Banco de la república
functions
Administration of International Reserves:
it administer the country's international reserves including manegement, investment, safekeeping and disposal of reserve assets
looks for security and stability in its investment and endeavours to keep liquid reserves in order to ensure timely payments to other countries.
Banker of banks:
it is the depository of the money allocated in fulfilment of the bank reserve requirements, which serve to regulate the credit-issuing capacity of the banking system and it acts too as last resort lender to credit institutions in the event of a temporary lack of liquidity caused by the massive withdrawal of deposits.
Credit Functions of the Banco de la República:
it prohibits the Issuer from offering credits and securities to private individuals and entities. Exception is made for temporary assistance credits to credit institutions with liquidity problems, in fulfilment of the Bank’s role as lender of last resort.
Foreign Exchange Functions:
also attributes the Bank with the task of formulating exchange policy within the framework of the criteria and objectives laid down by the Congress of the Republic aiming at the regulation of foreign trade and the international exchange rate regime.
Government Banker, Fiscal Agent and Trustee:
the bank fulfils these duties by receiving funds in deposit from the Nation and public entities under the conditions established by the Board of Directors. Furthermore, the Banco de la República may act as fiscal agent in the negotiation of external and internal credits.
Issue of Legal Tender:
The currency-issuing attribute, is exclusive to the Banco de la República and can not be delegated.
Promoter of Scientific, Social and Cultural Development:
the Bank has participated in efforts to rescue and preserve cultural heritage as well as in efforts to stimulate continued development through the creation and administration of libraries and specialised museums throughout the country.
For example: the gold museum
The Board of Directors’ Report to the Congress:
this report explains the execution of the monetary, exchange and credit policies as well as containing general guidelines for deciding these policies, an evaluation of results achieved in the past period and a presentation of the objectives and goals proposed for the subsequent period and in the medium term, it also, explains, like aditionally the administration policy and composition of the international reserves and the Bank’s current financial situation and prospects