The Order of the Ministry of Economy and Finance of July 24, 1991, partially modified by the Ministry of Finance of March 29, 1994, regulated the figure of the Market Creator of Public Debt in Annotations, assimilating the figures of the Creator of Market in Public Debt and in the Monetary Markets.

For its part, the Order of 19 June 1997, which regulates the operations of segregation of principal and coupons of the debt securities of the State and its reconstitution and is authorized to the Directorate General of the Treasury and Financial Policy to formalize singular loans with financial institutions, authorized the Director-General of the Treasury and Financial Policy to authorize certain management entities to undertake to comply with the requirements laid down by the aforementioned body to carry out the operations of segregation and reconstitution of the debt securities of the State.

The implications of the Economic and Monetary Union process on the current configuration of the Public Debt markets advise redefining the figure of the Market Creator of Public Debt, making room for the possibility that may belong to that category financial institutions without permanent establishment in Spain.

at the same time, the introduction of the single monetary policy and the demand that the Central Banks of the European System of Central Banks select their counterparts on the basis of criteria for Monetary policy forces to differentiate the figures of the Market Creator from the Market Creator's Public Debt in the Monetary Markets.

By virtue of the above, I have arranged:

1. Create the Public Debt Market Creator figure of the Kingdom of Spain, hereinafter "Market Creator", whose role will be to favor the liquidity of the Spanish market for Public Debt and to cooperate with the Directorate General of the Treasury and Policy Financial in the external and internal dissemination of the State Debt.

2. By Resolution of the Directorate-General of the Treasury and Financial Policy, the conditions under which the Market Creators will perform the task entrusted to them, from which specialties may be derived in the issuance and subscription of the Debt of the Kingdom of Spain.

3. The request for the status of Market Creator shall be addressed to the Director General of the Treasury and Financial Policy accompanied by a Memory, in which the technical and human resources of the entity for the realization of the (a) market creation activity and in which the express acceptance of all commitments and actions will be expressed as provided for in this Order and in the rules that develop it.

4. The status of Market Creator will be granted by the General Directorate of the Treasury and Financial Policy, after the Bank of Spain reports.

5. In the selection of entities that will access the condition of Market Creator, the activity in the primary and secondary markets of Public Debt will be taken into account for a period of time considered sufficient by the General Directorate of the Treasury and Financial Policy.

6. The relationship of entities that access the condition of Market Creator will be made public by the Directorate General of the Treasury and Financial Policy.

7. The maintenance of the market Creator condition will require compliance with the commitments of the Market Creators and exceed the periodic evaluation of the activity developed by the entity in the primary and secondary markets of Public Debt. which will be carried out by the Directorate General of the Treasury and Financial Policy with the collaboration of the Banco de España.

The criteria for evaluating the activity of the Market Creators will be established in the Resolution of the Directorate General of the Treasury and Financial Policy referred to in point 2 of this Order.

Repeal provision.

The Orders of the Ministry of Economy and Finance of 24 July 1991 and 29 March 1994 relating to Creators of the Public Debt Market in Annotations are hereby repealed.

Additional disposition.

The second paragraph of Article 2 of the Order of the Ministry of Economic Affairs and Finance of 19 May 1987, which is carried out by Royal Decree 505/1987 establishing the system of annotations in the account of the debt of the Status, extending the ability to access account entitlement in the Log Central to the following entity groups:

u) Investment services firms and credit institutions authorised in another Member State of the European Union, provided that, in addition to meeting the requirements for operating in Spain provided for in Chapter 4 of the Title V of Law 37/1998, which reform the Law of the Market of Securities, in the authorization given by the authorities of their country of origin they are empowered to provide the services of account holder in the system of annotations in account of their Debt of the State.

v) Investment services firms and credit institutions authorised in another State other than a member of the European Union, provided that, in addition to complying with the requirements for operating in Spain provided for in the fourth chapter of Title V of Law 37/1998, which reform the Law of the Market of Securities, in the authorization given by the authorities of their country of origin they are empowered to provide the services of account holder in the system of annotations in account of their Debt of the State.

Final disposition first.

This Order shall enter into force on the day following that of its publication in the Official Gazette of the State.

Final disposition second.

The Directorate General of the Treasury and Financial Policy and the Bank of Spain are hereby authorized to publish as many resolutions and Circulars as necessary to develop the provisions of this Order.

What I communicate to V. I. for your knowledge and other effects.

Madrid, 10 February 1999.

HANGING OUT AND FIGAREDO

Ilmo. Mr. Director-General of the Treasury and Financial Policy.