Resolution of the Board of the National Bank of the Kyrgyz Republic No. 25/12 of June 27, 2008 on Amendments to Certain Regulatory Acts

Registered in the Ministry of Justice of the Kyrgyz Republic

July 14, 2008. Registration Number 72-08

Bishkek

of June 27, 2008 No. 25/12

RESOLUTION OF THE BOARD OF THE NATIONAL BANK

OF THE KYRGYZ REPUBLIC

On Amendments and Additions to Certain

Regulatory Legal Acts of the National Bank

of the Kyrgyz Republic

(published in the journal "Regulatory Acts of the National Bank

of the Kyrgyz Republic", No. 2008/9)

Having considered the draft amendments and additions to certain regulatory legal acts of the National Bank of the Kyrgyz Republic, guided by Articles 7 and 43 of the Law of the Kyrgyz Republic "On the National Bank of the Kyrgyz Republic", the Board of the National Bank of the Kyrgyz Republic resolves:

1. Approve the amendments and additions to certain regulatory legal acts of the National Bank of the Kyrgyz Republic (attached).

2. The Banking Settlements Department, jointly with the Legal Department, shall, in the established manner, submit this resolution for state registration to the Ministry of Justice of the Kyrgyz Republic.

3. This resolution shall enter into force after state registration in the Ministry of Justice of the Kyrgyz Republic and subsequent official publication.

4. After the publication of the registered regulatory legal act, the Legal Department shall inform the Ministry of Justice of the Kyrgyz Republic about the source of publication (name of the publication, its number, and date).

5. The Banking Settlements Department shall bring this resolution to the attention of commercial banks, regional departments, and the representative office of the National Bank of the Kyrgyz Republic in the Batken Region.

6. Control over the execution of this resolution shall be entrusted to the Deputy Chairman of the Board of the National Bank of the Kyrgyz Republic, Z.L. Chokoev.

Chairman of the Board of the National

Bank of the Kyrgyz Republic M. Alapaev

Approved

by the resolution of the Board of the

National Bank

of the Kyrgyz Republic

of June 27, 2008 No. 25/12

@1 AMENDMENTS AND ADDITIONS

to certain regulatory legal acts

of the National Bank of the Kyrgyz Republic

I. Make the following amendments and additions to the Regulation on the System of Batch Clearing of Small Retail and Regular Payments in the Kyrgyz Republic, approved by the resolution of the Board of the NBKR No. 37/8 of December 15, 2005, registered in the Ministry of Justice of the KR on January 18, 2006 No. 8-06:

1. Rephrase Paragraph 9.3 as follows:

"Two types of limits for participants' net debit positions are established in the system:

• Limit 1 - is established daily after the opening of the clearing session, by transferring a file from RTGS to the Batch Clearing System based on the results of the participant's reservation of part of the funds located in the correspondent account at the beginning of the business day and necessary for conducting payments in the Batch Clearing System. If necessary, before the calculation of final net positions, the participant may change Limit 1 only by increasing it. The calculation of the final net position is carried out within Limit 1 and is intended to minimize financial risks;

• Limit 2 - is determined quarterly on the first working day of the quarter in the amount of the maximum limit of the participant's net debit position, determined based on the analysis of statistical data on the limits of the participant's net debit positions. This limit may be used only when participants of the system create a Reserve Fund intended to cover participants' debit positions at the time of final settlement."

II. Make the following amendments and additions to the Instruction on the procedure for conducting payments in the System of Batch Clearing of Small Retail and Regular Payments in the Kyrgyz Republic, approved by the resolution of the Board of the NBKR No. 38/11 of August 22, 2007, registered in the Ministry of Justice of the KR on October 4, 2007 No. 88-07:

1. In Paragraph 2.2, rephrase the term "Limit for Debit Net Position of Type 1 (hereinafter LDNP1)" as follows:

"Limit for Debit Net Position of Type 1 (hereinafter LDNP1) - is established daily after the opening of the clearing session, by transferring a file from RTGS to the Batch Clearing System based on the results of the participant's reservation of part of the funds located in the correspondent account at the beginning of the business day and necessary for conducting payments in the Batch Clearing System. If necessary, before the calculation of final net positions, the participant may change LDNP1 only by increasing it. The calculation of the final net position is carried out within LDNP1 and is intended to minimize financial risks."

2. In Paragraph 2.2, rephrase the term "Limit for Debit Net Position of Type 2 (hereinafter LDNP2)" as follows:

"Limit for Debit Net Position of Type 2 (hereinafter LDNP2) - is established daily, after the opening of the clearing session, in the amount of the maximum limit of the participant's net debit position, determined based on the analysis of statistical data for the previous quarter. Preliminary net positions are calculated within LDNP2. This limit is used when participants of the system create a Reserve Fund intended to cover participants' debit positions at the time of final settlement."