Investor Presentaiton
Ministerio de Hacienda - Gobierno de Chile
The Central Bank of Chile and the Financial Market Commission have
actively implemented extraordinary measures
.
Policy rate cut to 0.5% (technical minimum)
.
•
New Conditional Funding Facility (FCIC): banks have access to 4-year loans at the policy rate (0.5%), with loan size increasing as a
function of additional credit to more stressed segments
Bank bonds purchase program (USD8 billion)
Special assets purchase program (USD8 billion)
Term deposit purchase program (USD8 billion)
Repo on instruments issued by banks (USD10 billion)
Liquidity Credit Line also made available; corporate bonds allowed as eligible collateral in peso liquidity facilities.
Adjustments to the peso and USD REPO & FX swap arrangements
USD sales program extended until 9/1/21
Transitory adjustments to reserve requirements, relaxation of liquidity requirements for banks
Recent legislative adjustments have provided the Central Bank of Chile the ability to purchase Chilean Treasury bonds in the secondary.
market, under exceptional and transitory circumstances
The IMF approved the Central Bank's 2-year precautionary flexible credit line for US$23.9 billion
The Financial Market Commission has also implemented several measures to ensure the proper flow of credit, such as: enhanced
monitoring and supervisory activities, modified rules that provide greater flexibility to financial entities to support credit, among others.
Source: Central Bank of Chile and Financial Market Commission.
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