Resolution 060/2005 — BCB — BO

BOARD RESOLUTION NO. 060/2005
SUBJECT: MONETARY OPERATIONS MANAGEMENT –
RENEWS CREDIT TO THE GENERAL TREASURY OF THE
NATION TO MEET TEMPORARY LIQUIDITY NEEDS OF Bs100,000,000.-

SEEN:
The Law No. 1670 of October 31, 1995.
The Board Resolution No. 021/2005 of February 1, 2005, which approves the Regulations on Credits to the Public Sector.
The Memorandum of Understanding signed between the BCB and the Ministry of Finance on January 18, 2005.
The Board Resolution No. 028/2005 of February 22, 2005.
The Private Contract SANO 047/2005 of February 25, 2005.
The note from the Ministry of Finance D.G.C.P. 05-016 D.D.I. OF. No. 1391/05 of May 5, 2005.
The Report from the Monetary Operations Management GOM-SOSP-TGN 012/2005 of May 9, 2005.
The Report from the Economic Policy Advisory APEC-SMyF 021/2005 of May 9, 2005.
The Report from the Legal Affairs Management SANO 112/2005 of May 10, 2005.

CONSIDERING:
That the Ministry of Finance, through note DGCP 05-016 D.D.I. OF. No. 1391/05, has requested the renewal of the credit of Bs100,000,000.-, to meet temporary liquidity needs.

That the Monetary Operations Management, in accordance with Article 5 of the Regulations on Credits to the Public Sector, has issued Report GOM-SOSP-TGN 012/2005 which recommends the conditions under which the credit renewal should be subject.

That the Economic Policy Advisory in its Report APEC-SMyF 021/2005, states that it is appropriate for the Board to consider the renewal of the liquidity credit for Bs100,000,000.-, for a term of 180 days with maturity on May 27, 2005, in view of the fact that the limit of liquidity credits provided for in the 2005 Memorandum of Understanding is met.

That the Legal Affairs Management, in its Report SANO No. 112/2005, opines that there is no legal impediment for the Board of the Issuing Entity to consider the approval of the first renewal of the credit to the TGN for an amount of Bs100,000,000, requested by the Ministry of Finance, through note D.G.C.P. 05-016 D.D.I. OF. No. 1391/05, prior to compliance with what is established in the Regulations on Credits to the Public Sector and the financing limits for the 2005 management fixed in the Memorandum of Understanding.

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

Article 1.- Approve the first renewal of the credit to the Ministry of Finance for the attention of temporary liquidity needs, under the following conditions:
Amount: Bs100,000,000.-
Interest Rate: 10.70%
Term: 270 days
Renewal Date: May 27, 2005
Maturity Date: February 21, 2006
Guarantee Instrument: Treasury Letters “C”.
Payment Method: Interest and principal, via automatic debit in the current accounts that the General Treasury of the Nation maintains at the Central Bank of Bolivia.

Article 2.- Authorize the President of the Central Bank of Bolivia to sign the respective contract with the Ministry of Finance.

Article 3.- The General Treasury of the Nation may carry out the total or partial early cancellation of the credit considering the accrued interest on the total of the Credit up to the date of early cancellation.

Article 4.- The Presidency and the General Management are charged with the execution and compliance of this Resolution.

La Paz, May 10, 2005

Juan Antonio Morales A.

Enrique Ackermann A. Fernando Paz B.

José Luis Evia V. Jaime Apt B.