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Argentina Central Bank Overhauls Reserve Rules With 95% Daily Floor Starting Nov. 1

The central bank says the change aims to free liquidity to curb rate volatility.

Overview

  • Communication A 8350 replaces the prior framework and shifts reserve compliance to a monthly average of daily balances.
  • Banks must maintain a minimum daily integration equal to 95% of the total peso reserve requirement.
  • The rule applies to peso demand deposits such as checking and savings accounts, according to the text of the measure.
  • The resolution was signed by BCRA president Santiago Bausili, with enforcement beginning on November 1.
  • Banking groups describe the move as a slight easing, while the rollout follows a Treasury auction that placed ARS 6.86 trillion with a 57% rollover under Economy Minister Luis Caputo.