Regulatory Alerts2009-06-23 | Resolución 074/2009Added · Updated
Resolution 074/2009
The Board of Directors of the Central Bank of Bolivia postpones the effective date of the Regulation on Monetization, Exchange, and Destruction of Monetary Material from July 1, 2009, to July 15, 2009. This adjustment allows three financial institutions additional time to adapt their automated teller machines to comply with Article 9, which mandates the distribution of ten and twenty Boliviano banknotes. The President and General Manager are tasked with executing and ensuring compliance with this resolution.
BOARD RESOLUTION NO. 074/2009
SUBJECT: MONETARY OPERATIONS MANAGEMENT – APPROVES POSTPONEMENT OF THE EFFECTIVE DATE OF THE REGULATION ON MONETIZATION, EXCHANGE, AND DESTRUCTION OF MONETARY MATERIAL OF THE CENTRAL BANK OF BOLIVIA.
HAVING REVIEWED:
Law No. 1670 of October 31, 1995 of the Central Bank of Bolivia (BCB).
The Statute of the BCB approved by Board Resolution No. 128/2005 of October 21, 2005 and its modifications.
The Regulation on Issuance, Exchange, and Destruction of Monetary Material approved by Board Resolution No. 047/2009 of April 14, 2009.
The note from Credit Card Administrator S.A. Cite CRON G.S. 149/09 dated June 12, 2009.
The note from Banco Solidario CITE:GO/F-161/2009 dated June 16, 2009.
The note from Credit Card Administrator S.A. Cite CRON G.S. 0156/09 dated June 17, 2009.
The Internal Communication from the Monetary Operations Management GOM No. 095/2009 dated June 18, 2009.
The Report from the Legal Affairs Management SANO No. 168/2009 dated June 19, 2009.
CONSIDERING:
That pursuant to Articles 1, 2, 3, 6, and 13 of Law No. 1670, the BCB is the sole monetary and exchange authority of the country with administrative, technical, and financial competence and specialized normative powers of general application, whereby it is empowered to formulate policies in monetary matters, seeking stability in the internal purchasing power of the currency, and regulating the money supply and credit volume in accordance with its monetary program. Likewise, it is obliged, jointly with banks and all financial intermediation institutions, to exchange damaged or mutilated banknotes, provided they clearly retain both signatures and a serial number.
//2. (B.R. No. 074/2009)
That Article 30 of Law No. 1670 provides that all financial intermediation and financial services entities, whose operation is authorized by the current Financial System Supervision Authority, are subject to the normative competence of the BCB, with respect to their linkage as monetary, exchange, and payments system authority.
That by Board Resolution No. 047/2009 of April 14, 2009, the New Regulation on Monetization, Exchange, and Destruction of Monetary Material was approved, with an effective date of July 1, 2009.
That Article 9 of the New Regulation on Monetization, Exchange, and Destruction of Monetary Material approved, provides that financial entities are obliged to distribute ten or twenty Boliviano banknotes through their automated teller machines, such that banknotes of smaller denominations of Boliviano are always available in all ATMs.
That although most financial entities have been able to comply with the adaptation of their existing automated teller machines to comply with the aforementioned Article 9, there are three financial institutions whose ATMs will be adapted until July 15 of the current year, therefore they requested the postponement of the effective date of the New Regulation on Monetization, Exchange, and Destruction of Monetary Material.
That the Monetary Operations Management through Internal Communication GOM No. 095/2009, states that there are no inconveniences to modify the effective date of the New Regulation on Monetization, Exchange, and Destruction of Monetary Material until July 15, 2009.
That the Legal Affairs Management through Report SANO No. 168/2009, states that there is no legal impediment for the Board of the Issuing Entity, in the exercise of its powers, to consider the postponement until July 15, 2009, for the entry into force of the New Regulation on Monetization, Exchange, and Destruction of Monetary Material of the BCB.
THEREFORE,
THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA
RESOLVES:
Article 1.- Postpone until July 15, 2009, the effective date of the Regulation on Monetization, Exchange, and Destruction of Monetary Material, approved by Board Resolution No. 047/2009 of April 14, 2009.
//3. (B.R. No. 074/2009)
Article 2.- The Presidency and the General Management are charged with the execution and compliance of this Resolution.
La Paz, June 23, 2009
Gabriel Loza Tellería
Gustavo Blacutt Alcalá Hugo Dorado Araníbar
Rolando Marín Ibáñez Ernesto Yáñez Aguilar
Rafael Boyán Téllez
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