Resolution modifying the General Provisions on Liquidity Requirements for Multiple Banking Institutions

DOF: 31/12/2015

RESOLUTION that modifies the General Provisions on Liquidity Requirements for Multiple Banking Institutions

At the margin, a seal with the National Emblem, which says: United Mexican States.- Ministry of Finance and Public Credit.- National Banking and Securities Commission.- Bank of Mexico.

The Bank of Mexico, based on what is established in articles 28, paragraphs sixth and seventh of the Political Constitution of the United Mexican States; 96 Bis 1 of the Credit Institutions Law, as well as 24, 26, 36, 36 Bis and 47, fraction I, of the Bank of Mexico Law; 1st, 4th, first paragraph; 10, first paragraph; 14 in relation to 25; 14 Bis, in relation to 17, and 14 Bis 1 in relation to 25 Bis 1, of the Internal Regulations of the Bank of Mexico and Second, fractions VIII and X, of the Agreement on the Assignment of Administrative Units of the Bank of Mexico, and the National Banking and Securities Commission, based on what is established in articles 96 Bis 1 and 96 Bis 2, last paragraph of the Credit Institutions Law; 4, fractions XXXVI and XXXVIII; 16, fraction I and 19 of the Law of the National Banking and Securities Commission, and

CONSIDERING

That, in view of the standards issued by the Basel Committee on Banking Supervision and in order for multiple banking institutions to be able to fully comply with the provisions emanating from article 96 Bis 1 of the Credit Institutions Law, they have considered carrying out various reforms to the "General Provisions on Liquidity Requirements for Multiple Banking Institutions" (Provisions), published in the Official Gazette of the Federation on December 31, 2014, and

That, as a result of the supervision by the National Banking and Securities Commission and the Bank of Mexico regarding the implementation of obligations derived from the Provisions, particularly regarding the technical capabilities of multiple banking institutions to report daily the information related to the calculation of liquidity requirements, they have determined to modify the transition period, in order for the entry into force of the obligation to carry out said report to occur on January 1, 2017, they have resolved to issue the following:

RESOLUTION THAT MODIFIES THE GENERAL PROVISIONS ON LIQUIDITY REQUIREMENTS FOR MULTIPLE BANKING INSTITUTIONS

FIRST.- Articles 3, fractions V and VI, and 9, fraction I, items i, second paragraph and ii, second paragraph, are REFORMED, and Annexes 1 to 5 of the "General Provisions on Liquidity Requirements for Multiple Banking Institutions", published in the Official Gazette of the Federation on December 31, 2014, are SUBSTITUTED, to read as follows:

" Article 3.- . . .

I. to IV . . . .

V.

Net the active and passive parts of each foreign exchange transaction agreed upon for a value date. In the event that for such transactions a master contract has been entered into under which all transactions entered into with the same counterparty may be extinguished by netting in a single settlement, the transactions in which a winning position is maintained must be netted with those in which a losing position is maintained. Once the result of such netting is obtained, the Institutions must include the resulting amount as an inflow if said amount corresponds to a winning position, or as an outflow if it corresponds to a losing position.

VI.

Net the active and passive parts of each securities purchase and sale transaction agreed upon for a value date and include the resulting amount as an inflow if the active part is greater, or as an outflow if the passive part is greater. For the purposes of the netting referred to in this fraction, Institutions must first apply the discount factor to Eligible Liquid Assets in accordance with fraction I of article 9 of these provisions, with the exception of the securities referred to in item E of fraction I of Annex 1, to which a discount factor of 100 percent will be applied, as well as to securities other than Eligible Liquid Assets. Without prejudice to the foregoing, regarding those securities to which a discount factor of 100 percent is applied, the capital or interest of said securities that the Institution has the right to receive in the next thirty days may be included as an inflow.

. . . "

" Article 9.- . . .

I.

. . .

Table

. . .

i.

. . .

Regarding securities referred to in item E, fraction I of Annex 1, they may be considered as Eligible Liquid Assets, according to the currency in which they are denominated, up to the amount of the Total Net Cash Outflow of the Financial Subsidiary established in the corresponding country, in that currency.

. . .

ii.

. . .

For this purpose, they must consider that all repo and securities lending transactions with a maturity in the next thirty days, which involve Eligible Liquid Assets in both the active and passive parts of the transaction, are settled.

iii. and iv.

. . .

II.

. . . "

SECOND.- Transitional Articles THIRD, FOURTH and FIFTH, first paragraphs and fractions II, first paragraph and item c); III, first paragraph and items b) and c); IV and V, are REFORMED, and Transitional Article SECOND of the "General Provisions on Liquidity Requirements for Multiple Banking Institutions", published in the Official Gazette of the Federation on December 31, 2014, is REPEALED, to read as follows:

" SECOND.-

Repealed.

THIRD.- Fraction I of article 5 of these provisions shall enter into force on January 1, 2017.

From January 1, 2015 until December 31, 2016, Institutions must report the calculation of the Liquidity Coverage Ratio corresponding to the last business day of the immediately preceding calendar month, as well as the necessary information for its verification, within the first ten business days of each month.

FOURTH.- What is established in fractions I, II, III and IV, as well as the second paragraph of article 12 of these provisions, shall enter into force in accordance with what is established in fractions I, II and III of this TRANSITIONAL ARTICLE, depending on the amount of the Institutions' active operations and the time they have been operating.

I.

Those Institutions that, according to the figures at the close of each month published by the Commission and considering the value of the UDI published by the Bank of Mexico on the same date, have an average consolidated credit portfolio equal to or greater than 30 billion UDIs between January and August 2014, or whose credit portfolio reaches or exceeds this limit after January 1, 2015, shall be subject to what is established in article 12 of these provisions from January 1, 2019.

Until then, they shall observe the following:

a)

From January 1, 2015 until December 31, 2015, they shall be located in:

1.

Scenario I, when the Liquidity Coverage Ratio, according to the report referred to in the second paragraph of TRANSITIONAL ARTICLE THIRD of these provisions or, in its case, to any of those reports referred to in fractions II, III and IV of article 5 of these provisions, is at least 60 percent.

2.

Scenario II, when the Liquidity Coverage Ratio, according to the report referred to in the second paragraph of TRANSITIONAL ARTICLE THIRD of these provisions or, in its case, to any of those reports referred to in fractions II, III and IV of article 5 of these provisions, is greater than or equal to 50 percent but less than 60 percent.

3.

Scenario III when, according to item 2 above of this item a), they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

4.

Scenario IV, when the Liquidity Coverage Ratio, according to the report referred to in the second paragraph of TRANSITIONAL ARTICLE THIRD of these provisions or, in its case, to any of those reports referred to in fractions II, III and IV of article 5 of these provisions, is less than 50 percent.

5.

Scenario V, when, according to items 3 and 4 of this item a), they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times.

b)

From January 1, 2016 until December 31, 2016, they shall be located in the scenarios listed below, when the Liquidity Coverage Ratio, according to the reports referred to in the second paragraph of TRANSITIONAL ARTICLE THIRD of this instrument or, in its case, to any of those reports referred to in fractions II, III and IV of article 5 of these provisions, has the corresponding value, in accordance with the following:

1.

Scenario I, if the Liquidity Coverage Ratio is at least 70 percent.

2.

Scenario II, if the Liquidity Coverage Ratio is greater than or equal to 60 percent but less than 70 percent.

3.

Scenario III, if the Liquidity Coverage Ratio is greater than or equal to 50 percent but less than 60 percent, or when, according to what is established in item 2 of this item, they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

4.

Scenario IV, if the Liquidity Coverage Ratio is less than 50 percent.

5.

Scenario V, when, according to items 3 and 4 of this item, they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times.

c)

From January 1, 2017 until December 31, 2017, they shall be located in the scenarios listed below, when the Liquidity Coverage Ratio has the values described, according to the report corresponding to the last business day of the immediately preceding calendar month referred to in fraction I of article 5 or, in its case, to the report presented in accordance with fractions II, III and IV of the same provision:

1.

Scenario I, if the Liquidity Coverage Ratio is at least 80 percent.

2.

Scenario II, if the Liquidity Coverage Ratio is greater than or equal to 70 percent but less than 80 percent.

3.

In Scenario III if the Liquidity Coverage Ratio is greater than or equal to 50 percent but less than 70 percent, or when, according to what is established in item 2 of this item, they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

4.

Scenario IV, when the Liquidity Coverage Ratio is less than 50 percent.

5.

Scenario V, if according to items 3 and 4 of this item, they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times.

d)

From January 1, 2018 until December 31, 2018, they shall be located in:

1.

Scenario I, when the Liquidity Coverage Ratio corresponding to each day of the immediately preceding calendar month is at least 90 percent, and Scenarios II, III and IV, when the assumption corresponding to the scenario in question is updated according to the following table:

2.

Scenario III when, according to what is established in the previous item of this item d), they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

3.

Scenario V, when, according to items 1 and 2 of this item d), they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times.

4.

The following scenarios, when the Liquidity Coverage Ratio that corresponds to the report that, in its case, is presented in terms of fractions II, III and IV, of article 5, is located in the respective range of those indicated below: Scenario II, when the reported Liquidity Coverage Ratio is greater than or equal to 75 and less than 90; Scenario III, when the reported Liquidity Coverage Ratio is less than 75 and greater than or equal to 60, and Scenario IV, when the Liquidity Coverage Ratio is less than 60.

II.

Those Institutions that, according to the figures at the close of each month published by the Commission and considering the value of the UDI published by the Bank of Mexico on the same date, have an average consolidated credit portfolio less than 30 billion UDIs between January and August 2014, provided that such credit portfolio does not reach this limit after January 1, 2015 and that, on that same date, 5 years or more have elapsed since the start of their operations, shall be subject to what is established in fractions I, II, III and IV, as well as the second paragraph of article 12 of these provisions from July 1, 2019. Until then, the aforementioned Institutions shall observe the following:

a)

From January 1, 2015 until June 30, 2015, the first paragraph of article 12 of these provisions shall not be applicable to them.

b)

From July 1, 2015 until June 30, 2016, the regime provided for in item a) of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

c)

From July 1, 2016 until June 30, 2017, the regime provided for in item b) of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

d)

From July 1, 2017 until December 31, 2017, the regime provided for in item c) of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

e)

From January 1, 2018 until June 30, 2018, they shall be located in:

1.

Scenario I, when the Liquidity Coverage Ratio corresponding to each day of the immediately preceding calendar month is at least 80 percent, and Scenarios II, III and IV, when the assumption corresponding to the scenario in question is updated according to the following table:

2.

Scenario III, when according to what is established in the previous item of this item, they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

3.

Scenario V, when according to items 1 and 2 of this item, they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times.

4.

The following scenarios, when the Liquidity Coverage Ratio that corresponds to the report that, in its case, is presented in terms of fractions II, III and IV, of article 5 of these provisions, is located in the respective range of those indicated below: Scenario II, when the reported Liquidity Coverage Ratio is greater than or equal to 65 and less than 80; Scenario III, when the reported Liquidity Coverage Ratio is less than 65 and greater than or equal to 50, and Scenario IV, when the Liquidity Coverage Ratio is less than 50.

f)

From July 1, 2018 until June 30, 2019, the regime provided for in item d), of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

III.

Those Institutions that, according to the figures at the close of each month published by the Commission and considering the value of the UDI published by the Bank of Mexico on the same date, have an average consolidated credit portfolio less than 30 billion UDIs between January and August 2014, provided that such credit portfolio does not reach or exceed this limit after January 1, 2015 and that, on that same date, a period of less than 5 years has elapsed since the start of their operations, shall be subject to what is established in fractions I, II, III and IV, as well as the second paragraph of article 12 of these provisions from January 1, 2020. Meanwhile, the aforementioned Institutions shall observe the following:

a)

From January 1, 2015 until December 31, 2015, the first paragraph of article 12 of these provisions shall not be applicable to them.

b)

From January 1, 2016 until December 31, 2016, the regime provided for in item a), of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

c)

From January 1, 2017 until December 31, 2017, the regime provided for in item b), of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

d)

From January 1, 2018 until December 31, 2018, the regime provided for in item e), of fraction II of this TRANSITIONAL ARTICLE shall be applicable to them.

e)

From January 1, 2019 until December 31, 2019, the regime provided for in item d), of fraction I of this TRANSITIONAL ARTICLE shall be applicable to them.

FIFTH.- Institutions that have started operations after January 1, 2015 and that, according to the figures published by the Commission at the close of each month and considering the value of the UDI published by the Bank of Mexico on the corresponding date, have maintained a consolidated credit portfolio less than 30 billion UDIs, must comply with fractions I, II, III and IV, as well as with the second paragraph of article 12 of these provisions from sixty months counted from the date on which they started their operations. Until then, said Institutions shall observe the following:

I.

. . .

II.

From the first day of the thirteenth month and until the last day of the twenty-fourth month subsequent to that on which they started operations or until December 31, 2017, whichever occurs first, the regime provided for in item a) of fraction I of TRANSITIONAL ARTICLE FOURTH shall be applicable to them.

In the event that the last day of the twenty-fourth month subsequent to the date on which they started operations occurs after December 31, 2017, in the period between these two dates, the Institutions shall be located in:

a) and b)

. . .

c)

In Scenario V, when, according to items a) and b) of this fraction, they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times, in terms of the aforementioned table.

d)

. . .

III.

From the first day of the twenty-fifth month and until the last day of the thirty-sixth month subsequent to the date on which they started operations or until December 31, 2017, whichever occurs first, the regime provided for in item b), of fraction I of TRANSITIONAL ARTICLE FOURTH.

In the event that the last day of the thirty-sixth month subsequent to the date on which they started operations occurs after December 31, 2017, in the period between these two dates, the Institutions shall be located in:

a)

. . .

b)

In Scenario III when, according to what is established in the previous item of this fraction, they correspond to be located in Scenario II and, additionally, they have updated Scenario II three or more times during the last six months.

c)

In Scenario V, when, according to items a) and b) of this fraction, they correspond to be located in Scenarios III or IV and, additionally, they have updated Scenario III three or more times during the last six months, any combination of Scenarios III, IV or V three or more times in aggregate, or Scenarios IV or V two or more times, in terms of the aforementioned table.

d)

. . .

IV.

From the first day of the thirty-seventh month and until the last day of the forty-eighth month subsequent to the date on which they started operations, the regime provided for in item e) of fraction II of TRANSITIONAL ARTICLE FOURTH shall be applicable to them.

V.

From the first day of the forty-ninth month and until the last day of the sixtieth month subsequent to the date on which they started operations, the regime provided for in item d) of fraction I of TRANSITIONAL ARTICLE FOURTH shall be applicable to them. "

TRANSITIONAL

SINGLE.- This Resolution shall enter into force the day following its publication in the Official Gazette of the Federation.

Mexico, D.F., on December 21, 2015. - The President of the National Banking and Securities Commission, Jaime González Aguadé. - Signature.- Bank of Mexico: the General Legal Director, Luis Urrutia Corral. - Signature.- The General Director of Financial Stability, Pascual Ramón Odogherty Madrazo. - Signature.

ANNEX 1

Classification of Eligible Liquid Assets

Eligible Liquid Assets for the purposes of these provisions shall be those included in this annex, and shall be classified as indicated below.

For the purposes of this Annex, in addition to the definitions contained in article 1 of these provisions, the following shall be understood:

Rating: the credit risk rating issued by any of the securities rating agencies included in Annex 1-B of the Provisions.

---

Risk Grade: the risk grades indicated in the rating and risk grade correspondence tables, for long-term and short-term, both for the global scale and the Mexico scale, included in Annex 1-B of the Provisions.

Clean Price: the price that does not include accrued interest since the last coupon.

Price Provider: the legal entity that enjoys authorization from the Commission to perform such role, in terms of the Securities Market Law.

Institutions may use prices provided by entities incorporated in other countries that carry out similar or equivalent operations to those indicated in the preceding paragraph, when it comes to financial instruments issued abroad for which the price providers referred to in the Securities Market Law cannot provide information for the purposes of these provisions.

Without prejudice to the foregoing, Institutions may not use prices provided by the foreign entities indicated in the preceding paragraph when the Commission so determines, considering the similarity of the operations for which the price is provided, between said entities and those persons who, in accordance with the Securities Market Law, are authorized to act as price providers.

Capital Rules: the rules considered as such by the Provisions.

When Institutions make use of Ratings to carry out the classification referred to in this Annex, they must adhere to the criteria established in Article 2 Bis 25 of the Provisions.

I. Level I Group

A.

Cash, excluding those amounts that are used for operational purposes, such as payroll, rent, services, and others.

B.

Deposits at the Bank of Mexico, including monetary regulatory deposits not granted as collateral, as well as deposits in central banks of foreign countries with immediate availability.

C.

Debt securities issued by the Bank of Mexico, the IPAB, or the Federal Government or guaranteed by the same, with the exception of instruments called special Cetes, including debt securities issued by development banking institutions, that have a credit risk weight of zero percent in accordance with the Capital Rules.

D.

Debt securities issued by central governments of foreign countries, and/or their central banks, and/or their public entities, that have a credit risk weight of zero percent in accordance with the Capital Rules.

E.

Debt securities issued by central governments of foreign countries in which the Institution has a Financial Subsidiary, and/or their central banks, that have a credit risk weight other than zero.

F.

Debt securities issued by international multilateral development or promotion organizations, that have a credit risk weight of zero percent in accordance with the Capital Rules.

II. Level II Group

It shall be composed of Level IIA Group assets and Level IIB Group assets as indicated below.

1.

Level IIA Group

The securities listed below may be classified as liquid assets of the Level IIA Group, provided that, from January 3, 2005 to date, they have not presented an accumulated decline in their market price greater than 10% during a thirty-day period.

A.

Debt securities issued by federal entities, municipalities, and/or their decentralized agencies, state productive enterprises, or entities of the para-state public administration including development banking, and public promotion funds and trusts in accordance with the Organic Law of the Federal Public Administration, that have a credit risk weight of twenty percent in accordance with the Capital Rules.

B.

Debt securities issued by central governments of foreign countries, and/or their central banks, and/or their public entities, that have a credit risk weight of twenty percent in accordance with the Capital Rules.

C.

Debt securities issued by international multilateral development or promotion organizations with a credit risk weight of twenty percent in accordance with the Capital Rules.

D.

Debt securities issued by non-financial legal entities other than those mentioned above, that are not subsidiaries of financial entities and that have a Rating, corresponding to a:

a.

Risk Grade 1, in the global short-term or long-term scale, or Risk Grade 1, in the local short-term scale; or

b.

Risk Grade equal to or better than Risk Grade 3 in the local long-term scale.

2.

Level IIB Group

The securities listed below may be classified as liquid assets of the Level IIB Group, provided that from January 3, 2005 to date, during a thirty-day period, they have not presented an accumulated decline in their market price greater than 20% for those securities in items A, B, C, and E and greater than 40% for those classified in item D.

A.

Debt securities issued by central governments of foreign countries, and/or their central banks, that have at least two minimum Ratings of BBB+ and BBB- in the global scale, or their equivalent, granted by rating institutions recognized by the Commission.

B.

Securities arising from securitization of residential mortgage credits in national or foreign currency, that comply with the following:

a.

The securities have not been issued by:

i.

The Institution itself,

ii.

By a trust in which the Institution acts as trustee, or

iii.

By a person related to the Institution.

b.

The assignor or originator of the underlying assets is not a person related to the Institution in accordance with Article 73 of the Credit Institutions Law.

c.

They have at least two minimum Ratings of AA in the local scale for those denominated in national currency, or in the global scale for those denominated in foreign currency.

d.

They include in the issuance deed and the corresponding securities, as well as in the information prospectus and in any other instrument documenting the issuance, the obligation of the issuer of the corresponding securities to retain, from issuance until maturity, a subordinate position equivalent to at least the amount resulting from: i) 2.5 percent of the total amount of securitization positions, and ii) the amount of estimated losses by the issuer for the following twelve months.

e.

That the residential mortgage credits had a maximum loan-to-value ratio of 80 percent, on average, at the time of their origination.

C.

Debt securities issued by non-financial legal entities other than those indicated in Level IIA Group, that are not subsidiaries of financial persons and that have:

a.

two minimum Ratings of A-2 or their equivalent, in the global short-term scale for those denominated in foreign currency, or local short-term scale for those denominated in national currency;

b.

two minimum Ratings of BBB- or their equivalent, in the global long-term scale; or

c.

at least two minimum Ratings of A- or their equivalent, in the local long-term scale, granted by rating institutions recognized by the Commission.

D.

Investments in shares of non-financial legal entities that:

a.

Are part of the main index of the Mexican Stock Exchange;

b.

Are settled through a central securities counterparty; and

c.

Have high or medium liquidity according to the classification of the Mexican Stock Exchange.

E.

The Debt Securities listed in items A, B, C, and D of fraction II, numeral 1 of this Annex, that from January 3, 2005 to date, have presented an accumulated decline in their market price greater than 10% during a thirty-day period.

III.

Calculation of the accumulated decline in the market price of assets during a thirty-day period, to determine their eligibility for Level II Group

For the purposes of calculating the accumulated decline in the market price during a thirty-day period, referred to in this Annex, the following guidelines must be considered:

7.

The accumulated decline in the market price during a thirty-day period will be the minimum of the entries in the Change Matrix calculated in accordance with numeral 5.

8.

Regarding variations in the price of shares, those variations that by themselves do not modify the value of the index of which those shares are part may be excluded.

ANNEX 2

Outflow factors for liabilities or other operations

This Annex refers to the outflow factor that must be assigned to each of the liabilities or other operations that could generate an outflow.

For the purposes of this Annex, in addition to the definitions contained in Article 1 of these provisions, the following shall be understood:

Transactional Accounts: the deposit accounts that respective depositants maintain open in Institutions for the receipt of payment of salaries and other labor benefits for payroll purposes, or of clients who have contracted other products or services with the Institution.

Cash management services: those that facilitate to account holders the management of their cash flows as well as their assets and liabilities and allow them to carry out the necessary financial transactions to maintain their normal operations. These services are limited to the transfer of payments, the collection and aggregation of resources, payroll administration, and the control and monitoring of the use of resources.

Clearing services: those arrangements through which account holders can transfer resources (or securities) indirectly through direct participants in payment systems. Clearing services are limited to the transmission, reconciliation, and confirmation of payment orders, daytime overdrafts, and end-of-day financing, maintenance of balances once clearing operations are performed, and the determination of positions during and at the end of the day.

Custody services: services for the clearing of securities operations, the transfer of payments, the processing of collateral, and the provision of custody services related to cash management services. Also included are services for the receipt of dividends and other income, as well as payments and redemptions of clients. Custody services may include the collection of dividends and interest as well as other services related to asset management, the provision of services to corporate trusts, services to treasuries, administration of third-party accounts, transfer of resources and shares, and agency services, including payment and clearing services (with the exception of correspondent services) and the deposit receipt service.

Rating: the credit risk rating issued by any of the rating institutions included in Annex 1-B of the Provisions.

For the purposes of the treatment of liabilities in favor of trusts, these must be classified and assigned an outflow factor as if the Institution's counterparty for the liabilities in question were directly the respective settlor. In the event that the settlor cannot be identified, the liabilities in favor of said trusts must be classified and assigned an outflow factor as if the Institution's counterparty for the liabilities in question were a financial entity.

Likewise, regarding liabilities constituted in a jurisdiction other than Mexican, they will be considered guaranteed by a deposit insurance for the purposes of the classification of this Annex, when the deposit insurance of the corresponding jurisdiction meets the following characteristics:

i.

The coverage is clearly defined and offers total coverage to deposits whose amount does not exceed a predetermined limit, or up to an amount equal to said limit for those deposits that exceed it.

ii.

The obligations guaranteed in favor of savers, as well as the coverage limit, must be public knowledge.

Regarding Liquidity Lines, for the purposes of calculating the Liquidity Coverage Ratio, only the undrawn portion of such lines up to the amount of commercial paper backing them and maturing in the following thirty days will be considered as an outflow for the following thirty days.

Regarding outflows corresponding to Operational Purpose Deposit Accounts, if the deposits are associated with Bank Correspondent Services, they will be treated as deposits in accounts other than Operational Purpose Deposit Accounts.

Outflow factors for operations

Operations

Outflow

Factor

I

Unsecured financing operations:

Unsecured liabilities such as deposits, loans, and debt issuances of the institution itself, including subordinated obligations.

I.1 Unsecured retail financing:

I.1.1 Deposits in Transactional Accounts of, individuals and individuals with business activity and non-financial legal entities other than sovereigns, central banks, public sector entities, federal entities and municipalities, state productive enterprises, entities of the para-state public administration including development banking and public promotion funds and trusts, eligible in accordance with the Law for the Protection of Bank Savings for passive operations guaranteed by the IPAB, whose amount does not exceed the established limit, or that corresponding in the jurisdiction in which the accounts have been constituted.

5%

I.1.2 Deposits in Transactional Accounts of individuals and of individuals with business activity, eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, whose amount exceeds the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted.

I.1.2.1 Amount that does not exceed the limit established in the Law for the Protection of Bank Savings for passive operations guaranteed by the IPAB or that corresponding in the jurisdiction in which the accounts have been constituted.

5%

I.1.2.2 Amount that exceeds the established limit or those deposits not eligible in the Law for the Protection of Bank Savings for passive operations guaranteed by the IPAB or that corresponding in the jurisdiction in which the accounts have been constituted.

10%

I.1.3 Deposits of individuals and individuals with business activity in accounts other than Transactional Accounts.

10%

I.1.4 Operational Purpose Deposit Accounts, of non-financial legal entities, eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, whose amount does not exceed the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted.

I.1.4.1 Operational Purpose Deposit Amount; that is, the amount necessary for the client to carry out their normal banking activities during the following thirty days.

5%

I.1.4.2 Amount in excess of the Operational Purpose Deposit Amount.

10%

I.1.5 Deposits of non-financial legal entities other than sovereigns, central banks, public sector entities, federal entities and municipalities, state productive enterprises, entities of the para-state public administration including development banking and public promotion funds and trusts, other than those mentioned above, eligible in accordance with the Law for the Protection of Bank Savings for passive operations guaranteed by the IPAB, whose amount does not exceed the established limit, or that corresponding in the jurisdiction in which the accounts have been constituted.

10%

I.1.6 Interest and principal due from debt instruments placed exclusively through the counter, eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, whose amount does not exceed the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted.

I.1.6.1 From clients who have contracted other products or services with the Institution.

5%

I.1.6.2 From clients who do not have contracted other products or services with the Institution.

10%

I.1.7 Interest and principal due from debt instruments placed exclusively through the counter between individuals and individuals with business activity, eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, whose amount exceeds the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted.

I.1.7.1 Insured amount of clients who have contracted other products or services with the Institution.

5%

I.1.7.2 Uninsured amount or of clients who do not have contracted other products or services with the Institution.

10%

I.2 Unsecured wholesale financing

I.2.1 Operational Purpose Deposit Accounts, of non-financial legal entities eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, whose amount exceeds the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted.

I.2.1.1 Operational Purpose Deposit Amount covered by the IPAB deposit insurance or by the entity corresponding in the jurisdiction in which the accounts have been constituted.

5%

I.2.1.2 Operational Purpose Deposit Amount not covered by the IPAB deposit insurance or by the entity corresponding in the jurisdiction in which the accounts have been constituted.

25%

I.2.1.3 Amount in excess of the Operational Purpose Deposit Amount.

40%

I.2.2 Loans or deposits in accounts other than Operational Purpose Deposit Accounts, of the Federal Government, Bank of Mexico, IPAB, federal entities, municipalities and their decentralized agencies, state productive enterprises, entities of the para-state public administration including development banking, and promotion funds and trusts in accordance with the Organic Law of the Federal Public Administration, of central governments of foreign countries and/or their central banks, as well as of international multilateral development or promotion organizations.

I.2.2.1 Amount of deposits or loans fully covered by the IPAB or by the entity corresponding in the jurisdiction in which the accounts have been constituted.

20%

I.2.2.2 Amount of deposits or loans not fully covered by the IPAB or by the entity corresponding in the jurisdiction in which the accounts have been constituted.

40%

I.2.3 Loans or deposits in accounts other than Operational Purpose Deposit Accounts, of non-financial legal entities not eligible as passive operations guaranteed by the IPAB in accordance with the Law for the Protection of Bank Savings, or eligible, but whose amount exceeds the limit established in it, or that corresponding in the jurisdiction in which the accounts have been constituted or loans.

40%

I.2.4 Loans from national and foreign financial entities, as well as deposits from any other counterparty other than those mentioned above.

100%

I.2.5 Deposits from national and foreign financial entities, as well as deposits from any other counterparty other than those mentioned above.

I.2.5.1 Operational Purpose Deposit Accounts.

I.2.5.1.1 Operational Purpose Deposit Amount.

25%

I.2.5.1.2 Amount in excess of the Operational Purpose Deposit Amount.

100%

I.2.5.2 Accounts other than Operational Purpose Deposit Accounts.

100%

I.2.6 Interest and principal due to the Institution from market fundraising instruments it has issued.

100%

II

Secured financing operations:

Secured liabilities such as repurchase operations, securities lending, and any other operation in which the financing obtained is guaranteed by an asset of the institution itself or by an asset previously received as collateral that corresponds to:

II.1 Level I Group assets in accordance with Annex 1, or when the financing comes from the Bank of Mexico.

0%

II.2 Level IIA Group assets in accordance with Annex 1.

15%

II.3 Securities arising from securitization of residential mortgage credits indicated in Annex 1.

25%

II.4 Level IIB Group assets of Annex 1, other than the securitization securities indicated in said group.

II.4.1 Financing that comes from the Federal Government, federal entities, municipalities and their decentralized agencies, state productive enterprises and entities of the para-state public administration, that have a credit risk weight of 20% in accordance with the Capital Rules.

25%

II.4.2 Financing that comes from development banking, and promotion funds and trusts that have a credit risk weight of 20% in accordance with the Capital Rules.

25%

II.4.3 Financing that comes from entities other than the above.

50%

II.5 Assets other than those indicated above.

II.5.1 Financing that comes from the Federal Government, federal entities, municipalities and their decentralized agencies, state productive enterprises and entities of the para-state public administration, that have a credit risk weight of 20% in accordance with the Capital Rules.

25%

II.5.2 Financing that comes from development banking, and promotion funds and trusts that have a credit risk weight of 20% in accordance with the Capital Rules.

25%

II.5.3 Financing that comes from entities other than the above.

100%

III

Operations with financial derivative instruments:

III.1 Outflow flow from contractual payments of pending financial derivative instrument operations to be settled.

100%

III.2 Outflow flow from financial derivative instrument operations, determined in accordance with the methodology of Annex 4, fractions I.1, II.1 and III.

100%

III.3 Outflow flow from financial derivative instrument operations and

other operations in the event of a three-level deterioration in the Institution's own Rating. Levels shall be understood as the numbers and/or signs accompanying the Ratings.

100%

IV

Foreign exchange transactions with value date and securities purchase-sale transactions with value date, when they result in a passive position once the active and passive parts of each transaction are offset.

100%

V

Other operations:

V.1 Contingent liabilities corresponding to letters of credit and other foreign trade instruments.

0%

V.2 Liabilities generated by securitizations and any other structured instrument.

100%

V.3 Contingent liabilities associated with securitizations and special purpose vehicles with an initial maturity of one year or less.

100%

V.4 Collateral assets:

V.4.1 Assets pledged as collateral that are different from Level I Group assets pursuant to Annex 1, for which a decline in their price could trigger a margin call or the provision of additional collateral.

20%

V.4.2 Assets received as collateral in any operation, provided that the Institution itself can dispose of them without any restriction, and that from the date of calculation of the Liquidity Coverage Coefficient, they can be unilaterally demanded by the corresponding counterparty.

100%

V.4.3 Missing guarantees to be delivered

100%

V.4.4 Assets received as collateral that correspond to one of the assets listed pursuant to Annex 1 and that can be replaced by the counterparty with assets other than those listed in said Annex.

100%

V.5 Credit and liquidity lines:

V.5.1 Undrawn portion of irrevocable Credit and liquidity Lines, granted to natural persons and non-financial legal entities with annual net income or net sales lower than the equivalent of 14 million UDIs, according to their last financial statement, with figures not older than 18 months.

5%

V.5.2 Undrawn portion of revocable Credit Lines, granted to natural persons and non-financial legal entities with annual net income or net sales lower than the equivalent of 14 million UDIs, according to their last financial statement, with figures not older than 18 months.

5%

V.5.3 Undrawn portion of irrevocable Credit Lines granted to natural persons and non-financial legal entities other than those mentioned above.

10%

V.5.4 Undrawn portion of revocable Credit Lines, granted to natural persons and non-financial legal entities other than those mentioned above.

Without prejudice to the foregoing, the Commission may request the Institution to assign an exit factor equivalent to that of an irrevocable credit line when inconsistency is detected in the information presented during its supervisory activities.

5%

V.5.5 Undrawn portion of irrevocable Liquidity Lines, granted to natural persons and non-financial legal entities other than those mentioned above.

30%

V.5.6 Undrawn portion of irrevocable Credit and liquidity Lines, granted to Institutions.

40%

V.5.7 Undrawn portion of revocable Credit Lines, granted to Institutions.

Without prejudice to the foregoing, the Commission may request the institution to assign an exit factor equivalent to that of an irrevocable credit line when inconsistency is detected in the information presented during its supervisory activities.

10%

V.5.8 Undrawn portion of irrevocable Credit Lines, granted to financial legal entities other than Institutions.

40%

V.5.9 Undrawn portion of revocable Credit Lines, granted to financial legal entities other than Institutions.

Without prejudice to the foregoing, the Commission may request the institution to assign an exit factor equivalent to that of an irrevocable credit line when inconsistency is detected in the information presented during its supervisory activities.

10%

V.5.10 Undrawn portion of irrevocable Liquidity Lines, granted to financial legal entities other than Institutions.

100%

V.5.11 Undrawn portion of revocable Credit Lines, granted to legal entities other than those indicated above.

Without prejudice to the foregoing, the Commission may request the institution to assign an exit factor equivalent to that of an irrevocable credit line when inconsistency is detected in the information presented during its supervisory activities.

10%

V.6 Guarantees granted.

30%

V.7 Other exits due to financial operations (operating expenses are excluded).

V.7.1 Contractual.

100%

V.7.2 Non-contractual or contingent.

100%

ANNEX 3

Cash Inflow Factors for Operations

Operations

Inflow Factor

I

For credit operations and unsecured operations.

I.1 Credit portfolio.

I.1.1 Amount that the Institution contractually has the right to receive by way of principal and accessories from the credit portfolio and deposits held by:

I.1.1.1 Natural persons.

50%

I.1.1.2 Federal Government, IPAB, federal entities, municipalities and their decentralized bodies, entities of the public administration paraestatal pursuant to the Organic Law of the Federal Public Administration, central governments of foreign countries, international multilateral development or promotion organizations, and other non-financial legal entities.

50%

I.1.1.3 National and foreign financial entities, the Bank of Mexico, and central banks of foreign countries.

100%

I.2 Debt securities and shares.

Amount that the Institution contractually has the right to receive by way of principal and accessories.

100%

I.3 Deposits in accounts other than Operational Purpose Deposit Accounts in national and foreign financial entities.

100%

I.4 Operational Purpose Deposit Accounts that the Institution maintains in national and foreign financial entities.

I.4.1 Amount of Operational Purpose Deposits constituted by the Institution in national and foreign financial entities.

0%

I.4.2 Amount in excess of the Amount of Operational Purpose Deposits that the Institution constitutes in national and foreign financial entities.

100%

II

For secured operations (1).

Amount that the Institution contractually has the right to receive by way of repurchase operations, securities lending, and any other operation other than those referred to in Fraction I of this Annex, in which the Institution has received collateral for the financing granted, corresponding to:

II.1 Level I Group assets pursuant to Annex 1.

0%

II.2 Level IIA Group assets pursuant to Annex 1.

15%

II.3 Securities resulting from the securitization of residential mortgage credits indicated in Annex 1.

25%

II.4 Level IIB Group assets, other than the securitization securities indicated in said group.

50%

II.5 Assets other than those indicated above

100%

III

Operations with financial derivative instruments:

III.1 Inflow flow from contractual payments of pending-to-settle operations with financial derivative instruments.

100%

III.2 Inflow flow from operations with financial derivative instruments determined pursuant to the methodology indicated in Annex 4, fractions I.2 and II.2.

100%

IV

Foreign exchange transactions with value date and securities purchase-sale transactions with value date, when they result in an active position once the active and passive parts of each transaction are offset.

100%

V

Other operations:

V.1 Undrawn portion of Credit Lines in favor of the institution that have not been drawn.

0%

V.2 Financial income that the Institution contractually has the right to receive from operations not previously indicated as a contractual inflow.

100%

For the purposes of this Annex, it shall be understood that an operation is not secured if the Institution does not receive the collateral assets, or when the Institution cannot freely dispose of the assets received as collateral.

ANNEX 4

Methodology for determining cash outflows and inflows

for operations with financial derivative instruments

To determine the cash outflows and inflows from operations with financial derivative instruments, Institutions must apply the methodology indicated in this annex for each counterparty.

I.

Flows from Over-the-Counter Derivatives without Counterparty Netting Agreement (No Netting Agreement) to be received or delivered in the next 30 days.

Only the inflows or outflows that are scheduled to be received or delivered, respectively, during the next 30 days for over-the-counter financial derivative instruments that are not subject to a master agreement containing a clause that allows extinguishment by netting of all derivative transactions entered into under said master agreement shall be considered.

Likewise, operations with such financial derivative instruments in which a winning position is maintained shall be added separately from those in which a losing position is maintained. Inflows shall not be offset against outflows with the same counterparty.

The inflows and outflows (F) referred to in this section are defined as the contractual inflows and outflows that are scheduled to be received or delivered, respectively, during the next 30 days for over-the-counter financial derivative instruments. These flows must be calculated in accordance with the valuation methodologies used in each Institution on the date of calculation of the Liquidity Coverage Coefficient.

The method for calculating the cash flows to be delivered or received for these operations shall be as follows:

I.1. Outflow from financial derivative instruments

Where,

II.

Flows from Over-the-Counter Derivatives with Counterparty Netting Agreement (Netting Agreement) to be received or delivered in the next 30 days.

Only the inflows or outflows that are scheduled to be received or delivered, respectively, during the next 30 days for over-the-counter financial derivative instruments that are subject to a master agreement containing a clause that allows extinguishment by netting of all derivative transactions entered into under said master agreement shall be considered.

Likewise, operations with such financial derivative instruments in which a winning position is maintained shall be added separately from those in which a losing position is maintained.

Inflows shall be offset against outflows with the same counterparty.

The inflows and outflows (F) referred to in this section as the contractual inflows and outflows that are scheduled to be received or delivered, respectively, during the next 30 days for over-the-counter financial derivative instruments. These flows must be calculated in accordance with the valuation methodologies used in each Institution on the date of calculation of the Liquidity Coverage Coefficient.

The method for calculating the outflow and inflow from operations with financial derivative instruments shall be as follows:

II.1 Outflow from operations with financial derivative instruments

Outflows from operations with over-the-counter financial derivative instruments consist of the following sum, whose components are defined below.

ANNEX 5

Liquidity Coverage Ratio Disclosure Format

Institutions must disclose the information indicated in Table I.1. Regarding this, Institutions must take into consideration the explanation of the note corresponding to the numerical reference shown in the first column of said format, in accordance with the following:

1.

The amounts corresponding to the "Unweighted Amount (average)" column will be calculated as the simple average of the amounts on the date of calculation of the Liquidity Coverage Coefficient that the Institutions have reported during the immediately preceding quarter, pursuant to Article 3 of these provisions.

2.

The amounts corresponding to the "Weighted Amount (average)" column will be calculated as the simple average of the amounts on the date of calculation of the Liquidity Coverage Coefficient that the Institutions have reported during the immediately preceding quarter pursuant to Articles 9, 10, and 11 of these provisions, as applicable.

3.

Cells marked as "Not applicable" shall not be filled.

4.

The Liquidity Coverage Coefficient shown in row "23" will correspond to the simple average of the Liquidity Coverage Coefficient that the Institutions have reported during the immediately preceding quarter.

Table I.1

Liquidity Coverage Ratio Disclosure Format

(Amounts in millions of pesos)

Unweighted Amount
(average)

Weighted Amount
(average)

COMPUTABLE LIQUID ASSETS

Total Computable Liquid Assets

Not applicable

CASH OUTFLOWS

Unsecured retail financing

Stable financing

Less stable financing

Unsecured wholesale financing

Operational deposits

Non-operational deposits

Unsecured debt

Secured wholesale financing

Not applicable

Additional requirements:

Outflows related to financial derivative instruments and other collateral requirements

Outflows related to losses from financing of debt instruments

Credit and liquidity lines

Other contractual financing obligations

Other contingent financing obligations

TOTAL CASH OUTFLOWS

Not applicable

CASH INFLOWS

Cash inflows from secured operations

Cash inflows from unsecured operations

Other cash inflows

TOTAL CASH INFLOWS

Adjusted amount

TOTAL COMPUTABLE LIQUID ASSETS

Not applicable

TOTAL NET CASH OUTFLOWS

Not applicable

LIQUIDITY COVERAGE RATIO

Not applicable

Table I.2

Notes to the Liquidity Coverage Ratio Disclosure Format

Reference

Description

Amount of Computable Liquid Assets before the application of the adjustments indicated in fraction II of Article 9 of these provisions.

Sum of reference 3 and reference 4.

Outflow flow associated with unsecured retail financing corresponding to an exit factor of 5% pursuant to Annex 2 of these provisions.

Outflow flow associated with unsecured retail financing corresponding to an exit factor of 10% pursuant to Annex 2 of these provisions.

Sum of reference 6, reference 7, and reference 8

Outflow flow associated with unsecured wholesale financing corresponding to an exit factor of 5% and 25% pursuant to Annex 2 of these provisions.

Outflow flow associated with unsecured wholesale financing corresponding to an exit factor of 20% and 40% pursuant to Annex 2 of these provisions, and those loans and deposits from national and foreign financial entities with a weight of 100%.

Outflow flow associated with unsecured wholesale financing corresponding to an exit factor of 100% pursuant to Annex 2 of these provisions, excluding loans and deposits from national and foreign financial entities with a weight of 100%.

Outflow flow associated with secured financing pursuant to Annex 2 of these provisions.

Sum of reference 11, reference 12, and reference 13

Outflow flow associated with financial derivative instruments and collateral assets pursuant to Annex 2 of these provisions.

Outflow flow associated with liabilities generated by securitizations and any other structured instrument, as well as contingent liabilities associated with securitizations and special purpose vehicles with an initial maturity of one year or less.

Outflow flow associated with credit and liquidity lines pursuant to Annex 2 of these provisions.

Outflow flow associated with other cash outflows considered contractual, pursuant to Annex 2 of these provisions.

Outflow flow associated with other cash outflows considered contingent, pursuant to Annex 2 of these provisions.

Total cash outflow flow pursuant to Article 10 of these provisions. This amount will be the sum of references 2, 5, 9, 10, 14, and 15.

Inflow flow associated with secured operations pursuant to Annex 3 of these provisions.

Inflow flow associated with unsecured operations, excluding debt securities and shares, pursuant to Annex 3 of these provisions.

Inflow flow associated with financial derivative instruments and other inflows, as well as debt securities and shares, pursuant to Annex 3 of these provisions.

Total cash inflow flow pursuant to Article 11 of these provisions.
This amount will be the sum of references 17, 18, and 19.

Computable Liquid Assets pursuant to Article 9 of these provisions.

Total Net Cash Outflow Flow pursuant to Article 1 of these provisions.

Liquidity Coverage Coefficient pursuant to Article 1 of these provisions.

Additionally, Institutions must include in the disclosure of the previous format information regarding the Liquidity Coverage Coefficient in order to facilitate the understanding of the results. To this end, they must consider the following elements:

(a)

The calendar days included in the quarter being disclosed.

(b)

The main causes of the Liquidity Coverage Coefficient results and the evolution of its main components.

(c)

Changes in the main components within the reported quarter;

(d)

The evolution of the composition of Eligible and Computable Liquid Assets;

(e)

The concentration of its funding sources;

(f)

Exposures in financial derivative instruments and possible margin calls;

(g)

Currency mismatch;

(h)

A description of the degree of centralization of liquidity management and the interaction between group units;

(i)

Cash outflow and inflow flows that, where applicable, are not captured in this framework, but that the Institution considers relevant for its liquidity profile.

Likewise, Institutions must reveal at least the information corresponding to the immediately preceding quarter to that being revealed, in accordance with the following:

I.

Quantitative information:

(a)

Concentration limits regarding different groups of received collateral and main funding sources;

(b)

Liquidity risk exposure and financing needs at the Institution level, taking into account legal, regulatory, and operational limitations on liquidity transferability; and

(c)

Balance sheet operations broken down by maturity terms and resulting liquidity gaps, including operations recorded in off-balance sheet accounts.

II.

Qualitative information:

(a)

How liquidity risk is managed in the Institution, considering for this purpose tolerance to said risk; the structure and responsibilities for liquidity risk management; internal liquidity reports; liquidity risk strategy and policies and practices across business lines and with the board of directors;

(b)

The funding strategy, including diversification policies, and whether the funding strategy is centralized or decentralized;

(c)

Liquidity risk mitigation techniques used by the Institution;

(d)

An explanation of how stress tests are used; and

(e)

A description of contingent financing plans.

---

The inflow factor will be 0% in operations II.1 to II.5 if the asset received as collateral is not available to the Institution in the following thirty days from the date of calculation of the Liquidity Coverage Coefficient, having been used in any way that limits its free availability for a period longer than thirty days.

In the document you are viewing, there may be text, characters, or objects that do not display correctly due to conversion to HTML format, so we recommend always taking the digitized image of the DOF or the PDF file of the edition as a reference. The content, form, and scope of published documents are the strict responsibility of their issuer.

CONSULTATION

BY DATE

Su
Mo
Tu
We
Th
Fr
Sa
INDICATORS

Exchange Rate and Rates as of 01/09/2026

DOLLAR

17.0147 UDIs

8.811040 TIIE 28 DAYS

6.7659% TIIE 91 DAYS

6.8033% TIIE 182 DAYS

6.8577% TIIE INTERBANK RATE

6.51%

See more

SURVEYS

Did you like the new look of the Official Gazette of the Federation website?

No

Yes

Official Gazette of the Federation

Río Amazonas No. 62, Col. Cuauhtémoc, C.P. 06500, Mexico City Tel. (55) 5093-3200, where you can access our services menu

Electronic address: dof.gob.mx

LEGAL NOTICE | SOME RIGHTS RESERVED © 2026