COLOMBIA

On March 1, the Bank of the Republic (BanRep) published a series of regulations of interest to the sector. The measures regulate the activities of the Placement Agents (ACOs) of Open Market Operations (OMAs) and repurchase agreements (repo). They are currently in effect. 

Below are more details:

• Resolution 2/2021: Establishes that in repo operations, BanRep may require OMA placement agents to deliver guarantees to mitigate the risk of replacement of these operations.
• Circular DOAM-141: Establishes the procedure associated with the return of securities in excess of the value of the amount awarded, in addition to the interest accrued during the term of a repo operation in which there is a breach by ACOs to BanRep at the expiration of the operation or in its early liquidation.
• Circular DOAM-148: Enables ACOs to voluntarily anticipate the maturity of repo operations for monetary expansion backed by promissory notes.
• Circular DEFI-354: Authorizes the early and voluntary termination of expansion repo operations backed by promissory notes as of March 2021, with terms greater than 45 calendar days and provided that at least 30 calendar days have elapsed since their fulfillment.
• Circular DGPC-143: Provides for the voluntary early termination by ACOs of repo operations with promissory notes and includes the procedure for the return of promissory notes.