Circular REMON 1 - 974: Minimum Cash Requirements Adjustments

2019 - YEAR OF EXPORT

COMMUNICATION “A” 6728
01/07/2019

TO FINANCIAL INSTITUTIONS:

Ref.: Circular
REMON 1 - 974

Minimum cash. Adjustments.

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We address you to inform you that this Institution adopted the resolution that, in its pertinent part, provides:

“1. Reduce, with effect from 1.7.19, for all financial institutions, by 3 percentage points the minimum cash requirement rates in pesos provided in subparagraphs i) to iii) of points 1.3.5.1. and 1.3.7.1. and in point 1.3.9. of the rules on “Minimum cash”.

2. Provide that financial institutions may choose to integrate in the months of July and December of each year the transfers of the requirement not integrated in pesos of the previous month, maintaining the computation method in force for the requirement of each period (monthly or bimonthly average –as the case may be– of balances of the obligations included of the previous period).

For this purpose, those responsible for managing the entity's liquidity policy must inform the Superintendency of Financial and Exchange Institutions about the exercise of that option.”

Likewise, we inform you that we will subsequently send you the pages that, in replacement of those previously provided, should be incorporated into the reference rules.

We greet you attentively.

CENTRAL BANK OF THE ARGENTINE REPUBLIC

Darío C. Stefanelli
Principal Manager of Issuance and
Regulatory Applications
Agustín Torcassi
General Deputy Manager of Financial Regulation