Resolution No. JPRF-G-2022-015 Approves the 2022 Budget of the Development Bank of Ecuador B.P.

Resolution No. JPRF-G-2022-015
THE FINANCIAL POLICY AND REGULATION BOARD
CONSIDERING:
That, Article 226 of the Constitution of the Republic of Ecuador prescribes that public servants and persons acting under state authority shall exercise only the competencies and powers attributed to them in the Constitution and the Law; That, Article 280 of the Constitution of the Republic defines the National Development Plan as the instrument to which public policies, programs, and projects, as well as the programming and execution of the State budget, shall be subject; That, the second clause of Article 70 of the Organic Code of Public Planning and Public Finances, regarding the National System of Public Finances (SINFIP), states: “All entities, institutions, and organisms included in Articles 225, 297, and 315 of the Constitution of the Republic shall be subject to the SINFIP, under the terms provided in this code, without prejudice to the autonomous management faculty of administrative, economic, financial, budgetary, and organizational order that the Constitution or laws establish for certain entities”; That, Article 109 of the Organic Code of Public Planning and Public Finances orders that the budgets of the entities and organisms indicated in that legal body shall enter into force and be obligatory from January 1 of each year; That, Article 101 supra provides: “In the formulation of budget drafts of the public sector, including those of public companies, decentralized autonomous governments, public banking, and social security, the technical norms, guidelines, classifiers, and catalogs issued by the governing body of the SINFIP shall be obligatorily observed”; That, through Article 13 of the Organic Monetary and Financial Code, Book 1, the Financial Policy and Regulation Board was created as part of the Executive Function, as a legal person of public law, with administrative, financial, and operational autonomy, responsible for the formulation of credit, financial, securities, insurance, and prepaid comprehensive health care service policy and regulation; and its composition was determined; That, Article 14.1, numeral 14, literal a) of the Organic Monetary and Financial Code, Book 1, establishes as a function of the Financial Policy and Regulation Board to annually approve the budget of the entities of the public financial sector, their reforms, as well as regulate their execution; That, in the Codification of Monetary, Financial, Securities, and Insurance Resolutions, Book I "Monetary and Financial System", Title II "National Financial System", Chapter XXXIII "On the Government and Administration of the Public Financial Sector", Section III "On the Capital Budget Public Financial Sector", Subsection I, the Budget Management Norms for Entities of the Public Financial Sector are contained; That, on September 27, 2021, the Ministry of Economy and Finance issued the guidelines for the programming and formulation of the General State Budget corresponding to the fiscal year 2022 and the Quadrennial Budget Programming 2022-2025. Within that
instrument, section 4.2.2. develops the guidelines for public banking budgets;

Resolution No. JPRF-G-2022-015

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That, through Resolution No. JPRF-F-2021-003 of December 10, 2021, the Financial Policy and Regulation Board, based on the guidelines issued by the Governing Body of Public Finances, issued the guidelines for the preparation of the budget draft of the Public Financial Entities for the year 2022; That, through Memorandum No. BDE-BDE-2021-0100-M of December 17, 2021, the General Management sent the budget draft for the year 2022 to the Board of Directors of the Development Bank of Ecuador; That, on December 21, 2021, in Session No. 006-DIR-BDE BP-2021, the Board of Directors of the Development Bank of Ecuador internally approved the respective budget draft; That, through Resolution No. JPRF-F-2021-009 of December 30, 2021, the schedule for the presentation and approval of budget drafts for the current year was modified, in accordance with the Second and Third Transitional Provisions of Section XI “Guidelines for the preparation of the budget draft of the Public Financial Entities for the year 2022”, of Chapter XXXIII "On the Government and Administration of the Public Financial Sector", Book I "Monetary and Financial System" of the Codification of Monetary, Financial, Securities, and Insurance Resolutions; That, on December 29, 2021, through Letter No. JPRF-2021-0026-O, the Financial Policy and Regulation Board requested the pronouncement of the Ministry of Economy and Finance within the approval procedure of the budget draft of the Development Bank of Ecuador B.P. for the economic year 2022; That, the Ministry of Economy and Finance, through the Undersecretary of Economy, responded to the immediate preceding request, with Letter No. MEF-VE-2022-0001-O of January 3, 2022, stating that that State Portfolio, within the board of directors of the Development Bank of Ecuador B.P., took note and recorded the vote in favor of approving the Budget Draft of the Development Bank of Ecuador B.P. 2022. And, requested the Administration to present the draft for consideration by the Financial Policy and Regulation Board according to the established deadlines; That, through Letter No. MEF-VE-2022-0005-O of January 11, 2022, signed by the Undersecretary of Economy, addressed to the President of the Financial Policy and Regulation Board, it sends as an addendum to Letter No. MEF-VE-2022-0001-O, Report No. MEF-CESFM-2022-002 on the “Analysis of the Budget Draft of the Development Bank of Ecuador B.P. (BDE) corresponding to the economic year 2022” prepared and presented by the Strategic Coordination of the Monetary Financial Sector of the Ministry of Economy and Finance through Memorandum No. MEF-CFM-2022-0002-M of January 10, 2022, which recommends the approval of the Budget Draft of the Development Bank of Ecuador B.P. corresponding to the economic year 2022, in concordance with the favorable vote issued by the Ministry of Economy and Finance in Ordinary Session No. 006-DIR-BDE BP-2021 of December 21, 2021 of the BDE Board of Directors; That, the Technical
Secretary of the Financial Policy and Regulation Board through Memorandum No. JPRF-SETEC-2022-0004-M of January 10, 2022, sends to the President of the JPRF, the technical and legal analyses that support the pertinence of this resolution, contained in Reports No. JPRF-CT-2022-009 and No. JPRF-CJ-2022-0005 of January 10, 2022, respectively; That, the Financial Policy and Regulation Board, in an extraordinary session held by technological means convened on January 10, 2022 and carried out via video conference on January 11, 2022, learned about the budget of the Development Bank of Ecuador B.P., for the economic year 2022; and,

Resolution No. JPRF-G-2022-015

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In exercise of its functions,
RESOLVES:
SOLE ARTICLE.- Approve the budget of the Development Bank of Ecuador B.P. corresponding to the economic year 2022, which shall be valid from January 1, 2022, according to Annex No. 1 attached, which forms an integral part of this resolution.
GENERAL PROVISIONS:
FIRST.- The legal representative of the Development Bank of Ecuador B.P. shall be in charge, within the framework of the Law, of the execution of the budget.
SECOND.- It is ordered that the Development Bank of Ecuador B.P. submit the approved budget for the economic year 2022 to the Ministry of Economy and Finance and to the National Assembly within the term of 30 days, counted from the issuance of this resolution, in compliance with what is provided in Articles 112 of the Organic Code of Public Planning and Public Finances and 94 of the General Regulation to the Organic Code of Public Planning and Public Finances. TRANSITIONAL PROVISION.- In case there has been any budgetary movement or impact directly related to the operability of the Development Bank of Ecuador B.P. in the days prior to the issuance of this resolution, these movements must be regularized during the first month of budget execution of the fiscal year 2022. Such movements and regularizations shall not affect the total amount of the Institutional Budget sent for approval to the Financial Policy and Regulation Board. FINAL PROVISION.- This resolution shall enter into force from the date of its issuance, without prejudice to its publication in the Official Register. Publish this resolution on the website of the Financial Policy and Regulation Board, within a maximum term of two days from its issuance. COMMUNICATE.- Given in the Metropolitan District of Quito, on January 11, 2022. THE PRESIDENT, Mgs. María Paulina Vela Zambrano The preceding resolution was processed and signed by Master María Paulina Vela Zambrano, President of the Financial Policy and Regulation Board, in the Metropolitan District of Quito, on January 11, 2022.- I CERTIFY. TECHNICAL SECRETARY Dr. Nelly Arias Zavala

Resolution No. JPRF-G-2022-015

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Source BDE
Source: BDE