Resolution 154/2012

BOARD RESOLUTION NO. 154/2012
SUBJECT: FINANCIAL ENTITIES MANAGEMENT – APPROVES MODIFICATION TO THE REGULATION FOR THE TRANSFER OF INTERNATIONAL REMITTANCES.

HAVING SEEN:
The Political Constitution of the State approved by referendum on January 25, 2009, and promulgated on February 7, 2009.
Law No. 1670 of October 31, 1995 of the Central Bank of Bolivia (BCB).
Law No. 1488 of May 5, 2004 on Banks and Financial Entities and its subsequent modifications.
The BCB Statute approved by Board Resolution No. 128/2005 of October 21, 2005 and its subsequent modifications.
The Payment Services Regulation approved by Board Resolution No. 121/2011 of September 27, 2011, modified with Board Resolution No. 059/2012 of May 22, 2012.
The Regulation for the Transfer of International Remittances approved by Board Resolution No. 071/2012 of June 19, 2012.
The Report from the Financial Entities Management BCB-GEF-SANA-DSP-INF-2012-209 of August 17, 2012.
The Report from the Legal Affairs Management BCB-GAL-SANO-INF-2012-254 of August 16, 2012.

CONSIDERING:
That the Political Constitution of the State establishes in its article 328 that it is an attribute of the BCB, in coordination with the economic policy determined by the Executive Branch, in addition to those indicated by Law, to regulate the payment system.

That pursuant to article 331 of the Political Constitution of the State, financial intermediation activities, the provision of financial services, and any other activity related to the handling, use, and investment of savings are of public interest and can only be exercised with prior authorization from the State, in accordance with the Law.

That Law No. 1670 provides in its articles 2, 3, and 30 that the BCB's objective is to ensure the stability of the internal purchasing power of the national currency, for which it formulates policies of general application in monetary and payment system matters, being subject to its regulatory competence all financial intermediation entities and financial services authorized by the Superintendence of Banks and Financial Entities, currently known as the Financial System Supervisory Authority (ASFI).

That Law No. 1488 in its articles 4 and 154, items 4 and 6, determines that financial intermediation and auxiliary financial services activities will be carried out by financial entities authorized by the ASFI, an Institution that has among its attributes, among others, to supervise natural or legal persons carrying out auxiliary financial intermediation activities, as well as to incorporate into its scope of competence, in accordance with the BCB, other persons or entities carrying out financial intermediation activities.

That the Payment Services Regulation in its article 10, item e), indicates among the permitted payment services the payment of international remittances under contract with international remittance entities authorized for their operation by the authorities of the sending or beneficiary country.

That the ASFI, through note ASFI/DNP/R-87270/2012 of July 18, 2012, requests the BCB to consider modifying the wording of the Final Provision of the Regulation for the Transfer of International Remittances.

That the Financial Entities Management, through Report BCB-GEF-SANA-DSP-INF-2012-209, states that a compliance deadline was incorporated into the regulation for the prompt adaptation of financial intermediation entities or other payment service entities to provide the remittance service within the scope defined in the regulations. However, taking into account the legal criterion, it is necessary to modify the Regulation for the Transfer of International Remittances.

That according to Report BCB-GAL-SANO-INF-2012-254, the Legal Affairs Management concludes that the ASFI's request is appropriate and it corresponds to submit the modification of the Regulation to the Board for consideration.

That the BCB Board, in its capacity as the highest authority of the Institution, is responsible for defining its policies, specialized regulations of general application, and internal rules, being empowered to issue norms and adopt general decisions that may be necessary for the fulfillment of the functions, competencies, and powers assigned by Law to the Issuing Entity, as established in articles 44 and 54, item o) of Law No. 1670 and articles 9, 11, and 24 of the BCB Statute.

THEREFORE,

THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA

RESOLVES:

Article 1.- Modify the Sole Provision of the Final Part of the Regulation for the Transfer of International Remittances, as follows:

WHERE IT SAYS:
FINAL PART
FINAL PROVISION
Sole.- (Compliance Deadline). Payment Service Providers (PSPs) and Financial Intermediation Entities (FIEs) that provide the International Remittance (TRI) service must adapt to what is established in this regulation and obtain an operating license or authorization complying with the specific regulation issued by the ASFI within a period of 360 calendar days from the approval of this regulation.

IT MUST SAY:
FINAL PART
FINAL PROVISION
“Sole.- (Compliance Deadline). Payment Service Providers (PSPs) and Financial Intermediation Entities (FIEs) that provide the International Remittance (TRI) service must adapt to what is established in this Regulation and obtain an operating license or authorization complying with the specific regulation issued by the ASFI within the timeframe defined and communicated by this authority.”

Article 2.- The modification to the Sole Provision of the Final Part of the Regulation for the Transfer of International Remittances shall enter into effect from its approval.

Article 3.- The Presidency and the General Management are charged with the execution and compliance of this Resolution.

La Paz, August 28, 2012

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Marcelo Zabalaga Estrada

_________________________ _________________________ Rafael Boyán Téllez Hugo Dorado Araníbar

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Gustavo Blacutt Alcalá