Banco de la República (the Central Bank of Colombia) hereby informs that as of today (16 April 2020) solidarity bonds will be included as eligible instruments in its liquidity operations (repo, definitive purchases, and the lender of last resort facility).
The list of agents, eligible instruments, and types of operations with which the Central Bank is currently providing liquidity to the market is presented in Table 1 below:
Table 1
Group | Institutions authorized as ACO | Expansion | Contraction | Intraday Repo | ROC | |||||
Transitory | Definitive | Transitory | Definitive | |||||||
With instruments from item 3.1.1. | With instruments from item 3.1.2. | With instruments from item 3.2.1 | With instruments from item 3.2.2 | Repos | Deposits | |||||
A | Banks | X | X | X | X | X | X | X | X | X |
Finance Corporations | X | X | X | X | X | X | X | X | X | |
Finance Companies | X | X | X | X | X | X | X | X | X | |
Financial Cooperatives | X | X | X | X | X | X | X | X | X | |
Fondo Nacional del Ahorro (FNA) | X | X | X | X | X | X | ||||
B | Brokerage Institutions (SCB) - (by proprietary positions and on behalf of third parties or managed funds) | X | X | X | X | X | X | X | X | |
Trusts (SF) (by proprietary positions and on behalf of third parties or managed funds) | X | X | X | X | X | X | X | X | ||
Investment Management Companies (SAI) (by proprietary positions and on behalf of third parties or managed funds) | X | X | X | X | X | X | X | X | ||
Severance and Pension Funds Managing Institutions (SAPC) (by proprietary positions and on behalf of third parties or managed funds) | X | X | X | X | X | X | ||||
Severance and Pension Funds Managing Institutions (SAPC) (by severance funds accounts) | X | X | X | X | X | X | X | X | ||
Insurance Companies | X | X | X | X | X | X | ||||
Fondo de Garantías de Instituciones Financieras (FOGAFIN) | X | X | X | X | X | X | ||||
Fondo para el Financiamiento del Sector Agropecuario (FINAGRO) | X | X | X | X | X | X | ||||
C | Financiera del Desarrollo Territorial S.A. (FINDETER) | X | X | X | X | |||||
Financiera de Desarrollo Nacional S.A. | X | X | X | X | ||||||
Instituto Colombiano de Crédito Educativo y Estudios Técnicos en el Exterior (ICETEX) | X | X | X | X | ||||||
Empresa Nacional Promotora del Desarrollo Territorial (ENTerritorio) | X | X | X | X | ||||||
Capitalization Societies | X | X | X | |||||||
Exchange intermediation and special financial services societies (SICFES) | X | X | X | X | ||||||
D | Central Counterparty Risk Clearing Houses | X |
The instruments referred to in Table 1 are:
Value Rating Institution |
Minimum Qualification for Securities by Domestic Issuers | ||
BRC de Colombia |
Fitch Ratings Colombia |
Value and Risk Rating | |
Short-Term Instruments | BRC2 | F2 | VR2- |
Long-term Instruments | A- | A- | A- |
Should the instruments have more than one rating, the lower rating assigned will be taken.
Also, transitory expansion operations with fixed-income securities in foreign currency from senior sovereign debt issued by governments and central banks may be performed, complying with the following conditions:
The above is contained in the Regulatory Circular DEFI-354 (Only available in Spanish).