Financing / "Call" in u$s / LEBAC in u$s | Increase in Minimum Cash Requirement in u$s | Freely agreed Foreign Currency (constitution and settlement in $) | Cash * | 14 days | 0% | Normal | LEBAC u$s (BCRA Letter in u$s) Charge = 2 times the cut-off rate of LEBAC in $

• Cash + Transfers from abroad not linked to foreign trade + unused withdrawal margin from cash deposits (available).
  9% for 7 to 13 days, 7% for 14 to 29 days and 5% for 30 or more days.
• Equivalent to 75% of the survey (of the BCRA) of Fixed Term in $ for 7/59 days (without exceeding the rate charged by the BCRA for rediscounts).

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term.
1.8.2. US dollars and euros.
1.8.2.1. Payable in the same species.
i) Total or partial cancellations that are carried out must be effected in the same class of asset (bills or transfers) in which the funds were deposited. ii) When the deposit has been made in bills, the depositor may opt, upon total or partial withdrawal, to receive bills or transfers.
1.8.2.2. Payable in pesos.
The effectiveness of the deposits and their cancellation -including agreed interest- will be carried out in pesos considering the "Reference exchange rate" reported by the Central Bank of the Republic Argentina for the business day prior to the deposit date and the maturity date, respectively.
1.8.3. Other currencies.
At the request of the entities, the Central Bank of the Republic Argentina may authorize the capture of fixed-term deposits in other currencies.
For cancellations, the criterion referred to in point 1.8.2. will apply.
1.8.4. Public and private securities.
i) They may only be captured by banks and financial companies. ii) They must have normal and habitual quotation in the country or abroad, widely disseminated and easily accessible to public knowledge. iii) Private securities must have a public offering authorized by the National Securities Commission.
1.9. Remuneration.
1.9.1. Fixed-rate deposits.
According to the rate freely agreed upon.
1.9.2. Deposits with variable interest clauses (only in pesos and US dollars).
Version: 3rd Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term.
1.9.2.1. Basic remuneration.
It will be equivalent to:
i) The interest rate resulting from any of the following surveys conducted (in pesos or US dollars) by the Central Bank of the Republic Argentina:
a) Fixed-term deposits of 30 days or more (average). b) Loans to holders of the non-financial or financial sector.
On the average rate of this option, depositary entities may apply the discount percentage they freely agree with the depositor, which must remain unchanged during the total agreed term. c) Obligations incurred with banks abroad, linked or not, (average). d) Offered between banks - Buenos Aires. ii) LIBOR for segments of 30 days or more. To this end, each entity may consider the level in effect on one of the days in the period between 2 and 5 immediate banking business days prior to the start date of each computation sub-period, which cannot be less than 30 days. This option will remain fixed for the entire term of validity of the deposit. Once the level is determined, the rate must remain unchanged for a term of no less than 30 days.
1.9.2.2. Additional remuneration.
The number of points that depositary entities freely agree with depositors, which must remain unchanged during the total agreed term.
1.9.2.3. Record.
In the body of the document instrumenting the deposit, the basic parameter used must be clearly determined, including the fixed days of advance for which each operation has opted, the additional points that will govern it, as well as the duration of the agreed sub-periods. Version: 2nd Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term.
1.9.3. Settlement.
It must be carried out from the date of receipt of the deposit (or from the maturity of the previous agreed payment sub-period) until the day of maturity of the deposit (or of each sub-period). In the case of securities deposits, interest will be calculated on the nominal values, paid in the currency agreed upon when making the deposit, at the maturity of the operation, converted according to the last closing quote in pesos (spot) in the securities market where they are quoted.
1.9.4. Payment.
1.9.4.1. At final maturity for deposits with terms less than 180 days.
1.9.4.2. Periodic payment of accrued interest before the maturity of the deposit is admitted, provided it is made in arrears, with a frequency of no less than 30 days and refers to deposits with terms of 180 days or more.
1.10. Term.
1.10.1. Fixed interest rate deposits.
1.10.1.1. In pesos or foreign currency.
i) Non-transferable.
Minimum: 7 days.
Peso deposits with a term of less than 14 days may only be established with cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits or with funds converted in the foreign exchange market from transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations. The establishment of fixed-term peso deposits with funds from checking and savings accounts in pesos regarding balances not available in cash is also admitted, with a minimum term of 14 days. Upon maturity, the certificates may only be renewed or deposited in those accounts, an aspect that must be recorded in the document. Version: 3rd Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term. ii) Transferable.
Minimum: 30 days.
Peso deposits must be established with cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits or with funds converted in the foreign exchange market from transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations. Foreign currency deposits may only be established with cash or with transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations. Deposits in US dollars payable in pesos must be established with a term of 14 days or more with the deposit of cash or with a debit to checking or savings accounts charged against the available cash margin or with a debit to special accounts for cash deposits.
1.10.1.2. Public and private securities.
The term freely agreed upon.
1.10.2. Deposits with variable interest clauses.
Minimum: 120 days.
Longer terms must be multiples of the computation sub-period chosen to determine the applicable rate, in accordance with point 1.9.2.1.
1.11. Cancellation of the operation.
1.11.1. The documents used to finalize the cancellation of an operation must meet the characteristics of a receipt, which, in the case of certificates, may be inserted in the same form. At the request of the interested party, a duplicate of the document will be delivered.
When deposits are formalized by crediting to an account or in a non-personal manner, the credit in the account indicated by the client will constitute satisfactory proof. Version: 2nd Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term.
1.11.2. Non-transferable deposits cannot be withdrawn, totally or partially, before their maturity.
1.12. Automatic renewal.
1.12.1. Holders of non-transferable registered fixed-term deposits may authorize the reinvestment of the deposited capital for successive predetermined periods, equal or not, subject to the regulations in effect at the time of renewal.
1.12.2. Reinvestment may include accrued interest that will be capitalized.
If not included, interest must be credited, at the end of each period, to the account indicated by the client.
1.12.3. The authorization for automatic renewal must be issued in writing at the time of the deposit's establishment.
When the certificate remains in custody with the entity, renewal may be ordered by other means (telephone, "internet", electronic, etc.). Entities must have implemented computer security mechanisms that guarantee the genuineness of operations.
1.12.4. The authorization will remain valid until new notice, in writing or by other agreed means, or until the holder presents themselves for payment at the corresponding maturity.
1.12.5. The entity will adequately preserve records related to orders given by the client.
1.12.6. Deposit certificates will not be issued nor will new fund entries be registered for renewals.
1.13. Transmission.
Transferable registered certificates issued in accordance with what is provided in Law 20.663 and these regulations, will be transferable by endorsement that precisely indicates the beneficiary and the date on which the transmission takes place. Endorsements to bearer or in blank will not be valid.
1.14. Secondary negotiation.
1.14.1. Financial entities may intermediate or purchase transferable certificates, provided that from the date of issuance or last negotiation or transfer, whatever the reason for them, a period has elapsed -as appears from the document itself- of no less than 30 days, except when it concerns operations between entities.
Version: 2nd Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM B.C.R.A. Section 1. Fixed-term.
1.14.2. Certificates acquired by the issuing entities themselves will be charged against the respective deposit, which must be cancelled.
1.14.3. Financial entities that make use of rediscounts or advances from the Central Bank of the Republic Argentina for temporary illiquidity situations cannot acquire fixed-term deposit certificates or fixed-term investments -in pesos, in foreign currency or securities- issued by them, even if the minimum term of 30 days has elapsed from the date of issuance or last negotiation or transfer, while those facilities remain in effect.
1.15. Prohibitions.
1.15.1. The following deposits will not be admitted:
1.15.1.1. Established in the name of other financial entities included in the Financial Entities Law.
1.15.1.2. With automatic renewal (except that provided in point 1.12.) with indefinite term or with the obligation to return them before their maturity.
1.15.1.3. With maturities that fall on non-business days. When the maturity day is declared non-business after the deposit date, it may be renewed with value to that day, or extend its maturity and correlative interest settlement at the agreed rate, until the next business day.
1.15.1.4. From residents or non-residents in the country, under any mode of arrangement and through associated agreements -formalized or not-, implying that the return of deposited funds is guaranteed by another financial entity, except in cases specifically admitted by the Central Bank of the Republic Argentina.
1.15.2. Participations.
Financial entities cannot extend participations -whatever their concept- on one or more deposit certificates.
1.16. Publicity of regulations.
Financial entities will display, for public knowledge and in places visible to them, the current regulations on fixed-term deposits.
Version: 1st Communication "A" 3527 Validity:
25.03.02

DEPOSITS AND INVESTMENTS AT FIXED TERM
ORDERED TEXT ORIGIN NORM
Sec. Point Para. Com. Annex Cap. Sect. Point Para. OBSERVATIONS
1.7. “A” 1653 I 3.4.1.
1.7.1. “A” 1653
“A” 1913
I 3.4.2.
2. 2°
1.7.2. “A” 3043
1.8.1. "A" 1199 I 3.
1.8.2. “A” 1820 I 3.2. 2° S/Com. “A” 3293 and
“A” 3527.
1.8.3. “A” 1820 I 3.2. 1°
1.8.4. “A” 1465 I 2
1.8.4. i) “A” 2275 2. 1°
1.8.4. ii) “A” 2275 2.1.
1.8.4. iii) “A” 2275 2.1.
1.9.1. “A” 1465
“A” 1653
“A” 1820
I
2.1.2.
3.1.1.2.
3.3.1.2.
3.4.
1.9.2.1. “A” 2188 2.1. 1° S/Com. ”A” 2962
pt. 2.1.
1.9.2.2. “A” 2188 2.1. 2° S/Com. ”A” 2962
pt. 2.2.
1.9.2.3. “A” 2188 2.3. S/Com. ”A” 2962
pt. 2.2.
1.9.3. 1° “A” 1199 I 5.3.2.
2° “A” 1465 I 2.1.2. 2°
1.9.4.1. “A” 1199 I 5.3.2.
1.9.4.2. “A” 2482 2.
i) “A” 1653
“A” 1820
“A” 2061
I 3.1.1.1.
3.3.
1.1.1.
S/Com. “A” 3485 and
“A” 3527.
1.10.1.1. ii) “A” 1653
“A” 1820
I 3.3.1.1.
3.3.
S/Com. “A” 3485 and
“A” 3527.
1.10.1.2. “A” 1465
“A” 1603
“A” 2275
I 2.1.1.
5.
2.
1.10.2. “A” 2188 1.
1.11.1. 1° “A” 1653 I 3.4.13.2.
2° “A” 3043
1.11.2. "A" 1653 I 3.4.13.1.
1.12.1. “A” 1653 I 3.4.13.3. 1°
1.12.2. “A” 3043
1.12.3. 1° “A” 1653 I 3.4.13.3.1.
1.12.3. 2° "A" 3043
1.12.4. “A” 1653 I 3.4.13.3. 1°
1.12.5. “A” 3043
1.12.6. “A” 1653 I 3.4.13.3.4.
1.13. “A” 1653 I 3.3.3.1.
1.14.1. “A” 1653
“A” 1820
“A” 2064
I
I 3.3.3.2.
3.8.
1°
1° last

B.C.R.A. ORDERED TEXT OF THE REGULATIONS ON
MINIMUM CASH
-IndexSection 1. Requirement.
1.1. Obligations included.
1.2. Application base.
1.3. Minimum cash.
1.4. Specific increases in requirement due to liability concentration.
1.5. Transfers.
1.6. Requirement due to deposit increase.
1.7. Deductible concept.
1.8. Defect in application of foreign currency resources.
Section 2. Integration.
2.1. Admitted concepts.
2.2. Computation.
2.3. Maximum computation limit.
2.4. Minimum daily integration.
2.5. Additional retribution.
Section 3. Non-compliance.
3.1. Charge.
3.2. Framing programs.
3.3. Regularization and sanitation plans.
Section 4. Basis for observance of regulations.
4.1. Individual base.
Section 5. Responsible parties and sanctions.
5.1. Responsible for liquidity policy.
Version: 6th Communication “A” 3527 Validity:
25.03.02

MINIMUM CASH B.C.R.A. Section 1. Requirement.
1.3.9. Deposits included in the “Deposit rescheduling regime” regarding installments whose maturity operates until the eleventh month following the computation period, except those included in point 1.3.13. 40
1.3.10. Deposits included in the “Deposit rescheduling regime” regarding installments whose maturity operates from the twelfth month following the computation period, except those included in point 1.3.13. 0
1.3.11. Obligations from foreign financial lines, including obligations with correspondents. 0
1.3.12. Negotiable obligations. 0
1.3.13. Rescheduled deposits ceded by other financial entities, maintained under rescheduling conditions, due to the execution of the operation provided in point 5. of the “Deposit rescheduling regime”. 100
1.3.14. Fixed-term deposits established with cash, with debit from "special accounts for cash deposits", or with transfers received from abroad eligible to be paid in cash, not linked to foreign trade operations, except those included in point
1.3.16.:
i) From 7 to 13 days ii) From 14 to 29 days iii) From 30 days or more 9 7 5
1.3.15. Obligations from "acceptances" if there is the entry of cash, or by debit from "special accounts for cash deposits", or from transfers received from abroad eligible to be paid in cash, not linked
to foreign trade operations:
i) From 7 to 13 days ii) From 14 to 29 days iii) From 30 days or more 5 4 3
1.3.16. Fixed-term deposits in US dollars payable in pesos. 0
1.4. Specific increases in requirement due to liability concentration.
When an excessive concentration of liabilities (in holders and/or terms) is verified, which implies a significant risk regarding the individual liquidity of the financial entity and/or has an important negative effect on systemic liquidity, additional minimum cash requirements may be set on the liabilities included in the financial entity and/or those complementary measures deemed pertinent. Version: 7th Communication “A” 3527 Validity:
25.03.02

MINIMUM CASH. B.C.R.A. Section 2. Integration.
2.3. Maximum computation limit.
For the purpose of determining the integration of the requirement in foreign currencies, up to 50% of the cash (banknotes and coins, in the entity's offices, in custody with other financial entities, in transit, and in cash transport companies) will be admitted for computation.

2.4. Minimum daily integration.
On no day of the month shall the sum of the balances of the concepts admitted as integration, recorded at the close of each day, be less than 60% of the total minimum cash requirement, excluding the requirement for deposit increases, determined for the immediately preceding month, recalculated based on the requirements and concepts in effect in the month to which the reserves correspond, without considering the effects of the application of what is provided in point 1.5.1. of Section 1.

This daily requirement shall be 70% when a monthly average integration deficiency exceeding the allowed transfer margin has been recorded in the previous computation period.

To the amount obtained as applicable, the requirements for deposit increases referred to in point 1.6. of Section 1. shall be added, which must be integrated exclusively in the current account in pesos opened at the Central Bank of the Argentine Republic, on the third business day following the calculation.

2.5. Additional remuneration.
An interest rate equivalent to 0.75 times the average monthly rate resulting from the daily survey conducted by the Central Bank of the Argentine Republic for fixed-term peso deposits for terms of 7 to 59 days, not exceeding the average of the prevailing rediscount rates during the month under report, shall be recognized, applied to the lesser amount between:
i) the monthly average of daily balances registered in the accounts referred to in points 2.1.2. and 2.1.4., and ii) the minimum cash requirement corresponding to fixed-term peso deposits of 14 days or more included in point 1.3.8. of Section 1.

From the sum obtained as provided above, the amount resulting from applying the average monthly rate used to settle interest daily on those accounts to the computable base value -paragraph i) or ii)- shall be deducted. The settlement and crediting shall be carried out monthly in arrears in accordance with what the relevant information regime establishes.

Version: 8th Communication “A” 3527 Validity:
25.03.02

B.C.R.A. ORIGIN OF THE PROVISIONS INCLUDED IN THE ORGANIZED TEXT OF THE RULES ON MINIMUM CASH

ORGANIZED TEXT	ORIGIN RULE	OBSERVATIONS
Sec. Point Para. Com. Annex Sec. Point Para.
1.1. “A” 3274 II 1. 1.1.
1.1.1. “A” 3274 II 1. 1.1.1.	According to Com. “A” 3498
1.1.2. “A” 3274 II 1. 1.1.2.
1.1.3. “A” 3274 II 1. 1.1.3.	According to Com. “A” 3498
1.2. “A” 3274 II 1. 1.2.	According to Com. “A” 3304 and “A” 3498.
1.3. “A” 3274 II 1. 1.3.
1.3.1. “A” 3274 II 1. 1.3.1.	According to Com. “A” 3338, “A” 3417 and “A” 3498.
1.3.2. “A” 3274 II 1. 1.3.2.	According to Com. “A” 3338, “A” 3417 and “A” 3498.
1.3.3. “A” 3274 II 1. 1.3.3.	According to Com. “A” 3338, “A” 3399, “A” 3417 and “A” 3498.
1.3.4. “A” 3274 II 1. 1.3.4.	According to Com. “A” 3338, “A” 3417 and “A” 3498.
1.3.5. “A” 3274 II 1. 1.3.5.	According to Com. “A” 3338, “A” 3417 and “A” 3498.
1.3.6. “A” 3274 II 1. 1.3.6.	According to Com. “A” 3365 and “A” 3498.
1.3.7. “A” 3274 II 1. 1.3.7.
1.3.8. “A” 3498 único 1. 1.3.8.	According to Com. “A” 3506 – pt. 2.
1.3.9. “A” 3498 único 1. 1.3.9.
1.3.10. “A” 3498 único 1. 1.3.10.
1.3.11. “A” 3498 único 1. 1.3.11.
1.3.12. “A” 3498 único 1. 1.3.12.
1.3.13. “A” 3498 único 1. 1.3.13.
1.3.14. “A” 3506 3.
1.3.15. “A” 3506 3.
1.3.16. “A” 3527 3.
1.4. “A” 3274 II 1. 1.5.	According to Com. “A” 3498
1.5. “A” 3274 II 1. 1.6.
1.5.1. “A” 3274 II 1. 1.6.1.
1.5.2. “A” 3274 II 1. 1.6.2.	According to Com. “A” 3304.
1.6. “A” 3470 1.	According to Com. “A” 3498
1.7. “A” 3498 único 1. 1.7.	According to Com. “A” 3508 1.
1.8. “A” 3498 único 1. 1.8.
2.1. “A” 3274 II 2. 2.1.	According to Com. “A” 3498
2.1.1. “A” 3274 II 2. 2.1.1.	According to Com.