Resolution 052/98 Approves 1998 Monetary Program

BOARD RESOLUTION NO. 052/98
SUBJECT: ECONOMIC POLICY ADVISORY - APPROVES
MONETARY PROGRAM MANAGEMENT 1998.

HAVING REVIEWED:
Law No. 1670 of the Central Bank of Bolivia of October 31, 1995.
Report No. 80/98 of the Economic Policy Advisory dated March 17, 1998.
Report LEGAL No. 103/98 of the Legal Advisory dated March 23, 1998.

CONSIDERING:
That Law No. 1670 of October 31, 1995, establishes that the Central Bank of Bolivia must formulate policies of general application in monetary, exchange, and financial intermediation matters.

That in November of last year, technicians from the Central Bank of Bolivia and the International Monetary Fund (IMF) prepared a draft Monetary Program for 1998, which is part of the expanded Structural Adjustment Program with said international financial organism.

That in order to correct the deviations presented in the first quarter of 1998, the targets of the aforementioned Monetary Program have been modified for the second and third quarters of 1998.

That according to the Agreement signed with the IMF, the liquidation of BIDESA will require adjusting the 1998 Monetary Program, with a decrease in NAR (Net Domestic Assets) and an increase in CIN (Net International Reserves).

That on this basis, the Economic Policy Advisory of the BCB elaborated the Revised Monetary Program for 1998, recommending to the Board, in accordance with the attached documentation, its respective approval.

//2. B.D. No. 052/98

THEREFORE

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Approve the Monetary Program for the 1998 management period, whose targets and projections are detailed in the charts attached to this Resolution.

Article 2.- The Economic Policy Advisory will report quarterly to the Board on the fulfillment of targets regarding the 1998 Monetary Program.

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

La Paz, May 12, 1998

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Juan Antonio Morales A.

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Armando Pinell S. Jaime Ponce G.

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Juan Medinaceli V. Fernando Campero P.