Regulatory Alerts2009-04-23 | Resolución 49/2009Added · Updated
Resolution 49/2009
The Central Bank of Bolivia amends Article 15 of the Regulation for the Administration of International Reserves to reduce the concentration risk limit for the Global Banking sector from 70% to 35% of total international monetary reserves, while maintaining the 10% limit per banking issuer. This modification takes effect immediately upon approval and is executed by the Presidency and General Management.
BOARD RESOLUTION NO. 049/2009 SUBJECT: INTERNATIONAL OPERATIONS MANAGEMENT – APPROVES AMENDMENT TO THE REGULATION FOR THE ADMINISTRATION OF INTERNATIONAL RESERVES
SEEING: The Law No. 1670 of October 31, 1995 of the Central Bank of Bolivia. The Statute of the Central Bank of Bolivia approved by Board Resolution No. 128/2005 of October 21, 2005 and its modifications. The Regulation for the Administration of International Reserves approved by Board Resolution No. 102/2008 of July 22, 2008. The Report of the International Operations Management GOI No. 008/2009 of April 15, 2009. The Report of the Legal Affairs Management SANO No. 105/2009 of April 17, 2009.
CONSIDERING: That in accordance with what is provided in Article 16 of Law No. 1670, the BCB has the function of administering and managing the International Reserves, being able to invest them and deposit them in custody, as well as dispose of and pledge them, in the manner that it considers most appropriate for the fulfillment of its object and its functions and for their adequate safeguarding and security.
That within the framework of the aforementioned, the BCB has approved through Board Resolution No. 102/2008 the Regulation for the Administration of International Reserves, establishing the policies and norms for its correct administration.
That the Report of the International Operations Management GOI No. 008/2009 recommends modifying the current Regulation for the Administration of International Reserves by reducing the limit of the Global Banking sector.
That the Legal Affairs Management through Report SANO No. 105/09 states that there is no legal impediment for the Board of the Issuing Entity, in the exercise of the powers conferred by Law No. 1670 and the Statute of the BCB, to consider the modification to the Regulation for the Administration of International Reserves.
That, by virtue of what is provided by Law 1670 article 54 item o) and the Statute of the BCB in its article 11 numeral 29), the Board of the Issuing Entity is authorized to approve, modify and interpret the Statute and Regulations of the BCB by two-thirds of the votes of all its members, without the need for any additional administrative act.
THEREFORE, THE BOARD OF DIRECTORS OF THE CENTRAL BANK OF BOLIVIA RESOLVES:
Article 1.- Approve the modification of Article 15 of the Regulation for the Administration of International Reserves as follows:
SAYS: Article 15.- (Concentration Risk) The limits by concentration on the total of international monetary reserves are:
Sector/issuer Total international monetary reserves Government 100% Agencies 70% Per agency 15% Supranational 70% Per supranational 15% Global Banking 70% Per banking issuer 10%
SHOULD SAY: Article 15.- (Concentration Risk) The limits by concentration on the total of international monetary reserves are:
Sector/issuer Total international monetary reserves Government 100% Agencies 70% Per agency 15% Supranational 70% Per supranational 15% Global Banking 35% Per banking issuer 10%
Article 2.- The modification to the Regulation for the Administration of International Reserves will enter into force from its approval.
Article 3.- The Presidency and General Management are in charge of the execution and compliance of this Resolution.
La Paz, April 23, 2009
Gabriel Loza Tellería
Gustavo Blacutt Alcalá Hugo Dorado Araníbar
Rolando Marín Ibáñez Ernesto Yáñez Aguilar Rafael Boyán Téllez
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