JPRFM-2026-017-S — Approves Amendments to the First and Third Transitional Provisions of Chapter VII "Norm on Maximum Investment Segments and Percentages"

THE FINANCIAL AND MONETARY POLICY AND REGULATION BOARD CONSIDERING:
That, Article 226 of the Constitution of the Republic of Ecuador stipulates that public officials and persons acting under state authority shall exercise only the competencies and powers attributed to them in the Constitution and the Law; That, Article 227 ibid states that the Public Administration constitutes a service to the community governed by the principles of effectiveness, efficiency, quality, hierarchy, coordination, planning, among others; That, the first paragraph of Article 303 of the constitutional norm determines that the formulation of monetary, credit, exchange, and financial policies is the exclusive authority of the Executive Branch and shall be implemented through the Central Bank of Ecuador; That, on October 13, 2025, the Organic Reform Law of the Organic Monetary and Financial Code was published in the Sixth Supplement of Official Register No. 142; That, Article 13 of the Organic Monetary and Financial Code creates the Financial and Monetary Policy and Regulation Board, part of the Executive Branch, as an entity with functional, technical, and institutional autonomy, and in its decisions, responsible for the formulation of monetary, credit, financial, securities, insurance, and prepaid comprehensive health care service policy and regulation. The Financial and Monetary Policy and Regulation Board shall be the highest governing body of the Central Bank of Ecuador; That, Article 17 of the aforementioned Code, in its pertinent part, determines that:
"(...) To fulfill these functions, the Board shall issue regulations in matters within its competence, without being able to alter legal provisions. The Financial and Monetary Policy and Regulation Board may issue regulations by segments, economic activities, and other criteria. It may even reform or repeal regulations from the defunct Monetary Policy and Regulation Board, Financial Policy and Regulation Board, or Monetary and Financial Policy and Regulation Board. All regulations and policies issued by the Financial and Monetary Policy and Regulation Board in the exercise of its functions, duties, and powers must be backed by duly substantiated technical and legal reports (...)";

That, Article 18 ibid establishes the specific functions of the Financial and Monetary Policy and Regulation Board. In particular, it empowers it to regulate the creation, constitution, organization, activities, operation, and liquidation of insurance entities; issue the prudential regulatory framework; enact regulations governing insurance and reinsurance; and apply the provisions of the Code, as applicable, based on proposals submitted by the respective superintendencies within their respective scopes of competence; That, Article 24 of the same Code provides that the acts of the Financial and Monetary Policy and Regulation Board enjoy the presumption of legality and shall be expressed through resolutions that will have mandatory force, which shall govern from their publication in the Official Register, or from the date of their issuance when the Board so determines, in accordance with the subject matter; That, Article 25.2 ibid determines that the Central Bank of Ecuador exercises the Technical Secretariat of the Financial and Monetary Policy and Regulation Board, and Article 25.3 establishes as its functions the preparation of technical and legal reports supporting regulatory proposals, providing technical and administrative support to the Financial and Monetary Policy and Regulation Board, and those otherwise assigned by said Board; That, Article 78 of the Organic Monetary and Financial Code establishes that the Superintendence of Companies, Securities and Insurance shall exercise surveillance, auditing, intervention, control, and supervision over the securities market, the insurance regime, and non-financial private legal entities; That, Article 22 of the Organic Monetary and Financial Code, Book III "General Insurance Law" establishes that insurance and reinsurance companies must maintain at all times the general or by-line solvency requirements regulated by the Board, considering among other factors mandatory investments. It further empowers said Board to issue the necessary regulations to apply the solvency regime, being able to determine the deadlines, conditions, measures, and actions necessary for its application;

That, General Provision Twenty-Ninth ibid states: "In existing legislation where reference is made, interchangeably, to the Monetary and Financial Policy and Regulation Board, the Monetary Policy and Regulation Board; or to the Financial Policy and Regulation Board, it shall be replaced and understood as 'Financial and Monetary Policy and Regulation Board'"; That, the First Transitional Provision of the Organic Reform Law of the Organic Monetary and Financial Code determines that the members of the Financial and Monetary Policy and Regulation Board, sworn in on September 16, 2025, by the National Assembly, will continue to exercise their functions for the periods they were designated for and will maintain their employment continuity and acquired rights; That, through Official Letter No. T.233-SGJ-25-098, dated September 5, 2025, signed by the Constitutional President of the Republic, addressed to the President of the National Assembly, the list of candidates for the designation of the Members of the Financial and Monetary Policy and Regulation Board was sent; as well as, the temporality of their stay within the initial period; That, the Plenary of the National Assembly, on September 16, 2025, designated and swore in the members of the Financial and Monetary Policy and Regulation Board, namely: Gustavo Estuardo Camacho Dávila; Silvia Daniela Moya Arteta; Roberto Javier Basantes Romero; and, María Isabel Camacho Cárdenas; That, the Superintendence of Companies, Securities and Insurance, through Official Letter No. SCVS-INS2026-00062329-O, dated April 1, 2026, submitted the Technical and Legal Report, dated March 31, 2026, in which, among other things, it requested the extension of the deadlines for the First and Third Transitional Provisions of Chapter VII "Norm on Maximum Investment Segments and Percentages", Title III "On the Surveillance, Control and Information of the Private Insurance System", Book III "Private Insurance System" of the Codification of Monetary, Financial, Securities and Insurance Resolutions; That, the Financial and Monetary Policy and Regulation Board, through extraordinary session No. 010-2026, held electronically on April 8, 2026, reviewed the proposal sent via Memorandum No. BCE-BCE-2026-0129-M, dated April 7, 2026, by the General Manager of the Central Bank of Ecuador to the President of the Financial and Monetary Policy and Regulation Board; as well as, Technical Report No. BCE-GEEE-029-2026/BCE-SEMF-032-2026, dated April 7, 2026;

and, Legal Report No. BCE GJ 0 37 202 6, dated April 07, 2026; and, In exercise of its functions and in accordance with Article 24 of the Organic Monetary and Financial Code, the Financial and Monetary Policy and Regulation Board, RESOLVES:
Article 1.- In the First Transitional Provision of Chapter VII "Norm on Maximum Investment Segments and Percentages", Title III "On the Surveillance, Control and Information of the Private Insurance System", Book III "Private Insurance System" of the Codification of Monetary, Financial, Securities and Insurance Resolutions, replace the text "one (1) year" with the following: "fifteen (15) months".
Article 2.- In the Third Transitional Provision of Chapter VII "Norm on Maximum Investment Segments and Percentages", Title III "On the Surveillance, Control and Information of the Private Insurance System", Book III "Private Insurance System" of the Codification of Monetary, Financial, Securities and Insurance Resolutions, replace the text "one (1) year" with the following: "fifteen (15) months".
FINAL PROVISION. - This resolution shall enter into force from its issuance, without prejudice to its publication in the Official Register.
The publication of this resolution on the institutional website and the updating of the Codification of Monetary, Financial, Securities and Insurance Resolutions are entrusted to the General Secretariat of the Central Bank of Ecuador.
NOTIFY AND PUBLISH. - Given in the city of Quito D.M., on April 08, 2026.
THE PRESIDENT
Mgs. Gustavo Estuardo Camacho Dávila

The aforementioned resolution was issued and signed by Master Gustavo Estuardo Camacho Dávila - President of the Financial and Monetary Policy and Regulation Board, in the city of Quito D.M., on April 08, 2026.- I CERTIFY.
TECHNICAL SECRETARIAT
Abg. Ninoska Geovanna Ceballos Pin