RegAlert2024-10-17 | A 8119Added
Circular OPRAC 1-1260 REMON 1-1121: Cash Operations, Term Operations, Repos, Pledges, Other Derivatives, and Investment Funds. Minimum Cash. Amendments.
Financial entities are authorized to conduct active stock pledge operations in pesos on authorized markets, and minimum cash requirement rates for passive stock pledge operations in pesos and money market fund demand deposits are increased by five percentage points, effective November 1, 2024. The Central Bank of the Argentine Republic updates consolidated regulatory texts to reflect these changes and incorporates specific provisions regarding the integration of minimum cash requirements using national public titles and Liquidity Fiscal Letters (LELIQ). These amendments apply to all financial entities subject to the referenced circulars, modifying their operational permissions and reserve calculation methodologies.
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"YEAR OF THE DEFENSE OF LIFE, LIBERTY, AND PROPERTY" COMMUNICATION “A” 8119 17/10/2024 TO FINANCIAL ENTITIES:
Ref.: Circular
OPRAC 1-1260,
REMON 1-1121:
Cash Operations to be Settled and Term Operations, Repos, Pledges, Other Derivatives, and Investment Funds. Minimum Cash. Amendments. ___________________________________________________________________________ We address you to inform you that this Institution has adopted the resolution that, in its pertinent part, establishes:
“1- To provide that financial entities may carry out active stock pledge operations in pesos on stock exchanges and markets authorized by the National Securities Commission. 2- To increase, with effect from 01/11/24, by 5 (five) percentage points the minimum cash requirement rates applicable to:
a) Passive stock pledge operations in pesos, and b) Peso demand deposits constituting the liabilities of money market common investment funds (money market).” In this regard, we provide you with the sheets that, in replacement of those previously provided, must be incorporated into the consolidated texts of the reference. In this sense, we remind you that on this Institution’s website www.bcra.gob.ar, by accessing “Financial System - LEGAL AND REGULATORY FRAMEWORK - Consolidated texts and summaries - Consolidated texts of general regulations”, the modifications made with text highlighted in special characters (strikethrough and bold) can be found. We salute you attentively. CENTRAL BANK OF THE ARGENTINE REPUBLIC Darío C. Stefanelli Marina Ongaro Principal Manager of Issuance and Normative Applications Deputy General Manager of Financial Regulation
ANNEX
Financial entities may carry out stock pledge operations –solely in pesos– passive –liability– and active –asset– on stock exchanges and markets authorized by the National Securities Commission. B.C.R.A. CASH OPERATIONS TO BE SETTLED AND TERM OPERATIONS, REPOS, PLEDGES, OTHER DERIVATIVES, AND INVESTMENT FUNDS
Section 5. Pledges.
Version: 4th. COMMUNICATION “A” 8119 Validity:
18/10/2024 Page 1
CASH OPERATIONS TO BE SETTLED AND TERM OPERATIONS, REPOS, PLEDGES, OTHER DERIVATIVES, AND INVESTMENT FUNDS CONSOLIDATED TEXT SOURCE REGULATION OBSERVATIONS Sec. Point Para. Com. Annex Sec. Point Para. 4.
4.5.2.1. “A” 1465 I 1.2.1. and
5.2. 1°
According to Com. “A” 2061,
2064, 2181 and 2275.
4.5.2.2. “A” 1465 I 1.2.4. According to Com. “A” 6472.
Includes interpretative clarification.
4.5.2.3. “A” 1465 penultimate
According to Com. “A” 6472.
Includes interpretative clarification.
4.5.3. “A” 1590 I 1.2.
4.5.3.1. “A” 1590 I 1.2.1. and
4.2. 1°
According to Com. “A” 2181.
4.5.3.2. “A” 1590 I 1.2.3.
4.5.3.3. “A” 1590 I 1.2.5. According to Com. “A” 6472.
Includes interpretative clarification.
4.5.3.4. “A” 1590 I 1.2.6. According to Com. “A” 6472.
Includes interpretative clarification.
4.6. “A” 6472 Includes interpretative clarification.
5.
“A” 2061 5. According to Com. “A” 1746,
1769, 2064, 2181,
2275, 2286, 2356,
2393, 2771, 6472,
6978, 7683 and 8119.
6.
6.1. “A” 2461 unique IV 2° and
last
According to Com. “A” 5740 and
6472.
6.2. “A” 2461 unique IV 1° According to Com. “A” 5740 and
6472.
6.3. “A” 6663 1.
7.
7.1. 1° “B” 5484 1° and
2°
According to Com. “A” 2953
(point 2., para. 1°).
2° “B” 5484 2° According to Com. “A” 2953
(point 2., para. 2°).
7.2.1. “A” 3027
7.2.1.1. “A” 2953 1. 1° According to Com. “A” 2996
(Annex, point 1., para.
1°).
7.2.1.2. i) “A” 2953 1. 1° According to Com. “A” 2996
(Annex, point 1., para.
2° b), 3558 and 7234. ii) “A” 7234 1. According to Com. “A” 7341. iii) “A” 7341 1. iv) “A” 7430 According to Com. “A” 7937. 5° “A” 7234 1. According to Com. “A” 7341 and 7430. last “A” 7234 2. According to Com. “A” 7341.
7.2.2. “A” 2996 unique 2.
7.2.2.1. “A” 2953 1. 2° According to Com. “A” 2996
(Annex, point 2., para.
1°), 6522 and 6523.
Concept
Rates in %
Group A and
G-SIB not included in that group
Remaining entities
1.3.8. Special deposits linked to the inflow of funds from
abroad – Decree 616/05.
100 100
1.3.9. Time investments instrumented in non-transferable named certificates, in pesos, corresponding to holders of the
public sector who have the right to exercise the option of early cancellation within a period of less than 30 days counted from their constitution. 25 11
1.3.10. Time deposits and investments of “UVA” and “UVI”
–including savings accounts and debt securities (including bonds) in “UVA” and “UVI”–, according to their residual term. i) Up to 29 days. 7 7 ii) From 30 to 59 days. 5 5 iii) From 60 to 89 days. 3 3 iv) 90 or more. 0 0
1.3.11. Labor Termination Fund for Workers in the
Construction Industry in “UVA”.
7 7
1.3.12. Time deposits and investments constituted in the name of minors with funds received free of charge.
0 0
1.3.13. Peso demand deposits constituting the liabilities of
money market common investment funds (money market).
20 20
1.3.14. Peso deposits in accounts of payment service providers that offer payment accounts (PSPOCP) in
which their clients' funds are deposited. 100 100
1.3.15. Deposits in special accounts:
1.3.15.1. In pesos (“Special accounts for holders with
agricultural activity” and “Special accounts for exporters”).
0 0
1.3.15.2. In US dollars (“Special accounts to
accredit export financing”). 0 0
B.C.R.A. MINIMUM CASH
Section 1. Requirement
Version: 38th. COMMUNICATION “A” 8119 Validity:
01/11/2024 Page 7
i. Entities included in Group A and branches or subsidiaries of G-SIBs not included in that group:
a) up to 9 percentage points of the rate provided in subsection i) of point 1.3.5.1.; b) up to 7 percentage points of the rate provided in subsection ii) of point 1.3.5.1.; c) up to 3 percentage points of the rates provided in subsections i) to iii) of point 1.3.10.; and d) up to 2 percentage points of the rate provided in subsection iii) of point 1.3.5.1.
ii. Entities not included in the preceding subsection:
a) up to 3 percentage points of the rates provided in subsection i) of point 1.3.5.1., and in subsections i) to iii) of point 1.3.10.; and b) up to 2 percentage points of the rate provided in subsection ii) of point 1.3.5.1.
1.3.18. Passive stock pledge operations in pesos:
- up to 29 days residual term: 20%, and
- from 30 days residual term: 15%.
Furthermore, the integration of the minimum cash requirement in pesos –of the period and daily– that these regulations allow to be carried out with national public titles in pesos –including those adjustable by the CER and with dual currency yield (BONO DUAL) and excluding those linked to the evolution of the US dollar and the Liquidity Fiscal Letters (LeFi)– acquired by primary subscription, may be carried out with those titles, of residual term not less than 300 days nor greater than 730 calendar days at the time of subscription, received in operations of exchange arranged by the National Government for titles acquired both by primary subscription and in the secondary market. To be admitted for integration with “National Treasury Bonds in pesos due May 23, 2027”, “National Treasury Bonds in pesos due November 23, 2027”, “National Treasury Bonds in pesos due August 23, 2025” and national public titles in pesos –including those adjustable by the CER and excluding those linked to the evolution of the US dollar and the Liquidity Fiscal Letters (LeFi)–, LELIQ and/or NOBAC as provided in points 1.3.7.1., 1.3.16. and 1.3.17., must be valued at market prices –regardless of the valuation criterion for their accounting registration– and must be deposited in Subaccount 60 minimum cash enabled in the Central registry and settlement of public debt instruments, monetary regulation and financial trusts (CRyL). Additionally, LELIQ effectively used to integrate guarantees to cover the net debtor balances arising in the compensation processes of the peso operations of the electronic compensation chambers, without exceeding 50% of the guarantees required for each product, will also be admitted for the integration of the minimum cash requirement in pesos provided in points 1.3.7.1. and 1.3.17. B.C.R.A. MINIMUM CASH
Section 1. Requirement
Version: 29th. COMMUNICATION “A” 8119 Validity:
01/11/2024 Page 9
MINIMUM CASH
CONSOLIDATED TEXT SOURCE REGULATION OBSERVATIONS Sec. Point Para. Com. Annex Sec. Point Para. 1.
1.3.7. “A” 3549 According to Com. “A” 4179, 4388,
4549, 4851, 5356, 5534, 5555,
5569, 5873, 5893, 5980, 6195,
6526, 6532, 6616, 6706, 6728,
6740, 6817, 7016, 7290, 7295,
7383, 7432, 7511, 7536, 7545,
7614, 7637, 7717, 7767, 7775,
7923 and 8061.
1.3.8. “A” 4360 2. According to Com. “A” 5356 and 6616.
1.3.9. “A” 4754 6. According to Com. “A” 5356, 5980,
6195, 6526, 6532, 6616, 6728 and
7536.
1.3.10. “A” 5945 4. According to Com. “A” 6069, 6204 and
6616.
1.3.11. “A” 6341 According to Com. “A” 6616.
1.3.12. “A” 6069 4. According to Com. “A” 6616.
1.3.13. “A” 6992 According to Com. “A” 7988, 8000 and
8119.
1.3.14. “A” 7429
1.3.15. “A” 7556 4. According to Com. “A” 7570 and 7571.
1.3.16. “A” 6526 According to Com. “A” 6532, 6550,
6587, 6616, 6706, 7016, 7290,
7511, 7536, 7611, 7637 and 7767.
1.3.17. “A” 6550 According to Com. “A” 6556, 6559,
6575, 6587, 6616, 6706, 6738,
6740, 6817, 7018, 7029, 7047,
7092, 7290, 7295, 7383, 7432,
7511, 7536, 7545, 7573, 7614,
7717, 7775, 7923 and 8061.
1.3.18. “A” 8000 1. According to Com. “A” 8119.
1.3. Penultimate
“A” 7717 1. According to Com. “A” 8061.
Antepenultimate
“A” 6526 According to Com. “A” 6532, 6556,
6569, 6575, 6587, 6616, 6628,
6740, 7016, 7290, 7295, 7511,
7536, 7573, 7637, 7767 and 8061.
Last “A” 7742 Includes regulatory clarification.
1.4. “A” 3905 3. According to Com. “A” 4179, 4449,
4473, 5671, 5740, 6232, 6349,
6719, 6871 and 7046.
1.5. “A” 5356 2. According to Com. “A” 5471.
1.5.1. “A” 5356 2. According to Com. “A” 5471, 5623,
6531, 6703, 6705, 7432, 7758 and
7983 and 8021.
1.5.2. “A” 7161 5. According to Com. “A” 7432, 7459,
7474, 7491, 7536, 7561 and 7983.
1.5.3. “A” 7254 1. According to Com. “A” 7287, 7536,
7970 and 8057. Includes regulatory clarification.
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