Resolution 027/2006: Authorization of Monetization of Series G Banknotes

BOARD RESOLUTION NO. 027/2006
RESOLUTION NO. 027: MONETARY OPERATIONS MANAGEMENT - AUTHORIZES MONETIZATION OF "G" SERIES BANKNOTES

HAVING VIEWED:
Law No. 901 of November 28, 1986, which creates the "Boliviano" as the legal and mandatory unit of currency.
Law No. 1670 of October 31, 1995.
The Statute of the Central Bank of Bolivia of October 21, 2005.
The Regulation on Issuance, Exchange, and Destruction of Monetary Material, approved by Board Resolution No. 108/2001 of October 30, 2001.
The Banknote Printing Contract (Series G) SANO No. 159/2004 of September 29, 2004, and the SANO Addendum No. 267/2005 of December 23, 2005, signed between the BCB and the company Francois Charles Oberthur Fiduciaire. The Reports from the Monetary Operations Management STES No. 018/2006 of March 13, 2006 and STES No. 022/2006 of March 27, 2006. The Report from the Legal Affairs Management SANO No. 039/2006, of March 28, 2006.

CONSIDERING:
That Article 1 of Law No. 901 creates the Boliviano as the unit of the monetary system of the Republic, through banknotes and coins that the Central Bank of Bolivia will issue and circulate as legal tender, starting from January 1, 1987. That according to Article 10 of Law No. 1670, the Central Bank of Bolivia exercises exclusively and inalienably the function of issuing the monetary unit of Bolivia, in the form of banknotes and metallic coins.

That through Addendum SANOP No. 267/2005, the Central Bank of Bolivia and the company Francois Charles Oberthur Fiduciaire have agreed to increase the provision of banknotes foreseen in Contract SANO No. 159/2004, with the supplier company obligating itself to manufacture, print, and provide banknotes of the "G" series in denominations of Bs10, Bs20, Bs50, Bs100, and Bs200 for the Issuing Entity. That it is an attribution of the Board according to Article 54, subsection m) of Law No. 1670 and numeral 11 of Article 11 of the Statute, to authorize and supervise the issuance of banknotes. That Article 9 of the Regulation for the Issuance, Exchange, and Destruction of Monetary Material establishes that it is the faculty of the BCB Board to authorize the monetization of additional banknotes. That through Reports STES No. 018/2006 and STES No. 022/2006, the monetization of additional banknotes in denominations of Bs10, Bs20, Bs50, Bs100, and Bs200 is considered necessary. That in the opinion of the Legal Affairs Management according to Report SANO No. 039/2006, there is no legal impediment for the BCB Board, in accordance with its faculties and competencies, to approve the monetization of additional banknotes in denominations of Bs10, Bs20, Bs50, Bs100, and Bs200.

THEREFORE,
THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA RESOLVES:

Article 1.- Authorize the monetization of banknotes of the "G" series in denominations of Bs10, Bs20, Bs50, Bs100, and Bs200, according to the following detail:

DENOMINATION | NUMBER OF PIECES | VALUE IN Bs
200 | 200,000 | 40,000,000.00 100 | 550,000 | 55,000,000.00 50 | 450,000 | 22,500,000.00 20 | 650,000 | 13,000,000.00 10 | 600,000 | 6,000,000.00 TOTAL | 2,450,000 | 136,500,000.00

Article 2.- Designate Director Enrique Ackermann to represent the Board in the monetization act of the aforementioned material.

Article 3.- The Presidency and General Management are charged with the execution and compliance of this Resolution.

La Paz, March 30, 2006

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Juan Antonio Morales A.

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Enrique Ackermann A. Fernando Paz B.

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Jaime Apt B.