Resolution 084/99 — BCB — BO

BOARD RESOLUTION NO. 084/99

SUBJECT: CURRENCY AND CREDIT – CREDIT TO THE GENERAL TREASURY OF THE NATION TO ADDRESS TEMPORARY LIQUIDITY NEEDS FOR THE EQUIVALENT IN BOLIVIANOS OF $US30,000,000.

HAVING SEEN:

Central Bank of Bolivia Law No. 1670 of October 31, 1995.

Board Resolution No. 160/97 of October 21, 1997, which approves the Regulations for Credits to the Public Sector.

The Note from the Undersecretariat of Treasury and Public Credit D.G.C.P. 05-016 U.D.P.I. OF. No. 960/99 of September 29, 1999.

The Report from the Currency and Credit Management SSPNF No. 038/99 of September 29, 1999.

The Report from the Economic Policy Advisory APEC-ARMyF No. 034/99 of September 29, 1999.

The Note from the Legal Advisory ALEG No. 157/99 of September 29, 1999.

CONSIDERING:

That the Undersecretary of Treasury and Public Credit, through note DGCP 05-016 U.D.P.I. OF No. 960/99, has requested a credit for the equivalent in Bolivianos of $US30,000,000 to address temporary liquidity needs.

That the Currency and Credit Management, in accordance with Article 5 of the Regulations for Credits to the Public Sector, has issued Report No. SSPNF No. 038/99 specifying that there are no pending balances of payment of the debt of the General Treasury of the Nation to the Central Bank of Bolivia.

That the Economic Policy Advisory, in its report APEC-ARMyF No. 034/99, points out the effects this credit will have on the Monetary Program.

That in the opinion of the Legal Advisory, the Undersecretariat of Treasury and Public Credit has met the requirements established for granting the aforementioned loan to the General Treasury of the Nation.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Approve the granting of a credit to address temporary liquidity needs to the General Treasury of the Nation, under the following conditions:

Amount: Up to the equivalent of $US30,000,000.
Currency: Bolivianos.
Interest Rate: 12.46%, the yield rate of the auction of Treasury Bills in national currency for 91 days, corresponding to the last adjudication (September 29, 1999). Term: 90 days. Maturity Date: December 29, 1999. Disbursement Date: October 1, 1999.

Instrument: Treasury Bills in national currency issued by the General Treasury of the Nation.

Payment Method and Guarantee: Interest and principal, via automatic debit in the fiscal current accounts held by the General Treasury of the Nation at the Central Bank of Bolivia.

Article 2.- The General Treasury of the Nation must issue a promissory note maturing in 30 days, until the issuance and delivery of the Treasury Bills to the Central Bank of Bolivia is finalized.

Article 3.- Authorize the President to sign the respective contract with the Ministry of Finance.

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

La Paz, September 30, 1999

Jaime Ponce G.

Juan Medinaceli V. Fernando Campero P. Armando Méndez M.