Resolution 095/2003 — BCB — BO

BOARD RESOLUTION NO. 095/2003
SUBJECT: MONETARY OPERATIONS MANAGEMENT – GRANTING OF CREDIT TO THE GENERAL TREASURY OF THE NATION TO MEET TEMPORARY LIQUIDITY NEEDS FOR Bs300,000,000.

HAVING VIEWED:
Law 1670 of October 31, 1995.
Board Resolution No. 160/97 of October 21, 1997, which approves the Regulations on Credits to the Public Sector.
Board Resolution No. 121/2001 of November 29, 2001.
The note from the Ministry of Finance, D.G.C.P. 05-016 OF No. 1761/03 of August 22, 2003.
The Report from the Monetary Operations Management, SOSP 018/2003 of August 25, 2003.
The Report from the Economic Policy Advisory, APEC/SMyF 027/2003 of August 26, 2003.
The Report from the Legal Affairs Management, SANO No. 153/2003 of August 25, 2003.

CONSIDERING:
That the Ministry of Finance, through note D.G.C.P. 05-016 OF No. 1761/03, has requested a credit of Bs300,000,000 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 SOSP 018/2003 recommending that the credit conditions be considered once the Ministry of Finance complies with the requirements for granting the aforementioned loan.

That the Economic Policy Advisory, in its Report APEC/SMyF 027/2003, states that this credit falls within the Monetary Program.

That the Legal Affairs Management, in Report SANO No. 153/2003, indicates that the authorized amounts must be within the limits of the monetary program, that the credit be documented with securities, that the term not exceed one year, and that the Ministry of Finance comply with the requirements established by Law 1670.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Approve the granting of credit to the Ministry of Finance for the attention of temporary liquidity needs, under the following conditions:

Amount: Bs300,000,000.
Interest Rate: 7.50%
Term: 90 days.
Disbursement Date: August 27, 2003.
Maturity Date: November 25, 2003.
Guarantee Instrument: Treasury Bills Class C in national currency.
Disbursement Method: Into accounts of the General Treasury of the Nation according to written request.
Repayment Method: Interest and principal, via automatic debit in the fiscal current accounts that the General Treasury of the Nation holds 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 effect early cancellation, total or partial, of the credit considering the accrued interest on the total credit up to the date of early cancellation.

Article 4.- Any reprogramming of financing from the BCB to the TGN must be compatible with the quarterly limits agreed for the Net Credit of the BCB to the Non-Financial Public Sector in the Stand-By Agreement with the IMF, corresponding to the 2003 management period.

Article 5.- The Presidency and General Management are charged with the execution and compliance of this Resolution.

La Paz, August 26, 2003.

Juan Antonio Morales A.

Juan Medinaceli V. Enrique Ackermann A.

Fernando Paz B. Jaime Apt B.

José Luis Evia V.