Circular SGDB No. 032/2018: Instruction for the Exchange of Boliviano Banknotes

BCB.030-VUC
BANCO CENTRAL DE BOLIVIA
PLURINATIONAL STATE OF BOLIVIA

EXTERNAL CIRCULAR

La Paz, September 17, 2018
SGDB No. 032/2018

FROM: GENERAL MANAGEMENT
TREASURY MANAGEMENT

TO: FINANCIAL INTERMEDIATION ENTITIES AND THE GENERAL PUBLIC

INSTRUCTION FOR THE EXCHANGE OF BOLIVIANO BANKNOTES

SUBJECT:

Ladies and Gentlemen:

In accordance with Article No. 328, paragraph 4 of the Political Constitution of the State; Article 3 of Law No. 901 of November 28, 1986; and Article 10 of Law No. 1670 of October 31, 1995, the Central Bank of Bolivia is the sole institution with the exclusive and non-delegable function of issuing the monetary unit of Bolivia, which is "The Boliviano," in the form of banknotes and metallic coins.

In this sense, with the competence granted to it by the Political Constitution of the State and the corresponding laws, it communicates to all Financial Intermediation Entities (FIEs) and the general public the following:

Exchange of banknotes torn at the signatures and/or serial numbers:

FIEs shall carry out the exchange of Boliviano banknotes, in accordance with what is established in Board Resolution No. 110/2018 of August 21, 2018 "New Regulation for the Exchange and Fragmentation of Monetary Material of the Central Bank of Bolivia," regardless of whether the banknotes are torn at the part of the signatures or serial numbers, provided that these elements are complete and form part of the same banknote.

II. Exchange of banknote fraction:

In the event that a client carries out the exchange at an FIE of one or more Boliviano banknotes that are missing a part but clearly retain their two signatures and a serial number, the FIE will fill out the Exchange of Fraction of Banknote Act (attached) with the data of the client (applicant) who presented the mutilated banknote.

Subsequently, the applicant will sign the Exchange of Fraction of Banknote Act, which is a Sworn Declaration, together with the FIE official responsible for the preparation of said document, and a copy of the same will be provided to the applicant, attaching a photocopy of the mutilated banknote.

Within the maximum deadline of three (3) business days following the exchange, these documentary records must be sent to the Treasury Management, Sub-Management of Analysis and Programming of Monetary Material of the Central Bank of Bolivia, additionally attaching a photocopy of the Identity Card or passport of the person carrying the mutilated banknote, for statistical and analysis purposes.

This Circular shall apply from October 1, 2018, throughout the territory of the Plurinational State of Bolivia.

Sincerely,

SERGIO M. CEREZO-AGUIRRE
TREASURY MANAGER
CENTRAL BANK OF BOLIVIA

CC: File

Calle Ayacucho esquina Mercado - Teléfono: (591-2) 2409090 - Fax: (591-2) 2661590 www.bcb.gob.bo - bancocentraldebolivia@bcb.gob.bo - La Paz - Bolivia