At least seven new laws and six new regulations will be
\nrequired within the framework of the International Monetary Fund agreement. A
\ntimetable showing the approval of the measures from July 2003 until January 2004
\nwill also be required. The Executive Branch, Congress, the Monetary Board and
\nthe Central Bank are the organisms that are charged with putting the measures
\ninto practice.
\nAmong these steps are seven laws to be sent to Congress: Systemic Stabilization,
\nalso called ?Exceptional Program to Prevent Banking Risks?; the 5% surcharge on
\nexports and the new import charges; a law to eliminate the duty-free status of
\nthe Savings and Loan Associations; a law on Financial Crimes; a law on the 2004
\nBudget; and, finally, a law for the Reform of the Public Sector.
\nCongress must activate three of the above regulations by specific dates: By 31
\nAugust, the 5% surcharge must be implemented; by 30 September, the Law on
\nSystemic Stability; and by 31 December, the Law for the National Budget for
\n2004.
\nSome of the things required of the Monetary Board include the approval of
\nresolutions that require sworn statements by shareholders and officials of
\ncommercial banks to the effect they are not involved in any dubious accounting
\npractices that hide any part of a bank?s activities. This has been done. Next on
\nthe list of things to do are a series of measures that will include deposit
\nguarantees; a set of rules that covers the Central Bank as a last-resort loan
\nagency; a rule to regulate the selection of members of the Monetary Board; the
\ncreation of a panel of experts to look into the role of the Superintendent of
\nBanks and the Central Bank in the Baninter debacle; a set of rules that will
\ndefine and regulate the economic groups that control financial agencies; a new
\nset of rules that will govern loans to companies owned or controlled by members
\nof a bank?s board of directors; and, lastly, a set of rules to govern offshore
\nbanking activities by Dominican banking institutions.<\/p>\n","protected":false},"excerpt":{"rendered":"
At least seven new laws and six new regulations will be required within the framework of the International Monetary Fund agreement. A timetable showing the approval of the measures from July 2003 until January 2004 will also be required. The Executive Branch, Congress, the Monetary Board and the Central Bank are the organisms that are … <\/p>\n