Lima, 12 July 2023

SUPERINTENDENCE OF BANKING, INSURANCE AND AFP
República del Perú

S.B.S. Resolution No. 02350-2023

The Superintendent of Banking and Insurance and Private Pension Fund Administrators

WHEREAS:

That, article 221 of the General Law of the Financial System and the Insurance System and Organic Law of the Superintendency of Banking and Insurance, Law No. 26702 and its amending norms (hereinafter, General Law), establishes the list of operations and services that companies of the financial system may provide, subject to the provisions of articles 283 to 289 of the General Law;

That, article 286 of the General Law indicates the operations and services of article 221 of the General Law that may be carried out by the Municipal Savings and Credit Banks (hereinafter, CMAC) with and without prior authorization from the Superintendency;

That, by means of SBS Resolution No. 1325-2018 and its amendments, the Special Norms for the Implementation of Law No. 30607, Law that Modifies and Strengthens the Functioning of the Municipal Savings and Credit Banks, were approved;

That, by means of Law No. 31711 “Law for the Strengthening of Municipal Savings and Credit Banks to promote competition for the benefit of consumers” it is provided, among other aspects, that CMAC with assets exceeding 75,000 UIT may carry out the operations indicated in numerals 1, 3a, 30a and 34 of article 221 of the General Law without prior authorization from the Superintendency, to promote competition and inclusion in the financial system;

That, likewise, by means of Law No. 31711 it is provided that a minimum of fifty percent (50%) of the profits of the Caja Municipal de Crédito Popular de Lima of each fiscal year, after applying the priority provided in numerals 1 and 2 of article 66 of the General Law, must be capitalized. The remaining fifty percent (50%) may be distributed in the form of dividends to the Metropolitan Municipality of Lima, capitalized, allocated to optional reserves or maintained in the accumulated results account. If the corporate

governance and risk management of the Caja do not reach the standards that the Superintendency of Banking, Insurance and Private Pension Fund Administrators establishes by means of a norm of general character, the aforementioned minimum percentage of capitalization of profits may be raised by said Superintendency to seventy-five percent (75%);

That, considering the provisions of Law No. 31711, it is necessary to adapt the Special Norms for the Implementation of Law No. 30607;

That, likewise, it is necessary to establish the requirements on corporate governance and risk management that the Caja Municipal de Crédito Popular de Lima must comply with to determine the percentage of capitalization of its profits;

That, in order to gather the opinions of the general public regarding the proposed regulation, the pre-publication of the draft resolution on the matter was ordered on the Superintendency's electronic portal, under the provisions of the Thirty-Second Final and Complementary Provision of the General Law and Supreme Decree No. 001-2009-JUS and its amendments;

With the approval of the Deputy Superintendencies of Banking and Microfinance, of Risks, of Economic Studies and of Legal Advice; and,

In use of the powers conferred by numerals 2, 7 and 9 of article 349 of the General Law;

RESOLVES:

Article One.- Modify the Special Norms for the Implementation of Law No. 30607, approved by SBS Resolution No. 1325-2018 and its amendments, as follows:

1. Replace the penultimate and last paragraphs of article 1 with the following:

“Article 1.-

(…)

In the cases of operations and services that only require development authorization, the implementation of the new operation and new service may be evaluated by the Superintendency after the launch of the operation and service. In that sense, the Manuals of Policies and Procedures and of Organization and Functions modified according to the new operations and services, as well as the Report with the opinion of the Internal Audit Unit on the performance of the new operations and services, must remain at the disposal of the Superintendency.

CMAC constituted from the entry into force of Law No. 30607 that have more than three (3) years of operation and present assets exceeding 75,000 Tax Units (UIT), may carry out directly and without prior authorization from the Superintendency the operations referred to in numerals 1, 3a, 30a and 34 of article 221 of the General Law.

Los Laureles No. 214 - Lima 27 - Perú Tel.: (511)6309000

CMAC constituted from the entry into force of Law No. 30607 that do not comply with the aforementioned requirement must require prior authorization from the Superintendency to carry out said operations in accordance with the provisions of articles 3 and 9, as applicable, of the Regulation for the Expansion of Operations approved by SBS Resolution No. 4465-2016 and its amendment (hereinafter, Regulation for the Expansion of Operations).

The other operations and services indicated in article 221 of the General Law that are not included in article 286 of said Law may also be carried out by CMAC constituted from the entry into force of Law No. 30607 from the third year of having authorization to operate, with prior authorization from the Superintendency considering for this purpose the provisions of article 3 of the Regulation for the Expansion of Operations.

For all new operations carried out by CMAC, the regulatory provisions issued by the Superintendency associated with risk management in new products and important changes must be complied with, as applicable.”

2. Replace Article 2 with the following:

"Article 2.- CMACs incorporated before the entry into force of Law No. 30607 and that have more than three (3) years of operation may carry out the new operations and services established in Article 286 of the General Law as amended by Law No. 30607.

For the serial issuance of financial instruments and for the issuance of instruments representing subordinated debt, the specific rules issued by the Superintendency for such operations must also be taken into account.

CMACs incorporated before the entry into force of Law No. 30607 that have more than three (3) years of operation and present assets exceeding 75,000 UIT may directly carry out, without prior authorization from the Superintendency, the operations referred to in numerals 1, 3a, 30a and 34 of Article 221 of the General Law. CMACs incorporated before the entry into force of Law No. 30607 that have more than three years of operation and that do not meet the requirement of having assets exceeding 75,000 UIT must require prior authorization from the Superintendency to carry out such operations in accordance with the provisions of Articles 3 and 9, as applicable, of the Regulation for the Expansion of Operations.

For all new operations carried out by CMACs, the regulatory provisions issued by the Superintendency associated with risk management in new products and significant changes, as applicable, must be complied with."

Article Second.- In accordance with Article 7 of Law No. 10769, which creates the Caja Municipal de Crédito Popular de Lima (hereinafter, the CMCPL), after applying the priority order set forth in numerals 1 and 2 of Article 66 of the General Law, a minimum of fifty percent (50%) of the profits of each fiscal year corresponding to the CMCPL must be capitalized; said capitalization percentage may be increased to seventy-five

Los Laureles No. 214 - Lima 27 - Peru Tel.: (511)6309000

percent (75%) in the event that the corporate governance and risk management of the CMCPL do not meet all the standards detailed below:

a) The CMCPL has at least six (6) directors.

b) The General Management is not vacant or has an interim appointment of less than nine (9) months.

c) The CMCPL does not present requirements for provisions, liquidity or capital, of a regulatory or prudential nature, formulated by the Superintendency, pending attention.

d) The CMCPL complies with the provisions of the Regulation for the Requirement of Effective Equity for Additional Risks, approved by SBS Resolution No. 3953-2022, and the Regulation for the Requirement of Conservation, Economic Cycle and Market Concentration Risk Buffers, approved by SBS Resolution No. 3954-2022.

e) The indicator "Common Equity Tier 1 referred to in Article 184 of the General Law divided by Total Risk-Weighted Assets and Contingents" defined in paragraph 15.9 of Article 15 of the Regulation on Subordinated Debt Applicable to Financial System Companies, approved by SBS Resolution No. 3950-2022, is greater than 5.125%.

To determine the capitalization percentage corresponding to the Metropolitan Municipality of Lima, the Internal Audit Unit of the CMCPL must prepare a report evaluating compliance with each of the standards indicated above, with a cut-off date of 31 December of the previous year. Said report must be approved by the Board of Directors and sent to the Superintendency no later than the fifteenth (15) of February, together with the minutes of the Board of Directors where its approval is recorded.

In addition to the report prepared by the Internal Audit Unit, the Superintendency may consider, for the purposes of determining the capitalization percentage, that the actions of the General Shareholders' Meeting, Board of Directors and General Management of the CMCPL are in accordance with the powers, functions and provisions established in Law No. 10769, the General Law and its regulatory norms.

Within a period of no more than thirty (30) calendar days from receipt of the report mentioned above, the Superintendency may rule on the evaluation carried out by the Internal Audit Unit; if it does not do so, it shall be understood that it agrees with the results of said evaluation. The profit capitalization percentage must be adjusted to the results of the aforementioned evaluation by the Internal Audit Unit; or, as the case may be, to the ruling of the Superintendency, which is binding. The General Shareholders' Meeting must proceed to formalize the corresponding agreement at the Meeting referred to in Article 114 of the General Corporations Law.

Article Third.- This resolution enters into force on the day following its publication in the Official Gazette El Peruano.

Register, communicate and publish.

SUPERINTENDENCY OF BANKING, INSURANCE AND AFP Republic of Peru

SOCORRO HEYSEN ZEGARRA
Superintendent of Banking, Insurance and
Private Administrators of Pension Funds