Buenos Aires, July 2nd, 2018. The BCRA increased minimum reserve requirements by 3 p.p. for both sight and term deposits in pesos. Given each minimum reserve requirement point in pesos represents around $20 billion, this measure is expected to absorb liquidity by $60 billion. The BCRA holds that a closer monitoring of liquidity in the money market is key to reduce the recent volatility in the foreign exchange market and to strengthen the BCRA’s anti-inflationary commitment.
The decision was laid down in Communication A6532. It is effective as from today and will change no existing exceptions or exemptions. It will neither affect UVA or foreign currency-denominated accounts and deposits.
The increase in the minimum reserve requirement established today will only be met in pesos and is aggregated to another raise of 3 p.p. , effective as from June 18, and to 2 additional p.p. that will be effective as from next July 18, as set forth in Communication A6526 released on June 18. Regarding the two additional percentage points, they can be met either in pesos or by means of National Treasury Bonds in pesos at a fixed rate maturing in November 2020 and valued at market price.
July 2nd, 2018