Resolution 106/2003 — BCB — BO

BOARD RESOLUTION NO. 106/2003

SUBJECT: MONETARY OPERATIONS MANAGEMENT – APPROVES CREDIT TO THE GENERAL TREASURY OF THE NATION FOR Bs100,000,000 TO ADDRESS TEMPORARY LIQUIDITY NEEDS.

HAVING SEEN:

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, which modifies Article 10 of Board Resolution No. 160/97 regarding the Financial Conditions of Credits to the Public Sector.

The note from the Ministry of Finance, D.G.C.P. 05-016 D.D.I. OF. No. 2043/03 of September 26, 2003.

The Report from the Monetary Operations Management, SOSP 019/2003 of September 29, 2003.

The Report from the Economic Policy Advisory, APEC-SMyF-033/2003 of September 30, 2003.

The Report from the Legal Affairs Management, SANO No. 187/2003 of September 29, 2003.

CONSIDERING:

That the Ministry of Finance, through note DGCP 05-016 DDI OF. No. 043/03, has requested a credit of Bs100,000,000 to address 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 019/2003, recommending that the credit conditions be considered once the Ministry of Finance complies with the requirements established for granting the aforementioned loan.

That the Economic Policy Advisory, in its Report APEC-SMyF-033/2003, states that this credit falls within the Monetary Program.

That the Legal Affairs Management, in its Report SANO No. 187/2003, indicates that the authorized amounts must be within the limits of the monetary program, that the credit be documented with negotiable 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 the credit to the Ministry of Finance for the attention of temporary liquidity needs, under the following conditions:

Amount: Bs100,000,000.-
Interest Rate: 7.25%
Term: 88 days.
Disbursement Date: October 6, 2003.
Maturity Date: January 2, 2004.
Guarantee Instrument: Treasury Bills “C”.
Disbursement Method: Into accounts of the General Treasury of the Nation, according to written request.
Payment Method: 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.- 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 total or partial early cancellation 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 General Treasury of the Nation must be compatible with the quarterly limits agreed upon 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 the General Management are charged with the execution and compliance of this Resolution.

La Paz, September 30, 2003

Juan Antonio Morales A.

Juan Medinaceli V. Enrique Ackermann A.

José Luis Evia V. Fernando Paz B.

Jaime Apt B.