Description:

According to the organic law of the BRH, the Board of Directors adopts the internal regulations of the bank for which it defines the general policy and operation. It has the power to formulate, direct and supervise monetary policy. It authorizes the printing of banknotes and the minting of coins and determines the volumes of issues in accordance with the law. It sets the general conditions and ceilings for BRH credit operations and determines the general conditions and procedures for carrying out currency operations. It recommends quantitative limits on the amount of the portfolio of loans and investments made by banking institutions. It determines the types and categories of loans and investments that financial institutions can make.

The decree of March 28, 1985, which modifies articles 9 and 17 of the law of August 17, 1979, makes the Governor the legal representative of the Central Bank. He is endowed with the most extensive powers with regard to the direction and management of the institution.

The Governor signs on behalf of the BRH all treaties and agreements and all correspondence officially committing the Bank. It applies the laws, decrees or orders relating to the BRH as well as the decisions taken by the Board of Directors. It presents to the public an annual report on the evolution of the economic and monetary situation of the country.

The Managing Director supervises the internal administration of the BRH and coordinates the activities of the various departments. He enforces the internal regulations of the institution and the measures taken by the Governor. It executes or enforces the decisions of the Board of Directors.

The legislation in force assigns four fundamental roles to the BRH, which can be stated as follows:

• defend the internal and external value of the national currency;
• ensure the efficiency, development and integrity of the payments system;
• ensuring the stability of the financial system;
• act as banker, cashier and fiscal agent of the State.