Technical Standards for the Authorization of the Establishment and Start of Operations of Banks in El Salvador

Alameda Juan Pablo II, between 15 and 17 Av. Norte, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45
TECHNICAL STANDARDS FOR THE AUTHORIZATION OF THE ESTABLISHMENT AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023

THE COMMITTEE OF STANDARDS OF THE CENTRAL RESERVE BANK OF EL SALVADOR,

CONSIDERING:

I. That Article 4, first paragraph, of the Banks Law, establishes that the denomination “Bank” will be exclusive and mandatory for institutions authorized to function as such in accordance with said Law.
II. That Article 15 of the Banks Law establishes that public promotion and the constitution of Salvadoran companies that propose to operate banks must be previously authorized by the Superintendence of the Financial System.
III. That Article 16 of the Banks Law establishes the requirements that interested parties must observe to carry out public promotion prior to the constitution of the company.
IV. That Article 17 of the Banks Law establishes the requirements that interested parties must fulfill to receive authorization from the Superintendence of the Financial System to constitute the company.
V. That Article 18 of the Banks Law establishes the requirements that interested parties must observe to receive authorization from the Superintendence of the Financial System to constitute a bank without public promotion.
VI. That Article 20 of the Banks Law establishes that the Superintendence of the Financial System will authorize an entity to function as a bank and start its operations once the requirements established in the referenced Law are met.
VII. That Article 2 of the Law on Supervision and Regulation of the Financial System establishes that the Financial Supervision and Regulation System aims to ensure the efficiency and transparency of the financial system, as well as the adoption of the highest standards of conduct in the development of its business.
VIII. That Article 3, letter b), of the Law on Supervision and Regulation of the Financial System establishes that it is the competence of the Superintendence of the Financial System to authorize the constitution, operation, start of operations, suspension of operations, modification, revocation of authorization, closure, and other acts of the members of the financial system, in accordance with the legal, regulatory, or technical normative provisions established regarding the matter.
IX. That Article 4, letter d), of the Law on Supervision and Regulation of the Financial System establishes that the Superintendence of the Financial System will have the power to authorize public promotion, constitution, operation, and start of operations, modification of social agreements and statutes, if applicable, and merger of the members of the financial system in accordance with what is provided in the special laws on the matter.
X. That Article 7, letter b), of the Law on Supervision and Regulation of the Financial System establishes that the supervision of banks constituted in El Salvador corresponds to the Superintendence of the Financial System.

THEREFORE, by virtue of the normative powers conferred upon it by Article 99 of the Law on Supervision and Regulation of the Financial System, AGREES to issue the following:

TECHNICAL STANDARDS FOR THE AUTHORIZATION OF THE ESTABLISHMENT AND START OF OPERATIONS OF BANKS IN EL SALVADOR

CHAPTER I
OBJECT, SUBJECTS, AND TERMS

Object
Art. 1.- These Standards aim to establish the requirements and the process for the authorization of the constitution of companies that propose to operate as banks in El Salvador, as well as for the start of operations and the corresponding registration in the Superintendence of the Financial System.

Subjects
Art. 2.- The subjects obligated to comply with the provisions established in these Standards are persons interested in receiving authorization to constitute and operate a bank in El Salvador.

Terms
Art. 3.- For the purposes of these Standards, the terms indicated below have the following meaning:
a) Bank: According to what is established in Article 2 of the Banks Law; b) Central Bank: Central Reserve Bank of El Salvador; c) Board of Directors: Collegiate body in charge of the administration of the entity, with functions of supervision, direction, and control, or equivalent body; d) Law: Banks Law; e) TIN: Tax Identification Number; f) Program: Refers to the program for the subscription of shares as indicated in the Commercial Code; g) Public Promotion: Call to the subscription of shares using means of advertising or propaganda; h) Promoters: Natural or legal persons interested in the constitution of a new bank with public promotion; and i) Superintendence: Superintendence of the Financial System.

CHAPTER II
ON ORGANIZATION AND ADMINISTRATION

Organization
Art. 4.- Banks will be constituted with a minimum of ten shareholders and must be organized as fixed-capital anonymous societies, divided into registered shares.

Minimum paid capital
Art. 5.- The minimum paid social capital for the constitution of a bank must be in accordance with what is established in Article 36 of the Law.

Board of Directors
Art. 6.- Banks must be administered by a Board of Directors, integrated by three or more principal directors and an equal number of alternate directors. Those who meet the requirements and are not within the causes of ineligibility established in Article 33 of the Law may be directors.

Authorization by possession of shares
Art. 7.- If a natural or legal person wishes to hold more than one or ten percent of the shares of a bank, they must request prior approval from the Superintendence, submitting an authorization request, according to the models established in Annexes Nos. 1 and 2 of these Standards. The authorization will be denied if the acquirer is in any of the circumstances established in Article 11 of the Law.

CHAPTER III
ON THE AUTHORIZATION FOR PUBLIC PROMOTION

On the authorization request for public promotion Art. 8.- Interested parties in constituting a bank with prior public promotion must be no fewer than ten, and must request the respective authorization from the Superintendence signed by the promoters interested in the constitution, attaching to the request the following documents:
a) General information of the promoters:
i. Name;
ii. Age;
iii. Profession;
iv. Address;
v. Nationality;
vi. Bank references;
vii. Resume validating experience in financial matters; and
viii. Business background.
These persons must not be in any of the circumstances indicated in Article 11 of the Law; and b) Program in which the bases on which the bank will be organized and function are made known, which must contain the following information:
i. Name, address, and purpose of the projected bank;
ii. Operations that are proposed to be carried out and an explanatory report of the economic reasons justifying the establishment of the bank;
iii. Amount of subscribed social capital and the subscribed but unpaid capital, with which the bank will begin its operations and the manner in which it will be divided, according to Article 6 of the Law;
iv. Number of directors;
v. Model of share subscription document, which must meet the requirements established in Annex No. 3 of these Standards;
vi. Designation of the banking institution or institutions that will receive the funds corresponding to the subscription of shares, which may only be withdrawn to be transferred to the Central Bank or in the cases contemplated in Article 204 of the Commercial Code;
vii. Budget for organizational expenses and financing method; and
viii. Detail of the execution of the public promotion.
The request and documentation may be submitted through the means made available by the Superintendence, which may be electronic. In any case, the period referred to in the first paragraph of Article 9 of these Standards will begin to run from the next business day after the request has been submitted.

On the authorization for public promotion
Art. 9.- Upon receiving the authorization request for public promotion according to what is established in Article 8 of these Standards, the Superintendence will proceed to verify compliance with the requirements defined in the Law and these Standards, having sixty days to authorize or deny the corresponding request. If the request is not accompanied by the information detailed in Article 8 of these Standards, the Superintendence, due to the lack of necessary requirements, may require the requesting entity to, within a period of ten business days counted from the day following the notification, present the missing documents, a period that may be extended at the request of the interested entities when there are reasons justifying it. The Superintendence in the same notice will indicate to the applicant that if they do not complete the information within the aforementioned period, it will proceed without further procedure to archive the request, leaving them free to submit a new request, which will give rise to a new procedure. If after the analysis of the documentation presented according to Article 8 of these Standards, the Superintendence has observations or when the documentation or information presented is not sufficient to establish the facts or information intended to be accredited as requested, the Superintendence may notify the respective requesting entity to remedy the deficiencies communicated or present additional documentation or information requested. The applicants will have a maximum period of ten business days counted from the day following the notification, to resolve the observations or present the additional information requested by the Superintendence. The Superintendence may, through a reasoned resolution, extend by up to another ten business days, the period indicated in the previous paragraph, when the nature of the observations or notified deficiencies so requires.

Extension period
Art. 10.- The requesting entity may submit to the Superintendence a request for extension of the period indicated in the fifth paragraph of Article 9 of these Standards, expressing the grounds on which it is based and proposing, if applicable, the pertinent evidence. The extension period may not exceed ten business days and will begin from the next business day after the expiration date of the original period.

Suspension of the period
Art. 11.- The sixty-day period indicated in the first paragraph of Article 9 of these Standards will be suspended for the days that elapse between the notification of the request for information or documentation referred to in the second and fifth paragraphs of the aforementioned article of these Standards, until the observations requested by the Superintendence are remedied.

Resolution
Art. 12.- Once the complete documents are presented in due form, the Superintendence will proceed to respond whether it authorizes or denies the authorization request for public promotion of the entity, which it will notify within a maximum period of three business days from the date the resolution is issued. In case of authorization, the program will be approved simultaneously, indicating that the maximum period to carry out the promotion cannot exceed 180 days after the notification of this. Such resolution will not entail the certainty that the authorization to constitute the bank will subsequently be granted to the promoters. In the case that the resolution is denying, the notification must contain the reasons for which the requested is denied.

On the deposit of the minutes in the commercial registry Art. 13.- Promoters who receive a favorable resolution on the public promotion process must deposit in the Commercial Registry a copy of the program, which must be recorded in a notarial act and must be accompanied by the authorization certification that the Superintendence issues for these purposes. Promoters must present to the Superintendence the record of the deposit of the program in the Commercial Registry, to subsequently carry out the public promotion of the company in the terms and periods approved in the resolution.

Art. 14.- Promoters are prohibited from receiving, as subscription, any of the amounts to which subscribers have been obligated to exhibit in cash.

On the constitution process with public promotion Art. 15.- Upon completion of the public promotion period, promoters interested in constituting a bank must carry out the process established in Chapter IV of these Standards.

CHAPTER IV
PROCEDURE FOR AUTHORIZATION OF CONSTITUTION OF A BANK IN EL SALVADOR

On constitution without public promotion
Art. 16.- In cases where a bank is desired to be constituted without public promotion, interested parties will carry out the authorization process established in this Chapter.

On the request for authorization of constitution Art. 17.- Upon completion of the public promotion period authorized by the Superintendence, or in the case where it is desired to establish a bank without public promotion, interested parties must submit to the Superintendence the authorization request to constitute the company that will operate as a bank, presenting the following documentation:
a) Draft social deed or social agreement in which the statutes will be incorporated. This draft must contain the requirements indicated in Articles 22 and 194 of the Commercial Code and those mentioned in the Notaries Law; b) Business plan including the following:
i. Organization and administration scheme of the bank;
ii. Financial projections for two years indicating expected profitability, detailing the premises used;
iii. Description of the plans that the applicant proposes to develop in the short, medium, and long term, indicating viability and feasibility, both economic and financial. Developing at least the commercial, financial, and investment plans;
iv. Social capital;
v. Shareholding participation regarding subsidiaries;
vi. Internal policies that the bank will implement;
vii. Financial statements and their projections for two years, detailing the premises used; and
viii. Projected equity fund for two years and in accordance with what is required in Article 41 of the Law, detailing the premises used.
c) Name or trade name of the firm that will conduct the external audit of the bank, which must be registered in the Registry of External Auditors of the Superintendence, in accordance with what is established in Article 228 of the Law; d) List of future shareholders, who must be no fewer than ten, with specification of their general information and shareholding participation. If a natural person, they must present the following:
i. Full name;
ii. Nationality and address;
iii. Copy of the Unique Identity Document;
iv. Copy of the TIN, which will be in accordance with what is established by the Tax Administration;
v. Resume, attaching support of university degrees and certificates of experience in administrative and financial matters;
vi. Certified copy of passport, in the case of foreigners;
vii. Request to be holder of more than one or ten percent of the shares, in accordance with Annex No. 1 of these Standards;
viii. Description of the origin of funds for the acquisition of shares;
ix. Financial Statements of the last three years. In the case that by legal provision the applicant is obliged to have an external auditor, the Financial Statements must be audited and with their corresponding opinion and notes;
x. Sworn statement, in which it is stated that they are not in any of the causes indicated in Article 11 of the Law, for the authorization of the acquisition of shares in excess of one or ten percent of the social capital of the bank, expressly mentioning each of them, in accordance with Annex No. 5 of these Standards;
xi. Valid certificate issued by the General Directorate of Penal Centers stating no criminal record. In the case of foreign shareholders, they must present the document accrediting that they do not have a criminal record issued by the competent authority in their country of origin;
xii. Certificate issued by the financial entity that evidences the availability of funds to acquire the shareholding participation;
xiii. Income Tax Declaration corresponding to the last fiscal year;
xiv. In the case that the origin of the funds are contracted loans, attach the following:

1. Copy of the loan or loan contract; and
2. Projected Cash Flow for ten years of income, expenses, and accumulated balances.
   If a legal person, they must present the following information:
   i. Name or trade name;
   ii. Nationality and address;
   iii. Copy of the TIN, which will be in accordance with what is established by the Tax Administration;
   iv. Financial statements of the last three years. In the case that by legal provision the applicant is obliged to have an external auditor, the Financial Statements must be audited and with their corresponding opinion and notes;
   v. Testimony of the deed of constitution and statutes, or creation law, as applicable, in both cases with their reforms and legal representation;
   vi. Power of attorney granted to be represented as a shareholder;
   vii. Certification of the point of the minutes, where the acquisition of shares is authorized;
   viii. Request to be holder of more than one or ten percent of the shares, in accordance with Annex No. 2 of these Standards;
   ix. Description of the origin of funds for the acquisition of shares;
   x. Certificate issued by the financial entity that evidences the availability of funds to acquire the shareholding participation;
   xi. Sworn statement, in which it is stated that they are not in any of the causes indicated in Article 11 of the Law, for the authorization of the acquisition of shares in excess of one or ten percent of the social capital of the bank, expressly mentioning each of them. The sworn statement must be signed by the legal representative, in accordance with Annex No. 6 of these Standards. Additionally, they must present a sworn statement considering Annex No. 7 of these Standards, signed by the natural person or the legal representative of the legal person, as applicable, when they hold a percentage equal to or greater than twenty-five percent of the shareholding of the applicant;
   xii. Certification mentioning the names of the main shareholders or associates of the requesting legal person, with their corresponding shareholding participation; and

Alameda Juan Pablo II, between 15th and 17th North Avenue, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45
TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023

xiii. Updated credentials of the Board of Directors or its equivalent, from the legal entity applicant.
e) List and general information of future directors, and their spouses, with the following information:
i. Sworn declaration stating that they are not subject to the disqualifications set forth in Article 33 of the Law. In the case of directors' spouses, they must declare that they are not subject to the disqualifications applicable to them, in accordance with Annex No. 4 of these Standards;
ii. Valid certificate issued by the General Directorate of Penal Centers certifying no criminal record. In the case of foreign shareholders, they must present the document accrediting that they have no criminal record issued by the competent authority in their country of origin;
iii. Curriculum vitae, only in the case of directors; and
f) List of managers and other persons authorized to decide on the granting of loans, with the same information referred to in letter e) of this article.
The application and documentation may be submitted through the means made available by the Superintendence, which may be electronic. In any case, the time limit referred to in the first paragraph of Article 18 of these Standards shall begin to run from the next business day after the application has been submitted. Likewise, the Superintendence may require interested parties, within a period of thirty days counted from the date of submission of the application, other information it deems relevant, which must be presented within a period of ten business days counted from the day following the notification, a period that may be extended at the request of the applicant when there are reasons justifying such extension. The Superintendence, in the same notice, will inform the applicant that if the information is not completed within the aforementioned period, it will proceed without further procedure to archive the application, reserving the right to submit a new application, which will give rise to a new procedure. Authorization Procedure to Constitute the Bank Art. 18.- Upon receipt of the authorization application to constitute the bank in accordance with what is established in Article 17 of these Standards, and after the periods established in paragraphs three and four of said article have elapsed, the Superintendence will proceed to verify compliance with the requirements defined in the Law and in these Standards, having one hundred twenty days counted from the date of submission of the application, to authorize or deny the application for authorization to constitute the company.

Alameda Juan Pablo II, between 15th and 17th North Avenue, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45
TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023 If, after analyzing the documentation presented in accordance with Article 17 of these Standards, the Superintendence has observations or when the documentation or information presented is not sufficient to establish the facts or information intended to be accredited as requested, the Superintendence may notify the respective applicant entity to remedy the deficiencies communicated or to present additional documentation or information required. The applicant will have a maximum period of ten business days counted from the day following the notification, to resolve the observations or present the additional information required by the Superintendence. The Superintendence may, through a reasoned resolution, extend by up to another ten business days, the period indicated in the previous paragraph, when the nature of the observations or deficiencies notified so requires. Extension Period Art. 19.- The applicant entity may submit an application to the Superintendence for an extension of the period indicated in paragraph three of Article 18 of these Standards, before the expiration of said period, expressing the grounds for the request and proposing, if applicable, the pertinent evidence. The extension period cannot exceed ten business days and will start from the next business day after the expiration date of the original period. Suspension of Time Limits Art. 20.- The periods of thirty and one hundred twenty days indicated in paragraph three of Article 17 and in paragraph one of Article 18 of these Standards, respectively, will be suspended for the days that elapse between the notification of the request for information or documentation referred to in paragraph three of Article 17 and paragraph three of Article 18 of these Standards, until the observations required by the Superintendence are remedied. Publication of Initial Shareholders and Directors Art. 21.- The Superintendence, after receiving the application for the constitution of banks and obtaining all required information, will publish the following:
a) List of shareholders who own one percent or more of the capital; b) List of initial directors of the bank to be constituted; and c) In the case where shareholders are other companies, the list of shareholders who own more than five percent of their capital must also be published. The publication referred to in the first paragraph of this article will be carried out once and at the expense of the interested parties, in two printed media with national circulation or another digital publication platform with greater or equal coverage, and on its website, in accordance with the current legal framework. The purpose of the publication is that any person who knows that any of the disqualifications contained in Articles 11 and 33 of the Law apply to the initial shareholders and directors who will form part of the company, may object to them. Objections must be submitted in writing to the Superintendence within a period of fifteen days counted from the day following the publication, attaching pertinent evidence. The information will be confidential. The Superintendence will notify the objected person of this circumstance, who must appear within a period of eight business days counted from the respective notification, to rule on the opposition raised, being able to attach any kind of evidence tending to support their arguments. After the aforementioned period concludes, the Superintendence will rule within ten business days on the alleged disqualifications, notifying this circumstance. If any future senior executive is declared ineligible, according to what is established in the Law to hold such status, applicants must send to the Superintendence within a period of thirty days a new list in which the corresponding initial shareholder or director have been excluded, attaching all documentation concerning the person who replaces them. Notwithstanding the above, at any time during the authorization process, the Superintendence may ex officio or at the request of a party declare ineligibility, prior to a hearing of the objected person within a period of eight business days counted from the day following the notification, to exercise their right of defense. After the aforementioned period concludes, the Superintendence will rule within ten business days on the alleged disqualifications, notifying this circumstance. Modifications in Documentation Art. 22.- If during the period referred to in paragraph one of Article 18 of these Standards, any change occurs in the information or documentation presented to the Superintendence in accordance with Article 17 of these Standards, applicants must send the updated information or documentation to the Superintendence within five days following the occurrence of the change. Additionally, when a change occurs in the information published in the notice referred to in Article 21 of these Standards, the publication must be repeated under the same terms and periods established in said article. Resolution Art. 23.- In the case
that all requirements established in the Law and these Standards have been met, and the interested parties have sent all requested information, the Superintendence will grant authorization for the bank to be constituted and operate, when in its judgment, with the presented information, it proves the following:
a) The project has economic and financial viability and feasibility, as well as it is considered that the honorability and personal responsibility of shareholders of more than one percent, directors, and administrators of the bank, offer protection to the interests of the public; b) Good financial situation and solvency of shareholders of more than one percent, including the consolidated analysis for each of them, of the group of companies, businesses, assets, and debts affecting them. In any case, the equity of each of them, at minimum, must be equivalent to the capital they commit to contribute to the new institution. Interested parties must demonstrate the legitimate origin of the funds to be invested. Furthermore, they must not be in any of the circumstances mentioned in Article 11 of the Law; and c) That the financial projections and business plans presented satisfactorily support the feasibility of the bank. When the resolution is favorable, the inscription in the Commercial Registry of the constitutive instruments of the company in question or a certification thereof will be authorized in the same resolution, which must contain the terms indicated in Article 206 of the Commercial Code, where pertinent, indicating therein the period within which the constitutive deed must be granted, in which the certificates of sums deposited in the Central Bank, accrediting the shares subscribed and paid by the partners, must be related. If the resolution is negative, the notification will contain the reasoned causes for the denial. The Superintendence will proceed to communicate the corresponding resolution to the applicant within a maximum period of three business days, from the date of issuance thereof. Review of Testimony Art. 24.- Prior to the presentation of the testimony of the constitutive deed in the Commercial Registry, it must be presented to the Superintendence to qualify whether the terms stipulated in the social pact are in conformity with those previously authorized in the project, and to verify if the social capital has been effectively integrated in accordance with the authorization. The Superintendence will have a period of ten business days to carry out this verification. If there are differences between the public constitutive deed and the project of the same authorized by the Superintendence, it must communicate this to the applicant within the period indicated in the first paragraph of this article, so that the authorizing notary proceeds to make the respective adjustments, and the testimony of the public deed must be presented again before the Superintendence, within a period of twenty business days from the date of communication of the inconsistencies or differences for verification.

Alameda Juan Pablo II, between 15th and 17th North Avenue, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45
TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023 Art. 25.- If the Superintendence determines that there are no inconsistencies between the public constitutive deed and the reviewed deed project, or in the case that the inconsistencies communicated in accordance with what is established in Article 24 of these Standards have been overcome; the Superintendence will proceed within a period of five business days to extend a certificate signed by the Superintendent of the Financial System, containing the favorable qualification of said deed, with the objective that it can be presented in the Commercial Registry for the corresponding inscription. Procedure if the Commercial Registry makes observations to the testimony of the public constitutive deed, or denies its inscription Art. 26.- When the Commercial Registry notifies the authorizing notary or any other interested party, the denial or the making of observations to the testimony of the public constitutive deed of a Bank, that person or party must, in turn, notify this circumstance to the Superintendence in writing and no later than the next business day after receiving the respective notification. In said writing, the interested party or the authorizing notary must relate at least, the presentation number of the respective instrument in the Commercial Registry and state whether they will file any type of appeal tending to achieve the inscription of the testimony or, in its case, the manner in which they intend to remedy the respective observations, as well as the result of such actions, notifying this last aspect to the Superintendence in the manner provided in the first paragraph of this article. If for the inscription of the instrument in question, it is necessary to modify the conditions under which the Superintendence ordered its favorable qualification, it may, at the written request of future shareholders or their proxies, proceed to issue a new certificate under the terms established in Article 25 of these Standards. Once the testimony is inscribed and the statutes are deposited in the Commercial Registry, the Bank will send a copy of said instruments to the Superintendence. Art. 27.- In the case that the Board of Directors has not been elected in the public constitutive deed, applicants must send to the Superintendence a copy of the certification of its inscription in the Commercial Registry, to corroborate that it coincides with the Board of Directors published in the notice referred to in Article 21 of these Standards. In the case that the published list does not coincide with the certification of the point of the minutes in which the Board of Directors is chosen, the Superintendence, at the expense of the applicants, will carry out a new publication for the effects of Article 21 of these Standards. Period for Registration of Shares Art. 28.- The bank must register its shares in a stock
exchange sixty days after the corresponding deed has been inscribed in the Commercial Registry, as established in Article 6 of the Law. Art. 29.- For the bank to begin the process of starting operations, it must have the constitutive deed inscribed in the Commercial Registry.
CHAPTER V
OF THE START OF OPERATIONS
Documentation for Start of Operations
Art. 30.- The new entity that will operate as a bank, within a period of one hundred eighty days counted from the constitution of the company, must request authorization for the start of operations from the Superintendence in accordance with what is established in Article 20 of the Law, attaching the following documentation:
a) Note signed by the legal representative of the bank, requesting the Superintendence the authorization for the start of operations and its corresponding entry in the Registry; b) Legible copy of the certification of the point of the minutes of the General Meeting of Shareholders in which the election of the Board of Directors is recorded, prior to its inscription in the Commercial Registry, in the case that they have not been appointed in the constitutive act; c) Legible copy of the point of the minutes of the General Meeting of Shareholders or of the Board of Directors, by virtue of which the appointment of the general manager or executive director and the compliance officer has been made; d) Copy of the Tax ID Number (NIT), which will be in accordance with what is established by the Tax Administration, and of the Taxpayer Registration Number of the bank; e) Organizational chart with indication of position and name of administrators and directors, specifying the position to be held regarding support staff; f) Curriculum vitae and documents accrediting that the people working for senior management developing strategic functions, have the due technical and professional capacity and experience and academic degree necessary for the performance of such activities; g) Legible copy of the agreement appointing the external auditor, in the case that it has not been appointed in the constitutive act; h) Detail of physical infrastructure, furniture, and technical resources adequate to its activity program in accordance with the plan or business model; i) Detail of products and services offered to the public, attaching contract models considering what is established in Article 39 of these Standards; j) Deposit Rules approved by the Central Bank for demand deposit products, term deposits, and savings account deposits, regarding characteristics, modalities, and conditions that may be constituted; k) Budget of fixed expenses of the bank for the first year of operation;

Alameda Juan Pablo II, between 15th and 17th North Avenue, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45
TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023 l) Systems and accounting procedures on the following aspects:
i. Form in which accounting entries will be recorded, in each of the Principal and Auxiliary books;
ii. Mode in which vouchers will be related to entries in the books and previous records;
iii. Models of financial statements;
iv. Vouchers of income, expenses, among others necessary for operation; and
v. Accounting systems must be presented in accordance with applicable legal provisions.
m) Detail and technical characteristics of the technological infrastructure supporting business and accounting operations:
i. List and general description of computer systems and main processes;
ii. Inventory and technical characteristics of servers, storage equipment, communications, and security;
iii. Network diagram, presenting communications between main servers, agencies, and external connections;
iv. Copy of contracts and licenses of computer systems;
v. User manuals; and
vi. Relational design of files.
n) Policies and mechanisms for the management of the bank's risks, including those related to preventing and impeding the execution of operations related to the prevention, detection, and control of money laundering, terrorist financing, and financing of the proliferation of weapons of mass destruction in accordance with legislation and regulation in this matter. The policies must include at minimum the methodology to systematically identify, measure, control, and mitigate, as well as monitor and communicate appropriately for each of the different types of identified risks; in addition to the certification of the Point of Minutes where these policies were authorized by the Board of Directors; (1) o) Internal control manuals for the functioning in each of the bank's operational processes; p) Organization and procedures manuals that allow it to fulfill its functions adequately, considering the positions of participants in said procedure and their obligations, as well as the formats of forms to be used in the accounting and operability of the bank; q) Regulatory compliance matrix; r) Present the documentation that attests that the bank has completed the functionality tests of the different systems in each environment, with the approval of user areas; s) Present internal audit reports on the tests performed on the systems, considering:

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
NRP-45

TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

i. The preparation of reports for each system related to the products and services included in the start of operations; and
ii. Documentation of the tests executed as part of the evaluations performed.

Additionally, the new bank to install agencies or banking establishments and its functioning, as well as regarding the requirements related to policies, manuals, and procedures on information security, business continuity, operational risk, and digital channels, must comply with what is established in the Technical Standards issued by the Central Bank through its Standards Committee for such purposes.

The application and documentation may be submitted through the means made available by the Superintendence, which may be electronic. In any case, the deadline referred to in the first paragraph of Article 31 of these Standards will begin to run from the next business day after the application has been submitted.

Authorization Procedure for the Start of Operations

Art. 31.- Upon receipt of the application for authorization for the start of operations of the company, in accordance with what is established in Article 30 of these Standards, the Superintendence will proceed to verify compliance with the requirements defined in the Law and these Standards, having a period not greater than twenty business days.

If the application is not accompanied by the complete and properly formatted information detailed in Article 30 of these Standards, the Superintendence, due to the lack of necessary requirements, may require the applicants to present the missing documents within a period of ten business days counted from the day following the notification, a period that may be extended at the request of the interested parties, when there are reasons justifying such extension.

The Superintendence in the same notice will indicate to the applicants that if they do not complete the information within the aforementioned period, it will proceed without further procedure to archive the application, reserving their right to submit a new application.

If after the analysis of the documentation presented in accordance with Article 30 of these Standards, the Superintendence has observations or when the documentation or information presented is not sufficient to establish the facts or information intended to be accredited; the Superintendence will notify the applicants to remedy the deficiencies communicated to them or present additional documentation or information requested by the Superintendence.

The applicants will have a maximum period of ten business days counted from the day following the notification, to resolve the observations or present the information required by the Superintendence.

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

The Superintendence may, through a reasoned resolution, extend by up to another ten business days the period indicated in the previous paragraph, when the nature of the observations or deficiencies notified so requires.

Extension Period

Art. 32.- Applicants may submit to the Superintendence an application for extension of the period indicated in the fifth paragraph of Article 31 of these Standards, before the expiration of said period, stating the grounds for the request and proposing, if applicable, the relevant proof.

The extension period may not exceed ten business days and will begin from the next business day following the expiration date of the original period.

Suspension of the Period

Art. 33.- The period of twenty business days indicated in the first paragraph of Article 31 of these Standards, will be suspended for the days that elapse between the notification of the request to complete information or documentation referred to in the second and fifth paragraphs of said article, until the interested parties remedy the observations required by the Superintendence.

Resolution

Art. 34.- Once the complete and properly formatted documentation is presented, complying with all requirements established in the Law and these Standards, verifying their internal controls and procedures, and the corporate deed is registered in the Commercial Registry, the Superintendence will certify that the company may start its operations with the public. The Superintendence will notify the certification to the company within a maximum period of three business days from the date the resolution is issued. The certification will be valid for a period of one year from its issuance.

The Superintendence will publish, at the expense of the interested parties, in the Official Journal and in two newspapers of national circulation or another digital publication platform with greater or equal coverage, and on its website, only once the aforementioned resolution indicating at minimum the name of the bank, data related to the granting and registration of its corporate deed, amount of paid capital, names of shareholders, and names of directors and administrators, in accordance with what is established in Article 20 of the Law.

In any case, the operations of the authorized bank must not begin until the publications referred to in the previous paragraph have been materially verified.

Extension for Start of Operations

Art. 35.- If the validity period of the certification established in the first paragraph of Article 34 of these Standards has elapsed and the bank has not started its operations, it may request the Superintendence for an extension period of up to one hundred eighty days, for which it must present the documentation supporting such request, as well as a projected schedule of activities to be carried out until reaching the new estimated start of operations date, through the means made available by the Superintendence, which may be electronic.

The application must be submitted at least thirty days in advance of the original expiration of the period established in Article 34 of these Standards.

Regarding the Impossibility of Start of Operations

Art. 36.- If upon the expiration of the period or extension referred to in Articles 34 and 35 of these Standards, the bank has not started operations, it will be considered that there is an impossibility to achieve the main purpose, so the Superintendence will cancel the authorization to operate.

Start of Operations

Art. 37.- The bank must inform the Superintendence, through the means made available, which may be electronic, thirty days in advance of the start of operations, the following:
a) The day it will open its doors to the public; b) Public service hours; and c) Staff roster and register of authorized signatures.

CHAPTER VI
OTHER PROVISIONS AND VALIDITY

Presentation of Information

Art. 38.- Copies presented before the Superintendence, in compliance with what is established in these Standards, must be legible and certified by a Salvadoran Notary. In cases where the copies correspond to the Unique Identity Document (DUI) and the Tax Identification Number (NIT), notarial certification will not be required.

Likewise, signatures that match any type of documentation issued in El Salvador must be legalized by a Salvadoran Notary.

Public or authentic documents emanating from a foreign country, as well as their photocopies, may be admitted without the need for legalization or apostille, provided they allow reasonable verification of their authenticity, integrity, and content, in accordance with what is provided in Article 4-A of the Administrative Procedures Law. (1)

Documentation originating from a foreign country, written in a language other than Spanish, to have legal effect in El Salvador, must be translated in accordance with what is established in the Law on the Practice of Notarial Work of Voluntary Jurisdiction and Other Proceedings.

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

Regarding the Deposit of Contracts

Art. 39.- Entities that will operate as a bank, prior to offering and subscribing with the public the products or services, must present to the Superintendence the application to perform the deposit of the contract models, in accordance with the provisions and principles established in the applicable legal framework and in line with the nature of their operations.

Entities for the presentation of contracts must comply with the conditions established in the Consumer Protection Law and its Regulation.

Sanctions

Art. 40.- Non-compliance with the provisions contained in these Standards will be sanctioned in accordance with what is established in the Law on Supervision and Regulation of the Financial System.

Repeal

Art. 41.- These Standards repeal the "Regulation to Constitute and Operate New Banks and Financial Institutions in El Salvador" (NPB1-04), approved by the Board of Directors of the Financial System Superintendence in Session No. CD-19/1993 of March 19, 1993, whose Organic Law was repealed by Legislative Decree No. 592 containing the Law on Supervision and Regulation of the Financial System, published in the Official Journal No. 23, Volume No. 390, dated February 2, 2011.

Transitory

Art. 42.- Applications submitted in accordance with what is established in the "Regulation to Constitute and Operate New Banks and Financial Institutions in El Salvador" (NPB1-04), and which were pending at the time these Standards enter into force, will continue and conclude in accordance with the regulations under which they began.

Unforeseen Aspects

Art. 43.- Aspects not foreseen in regulatory matters in these Standards will be resolved by the Central Bank through its Standards Committee.

Validity

Art. 44.- These Standards will enter into force from December 13, two thousand twenty-three.

MODIFICATIONS:

(1) Modifications in Articles 30 and 38 and Annexes Nos. 4, 5, 6 and 7, approved by the Central Bank through its Standards Committee, in Session No. CN-04/2026 of May 25, two thousand twenty-six, with validity from June 9, two thousand twenty-six.

Annex No. 1

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

APPLICATION FOR AUTHORIZATION TO ACQUIRE AND BE OWNER OF SHARES IN EXCESS OF 1% OR 10% (NATURAL PERSONS)

To the Financial System Superintendence

Present.

I, _______________________, of _________ years of age, profession or occupation ___________________, nationality _________________, domicile of _________, with Unique Identity Document (DUI) No. and Tax Identification Number (NIT) ________________________, request authorization to acquire and be owner of shares in _______________________ in excess of 1% or 10% of its social capital. For the effect of the regulations established in Article 11 of the Banks Law, I declare under oath the following personal information:

I. THAT I AM THE OWNER OF THE FOLLOWING INVESTMENTS IN COMPANIES THAT WILL BE SHAREHOLDERS OF THE BANK (OPERATING OR IN FORMATION)

Company NIT Name of Partners NIT Nominal Value Each Total Shares Nominal Value Total % Share Bank ________ ______ ________ _____ ________ _________ _____ ____ _____ ________ ______ ________ _____ ________ _________ _____ ____ _____ ________ ______ ________ _____ ________ _________ _____ ____ _____

II. THAT I AM A DEBTOR IN THE FOLLOWING ENTITIES OF THE FINANCIAL SYSTEM

Financial Entity Reference Balance at Maturity Destination Guarantee ___________ __________ _________ ____________ ___________ __________ _________ ____________ ___________ __________ _________ ____________ ___________ __________ _________ ____________

III. THAT I HAVE BEEN AN OFFICIAL, DIRECTOR OR MANAGER (FACTOR) IN THE FOLLOWING ENTITIES OF THE FINANCIAL SYSTEM:

Financial Entity Position Held Period

---

Annex No. 1

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

IV. THAT I AM AWARE OF THE PENAL RESPONSIBILITIES RELATING TO THE FORGERY OF DOCUMENTS CONTAINED IN THE PENAL CODE.

Likewise, I declare that I am aware of the causes by which the Superintendence may deny the acquisition of shares by more than 1% or 10%; that I am not in any of them; and that I comply with the requirements for the requested authorization.

And for the effects of the prior authorization required by the Banks Law, I sign this in ____________________, on the ___________ of the month of _____________ of two thousand _________

Signature of Applicant

Annex No. 2

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

APPLICATION FOR AUTHORIZATION TO ACQUIRE AND BE OWNER OF SHARES IN EXCESS OF 1% OR 10% (LEGAL PERSONS)

To the Financial System Superintendence

Present.

I, _____________________, of _____ years of age, profession or occupation ____________, nationality, __________, domicile of ______________, with Unique Identity Document (DUI) No. ________________, and with Tax Identification Number (NIT) No. _______________________, in my capacity as legal representative of the Company _____________________ of nationality ___________________________, with Tax Identification Number (NIT) No. __________________________, registered under No. _________ Folio _______ Book ________, dated ____________, of the Commercial Registry of __________, I request that my represented party be authorized to be owner of __________ shares of _________ in excess of 1% or 10% of its social capital. I declare under oath the following information of my represented party:

I. INVESTMENTS IN COMPANIES THAT WILL BE SHAREHOLDERS OF THE BANK (OPERATING OR IN FORMATION) ARTICLE 11 OF THE BANKS LAW

Company Name NIT Quantity of Shares Nominal Value Each Nominal Value Total % Share Bank ________ _________ ___________ _________ ________ _________ _________ ___________ _________ ________ _________ _________ ___________ _________ ________ _________ ________

II. THAT IT IS A DEBTOR IN THE FOLLOWING ENTITIES OF THE FINANCIAL SYSTEM

Financial Entity Amount Maturity Destination Guarantee ______________ ____________ ______________ ____________ _____________ ______________ ____________ ______________ ____________ _____________ ______________ ____________ ______________ ____________ _____________ ______________ ____________ ______________ ____________ _____________

III. ROSTER OF PARTNERS OR SHAREHOLDERS OF MY REPRESENTED PARTY:

Partner Name NIT Nationality Qty. Shares in Co. Nominal Value Nominal Value Total % Participation __________ _______ ____________ __________ __________ _______ ____________ __________ __________ _______ ____________ __________

Annex No. 2

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

IV. THAT I AM AWARE OF THE PENAL RESPONSIBILITIES RELATING TO THE FORGERY OF DOCUMENTS CONTAINED IN THE PENAL CODE

Likewise, I declare that I am aware of the causes by which the Superintendence may deny the acquisition of shares by more than 1% or 10%; that my represented party is not in any of them; and that it complies with the requirements for the requested authorization.

And for the effects of the prior authorization required by the Banks Law, I sign this in San Salvador, on the ___________ days of the month of ______________ of two thousand______

Signature of Legal Representative

Annex No. 3

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

MINIMUM REQUIREMENTS THAT THE SHARE SUBSCRIPTION MODEL MUST CONTAIN

a. The name and domicile of the subscriber. b. The quantity of shares subscribed; their nature, category, and value.
c. The form and term in which the subscriber obligates to pay the first installment.
d. The manner of making the call for the constituent general meeting and the rules according to which it must be held. e. The date of prescription. f. The circumstance of having deposited the program in the Commercial Registry.

The promoters will keep a copy of the subscription in their possession and deliver the duplicate to the subscriber. The signatures of each subscription will be authenticated.

Annex No. 4

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

MODEL OF SWORN DECLARATION FOR DIRECTORS

To the Financial System Superintendence

Present.

I, __________________________, of _______ years of age, profession or occupation ____________________, nationality _____________, domicile of ______________, with Unique Identity Document No. ______________, and Tax Identification Number (NIT) No. __________________, in view of having been proposed to be part of the board of directors of the bank ___________, I declare under oath that:

1. I am not a director, official, or employee of any bank, financial institution, or official credit entity not excepted by the Banks Law.
2. I am not in a situation of bankruptcy or insolvency and have never been judicially qualified as responsible for a fraudulent or negligent bankruptcy.
3. I am not a debtor of credits in the financial system, to which a sanitation reserve of fifty percent or more of the balance has been constituted.

For a better analysis of my debtor situation, below I detail the credits I currently have in the financial system:

Bank Credit No. Amount Granted

---

I also declare that I am a shareholder in more than twenty-five percent of the social capital of the entities detailed below:

Company Name % Participation

---

4. During my time as administrator (or official, if applicable) of financial system entities, I did not participate in the original approval of credits to which, in accordance with the corresponding norms, sanitation reserves equivalent to twenty-five percent or more of the capital and capital reserves of the respective entity were constituted as a whole.

For more information about that institution, below I detail the entities in which I was an administrator (or official, if applicable) and the period in which I served as such:

Annex No. 4

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

Financial Entity Period

---

5. I have never been convicted of crimes against property or against public treasury.
6. I was never a director or administrator of a bank, financial institution, or other entity part of the financial system that was intervened by the Superintendence, in which responsibility was attributed to me.
7. I have not participated directly or indirectly in the commission of serious infractions of the laws and norms governing the financial system.

That my spouse and relatives of the first degree of consanguinity are:

Name Relationship

---

8. I have not participated directly or indirectly in activities related to drug trafficking and related crimes and with money laundering, terrorist financing, and financing of the proliferation of weapons of mass destruction. (1)

Annex No. 5

Alameda Juan Pablo II, between 15th and 17th Avenue North, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR

Approval: 28/11/2023
Validity: 13/12/2023

MODEL OF SWORN DECLARATION
(Natural Person)

---

---

In the city of _______________________________ at _____ hours on the day ____ of ______________ of _______________________. Before me, __________________________, Notary of the domicile of __________________, appears the Mr. __________________________ of ______ years of profession (or trade) ____________________, from the domicile of ____________ whom I know (or do not know), holder of (or identified by) Unique Identity Document No. (or passport number), consequently requesting authorization for the acquisition of shares of the bank ______________________ exceeding one percent (or ten percent or more) of the social capital of said entity; under oath he tells me that: I) That he is not in a state of bankruptcy, suspension of payments, or creditors' agreement; II) That he has never been convicted of any intentional crime; III) That he has never been judicially proven to have participated in activities related to drug trafficking and related crimes or with money laundering, terrorism financing, and financing of the proliferation of weapons of mass destruction; IV) That he is not a debtor in the Financial System of credits for which a reserve for solvency of fifty percent or more of the balance has been required; V) That since December 20, nineteen hundred ninety, while he has been an administrator (or director or manager) of entities of the Financial System, administrative responsibility has not been demonstrated to him in patrimonial deficiencies of twenty percent or more of the respective entity, nor that it has received contributions from the State or the Deposit Guarantee Institute for its solvency, nor in the intervention by the competent regulatory body, or that it has been restructured and consequently its authorization to operate as a bank has been revoked; VI) That he has never been convicted administratively or judicially for serious infringement of the laws governing the Financial System; VII) That the funds to acquire the shares come from lawful activities, which immediately originate from (a deposit, the sale of an asset, obtaining a loan, etc.), consequently, said funds are not related under any circumstance to situations contrary to the Special Law for the Prevention, Control and Sanction of Money Laundering, Terrorism Financing and Financing of the Proliferation of Weapons of Mass Destruction; VIII) That he has never been the holder of more than one percent of shares of banks that have been totally cancelled to absorb losses; IX) That he does not have direct or indirect shareholding in another bank that exceeds one percent of its social capital (only in the case of relevant shareholders). The appearing party tells me that the above declaration is true and that he knows the responsibility he may incur for any falsity therein. Thus the appearing party expressed himself, to whom I explained the legal effects of this notarial deed which consists of ______ pages; and having read to him what was written, in a single act, without
interruption and in its entirety, he ratifies its content and we sign: I CERTIFY. (1)

Annex No. 6
Alameda Juan Pablo II, between 15 and 17 Norte Ave, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023 MODEL OF SWORN DECLARATION (Legal Person)

In the city of _______________________________ at _____ hours on the day ____ of ______________ of . Before me, , Notary of the domicile of ___________________ appears the Mr. __________________________ of ______ years of profession (or trade) , from the domicile of ____________ whom I know (or do not know), holder of (or identified by) Unique Identity Document number (or passport number), acting in his capacity as Legal Representative of , authority which I certify is legitimate and sufficient having had in view the documents following:______________ .___________________________________________ ; he tells me that in order for his represented entity to be authorized to acquire shares of the bank ______________________ exceeding one percent (or ten percent or more) of the social capital of said entity; under oath, regarding his represented entity, he tells me that: I) That his represented entity is not in a state of bankruptcy, suspension of payments, or creditors' agreement; II) That it is not a debtor in the Financial System of credits for which a reserve for solvency of fifty percent or more of the balance has been required; III) That it has never been convicted administratively or judicially for serious infringement of the laws governing the Financial System; IV) That the funds to acquire the shares come from lawful activities, which immediately originate from (a deposit, the sale of an asset, obtaining a loan, etc.), consequently, said funds are not related under any circumstance to situations contrary to the Special Law for the Prevention, Control and Sanction of Money Laundering, Terrorism Financing and Financing of the Proliferation of Weapons of Mass Destruction; V) That it has never been the holder of more than one or ten percent of shares of banks that have been totally cancelled to absorb losses; VI) That it does not have direct or indirect shareholding in another bank that exceeds one or ten percent of its social capital (only in the case of relevant shareholders). The appearing party tells me that the above declaration is true and that he knows the responsibility he may incur for any falsity therein. Thus the appearing party expressed himself, to whom I explained the legal effects of this notarial deed which consists of ______ pages; and having read to him what was written, in a single act, without interruption and in its entirety, he ratifies its content and we sign: I CERTIFY. (1)

Annex No. 7
Alameda Juan Pablo II, between 15 and 17 Norte Ave, San Salvador, El Salvador.
Tel. (503) 2281-8000 www.bcr.gob.sv
CNBCR-10/2023
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TECHNICAL STANDARDS FOR THE AUTHORIZATION OF CONSTITUTION AND START OF OPERATIONS OF BANKS IN EL SALVADOR Approval: 28/11/2023 Validity: 13/12/2023

MODEL OF SWORN DECLARATION
(Shareholders of applicant legal persons)

In the city of _______________________________ at ________ hours on the day ____ of ______________ of ______________________________. Before me, _____, Notary of the domicile of ___________________ appears the Mr. __________________________ of ______ years of profession (or trade) , from the domicile of ____________ whom I know (or do not know), holder of (or identified by) Unique Identity Document number (or passport number), by reason of being a shareholder with participation equal to or greater than twenty-five percent in the equity of the society ____________________________ which is requesting authorization for the acquisition of shares of the bank ______________________ exceeding one percent (or ten percent or more) of the social capital of said entity; under oath he tells me: I) That he is not in a state of bankruptcy, suspension of payments, or creditors' agreement; II) That he has never been convicted of any intentional crime; III) That he has never been judicially proven to have participated in activities related to drug trafficking and related crimes or with money laundering, terrorism financing, and financing of the proliferation of weapons of mass destruction; IV) That he is not a debtor in the Financial System of credits for which a reserve for solvency of fifty percent of the balance has been required; V) That since December 20, nineteen hundred ninety, while he has been an administrator (or director or manager) of entities of the Financial System, administrative responsibility has not been demonstrated to him in patrimonial deficiencies of twenty percent or more of the respective entity, nor that it has received contributions from the State or the Deposit Guarantee Institute for its solvency, nor in the intervention by the competent regulatory body, or that it has been restructured and consequently its authorization to operate as a bank has been revoked; VI) That he has never been convicted administratively or judicially for serious infringement of the laws governing the Financial System; and VII) That he has never been the holder of more than one percent of shares of banks that have been totally cancelled to absorb losses. The appearing party tells me that the above declaration is true and that he knows the responsibility he may incur for any falsity therein. Thus the appearing party expressed himself, to whom I explained the legal effects of this notarial deed which consists of ______ pages; and having read to him what was written, in a single act, without interruption and in its entirety, he ratifies its content and we sign: I CERTIFY (1)