law no 232
2012 APRIL 9 LAW
EVO MORALES AYMA
CONSTITUTIONAL PRESIDENT OF THE PLURINATIONAL STATE OF BOLIVIA
For the Plurinational Legislative Assembly, it has sanctioned The following Law:
THE PLURINATIONAL LEGISLATIVE ASSEMBLY,
D E C R E T A:
LAW OF THE FUND FOR PRODUCTIVE INDUSTRIAL REVOLUTION (FINPRO)
Article 1. (OBJECT). This Law is intended to create the? Fund for the Productive Industrial Revolution?
? FINPRO and establish the mechanisms for financing and allocating its resources under Article 316, numeral 4, of the Constitution of the State.
Article 2. (CREATION).
I. The Productive Industrial Revolution Fund? FINPRO will have a thousand two hundred billion dollars
Americans ($us1,200,000,000.-) at the beginning of its operations.
II. The Fund for the Productive Industrial Revolution? FINPRO is created in the form of a trust, with a duration
of 30 years renewable and with an amount of six hundred million 00/100 of American Dollars ($us600,000,000.-), coming from the International Reserves.
III. Additionally, FINPRO will have a credit of six hundred million US Dollars
($us600,000,000.-), granted by the Central Bank of Bolivia-BCB-at the time of the creation of FINPRO, with resources of the International Reserves.
Article 3. (PURPOSE).
II. The productive enterprises referred to in the preceding paragraph will be in charge of companies public and/or
commercial companies with majority participation of the State, joint ventures of the Central Level of the State and the autonomous territorial entities, and other public entities.
III. the production of FinPRO will be oriented towards the transformation of the productive matrix
and will necessarily incorporate the stage of industrialization of raw materials as well as food in the framework of the food security and food sovereignty policy.
Article 4. (IDENTIFICATION AND APPROVAL OF PRODUCTIVE ENTERPRISES).
I. The Executive Body will define the instance that will identify the productive enterprises that can be financed
based, at least, in pre-feasibility studies that conclude that these enterprises find in the framework of the finality of FINPRO. It is up to the Ministry's head of the sector and/or the Maximum Authority of the respective Autonomous Territorial Entity, by express resolution, to confirm the validity of the feasibility study of the productive enterprise that ensures the return of the financing granted by FINPRO.
II. The Supreme Decree will approve the allocation of FINPRO's resources for the financing of
feasible productive ventures.
III. and of Economy and Public Finance to incorporate into the
budgets of the institutions referred to in Article 3 of this Law, the resources coming from FINPRO to finance the execution of the approved productive enterprises by Supreme Decree, with both Ministries reporting semestrally to the Plurinational Legislative Assembly on the enrollment of these resources.
Article 5. (FINANCING, REIMBURSEMENT AND GUARANTEE). the financing granted by
FINPRO to the productive enterprises must be reimbursed by the public companies and/or commercial companies with majority participation of the State, autonomous territorial entities or public entities in charge of the productive enterprises financed. For the credit risk coverage, the companies and entities in charge of their cash flows will have to create reserves for the repayment of the financing received. Likewise, the General Treasury of the Nation will guarantee the operation of financing by issuing bonds or other forms or instruments that it considers.
Article 6. (RESOURCES).
II. Additionally, they constitute FINPRO resources:
A loan that the BCB makes to the escrow for the amount of six hundred million 00/100 of U.S. Dollars ($us600,000,000.-) from the International Reserves, in the framework of the term of Article 2 of this Law, without any financial cost, within thirty years, payable at one time, payable to maturity, with the guarantee of the trust's assets.
Other loans, transfers and/or donations;
Refunds and portfolio returns;
Foreign currency liquid resource investment flows outstanding.
III. Available liquid resources of FINPRO will be kept deposited in the BCB in a center administration
independent of the issuer's balance sheet. The resources of FINPRO in national currency, in the meantime, will be used for the purposes of their creation, will not be remunerated, while foreign currency resources will be invested through the BCB in securities or transactions. The financial resources of FINPRO are similar to those made in the management of international reserves and their yields will increase the resources of FINPRO. Resources will not be accounted for as part of the International Reserves.
Article 7. (TRUSTEE, TRUSTEE AND BENEFICIARIES).
I. The functions of FINPRO's trustee, shall be exercised by the BCB, circumscribed to carry out the transfer of
resources provided for in paragraph I of Article 6 of this Law and subscribe to the respective escrow contract, ceding their rights to the Ministry of Economy and Public Finance, as provided for in the relevant Trade Code.
II. The FINPRO trust will be administered by a trustee appointed by a Supreme Decree, in the framework of the
Contract of the Trust proposed by the Trust entity and approved by the Ministry of Economy and Public Finance, where the obligations, prohibitions and responsibilities of the
Fiduciary. The duties entrusted to the fiduciary financial institution shall include the legal representation of FINPRO. The designated trustee will administer the FINPRO trust without remuneration.
III. FINPRO beneficiaries are the entities covered by Article 3 chosen according to the
Article 4 of the present Law. Through its Maximum Executive Authorities and Management Bodies, they are responsible for the achievement of the objectives of the projects financed, as well as the correct implementation of the resources, the payments of the financing received from the FINPRO and accountability.
Article 8. (MONITORING AND CONTROL EVALUATION). It is up to the sector's head ministries
and the respective governing bodies, the evaluation, monitoring and control of the resources of the financing granted by FINPRO in favor of the beneficiary public entities.
destination or allocation of funding resources for purposes other than the object and purpose of FINPRO, are
subject to the civil and/or criminal liability established in the current regulations.
Article 9. (TAX EXEMPTIONS). The constitution and administration, as well as, the termination and
liquidation of the FINPRO trust will be exempt from any tribute, as well as, from the costs of protocolization and other expenses required for its formalization.
First. According to the provisions of Article 2, the BCB is authorized to grant FINPRO, with resources of the
International Reserves, an extraordinary credit of six hundred million American Dollars ($us600,000,000.-), without cost (a) a period of 30 years, paid at one time, payable at maturity, with the guarantee of the assets of FINPRO.
Within the framework of the preceding paragraph and in accordance with the number 10 paragraph I, Article 158 and
in Article 322 of the Constitution of the State, the trust of FINPRO, represented by the entity chosen as trustee to contract the credit referred to with the BCB, except for the effects and scope of the provisions of Law No 2042 of 21 December 1999 on Budgetary Management.
For the purposes of the transfer repayable and the loan provided in Article 2, are not
applicable no restriction contained in Law No 1670, including the provisions of Articles 22 and 23 of that rule, or any other legal provision contrary to it.
Second. FINPRO will start its activities by financing the implementation of concentration and smelting plants
of minerals, textile production plants, wood industrialisation plants and food industrialisation plants.
First. The Executive Body through Supreme Decree will regulate the operational aspects necessary for the
application of this Law.
Second. Except for the application of Articles 33 and 35 of Law No 2042, to public companies that, to the
moment of application for financing, had less than two years of operation.
Third. For the purposes of the guarantee granted by the escrow to the Central Bank of Bolivia-BCB, it is not
applicable any restrictions contained in Article 1410 of the Commercial Code.
Remitase to the Executive Body, for purposes
It is given in the Session Room of the Plurinational Legislative Assembly, at the twenty-two days of March of the
year two thousand twelve.
Fdo. Lilly Gabriela Montano Viana, Rebeca Elvira Delgado Burgoa, Mary Medina Zabaleta, David Sanchez Heredia, Wilson Chancaray T., Angel David Cortes Villegas.
Therefore, it has been enacted so that it has and will comply with the Law of the Plurinational State of Bolivia.
Palace of Government of the city of La Paz, nine days of the month of April of two thousand twelve years.
FDO. EVO MORALES AYMA, Juan Ramon Quintana Taborga, Elba Viviana Caro Hinojosa, Luis Alberto Arce
cataclyora, Ana Teresa Morales Olivera, Claudia Stacy Penas Claros.