Auction Mechanism for Allocating US Dollars as Requested by the Ministry of Economy

Buenos Aires, June 21st, 2018. The BCRA informs that, as requested by the Ministry of Economy, it will start executing a daily bidding program in order to award US$7.5 billion, an amount granted by the International Monetary Fund as budgetary support to face Argentine peso-denominated expenses.

Initially, daily sales of U$S100 million are scheduled for the next 75 working days.

If it were necessary to adjust this schedule on account of seasonal needs for Argentine pesos, the pertinent readjustments would be duly announced. Auctions will take place as from June 21st, 2018. The official call for tenders will be announced by the BCRA through the SIOPEL platform of the Mercado Abierto Electrónico.

The auction mechanism will be as follows:

• Auctions will take place at 1:00 pm. Each auction will remain open for 5 minutes.
• Bidders can place up to three bids, with a minimum amount of US$1 million each and in US$1 million increments.
• The price or amount of bids cannot be altered once entered into the system.
• The price for each US dollar received shall be expressed in Argentine Pesos with up to three decimal places.
• The amount of US dollars that the BCRA decides to place in each auction shall be awarded by price, from highest to lowest, until the determined amount is reached.
• Bids will be awarded at the price they have been offered.
• Bids with the lowest price admitted may be subject to apportionment. The BCRA will announce the weighted average price awarded, the minimum price awarded, and the total amount allocated in each auction.

June 21st, 2018