Memoria Anual ABA 2008 Ingles

ANNUAL REPORT 2008 LIST

ACTIVE MEMBERS

ABN AMRO Bank N.V. American Express Bank Ltd. S.A. Banco Bradesco Argentina S.A. Banco Cetelem Argentina S.A. Banco do Brasil S.A. Banco Itaú Argentina S.A. Banco Santander Río S.A. BBVA Banco Francés S.A. BNP Paribas Citibank N.A. Deutsche Bank S.A. GE Compañía Financiera S.A. HSBC Bank Argentina S.A. JP Morgan Chase Bank, National Association (Buenos Aires Branch) Standard Bank Argentina S.A. The Bank of Tokyo-Mitsubishi Ufj, Ltd.

ANNUAL REPORT 2008 LIST

ASSOCIATED MEMBERS

Banco de la Nación Argentina Banco Latinoamericano de Exportaciones Banco Santander Central Hispano S.A. Bank of America N.A. Bayerische Hypo-Und Vereinsbank AG BSI Banca Della Svizzera Italiana Calyon Argentina S.A. Commerzbank AG Coöperatieve Centrale Raiffeisen-Boerenleebank B.A. (Rabobank) Credit Suisse ING Bank N.V. Lloyds TSB Bank PLC Sanpaolo IMI S.p.A. Société Générale Société Anonyme Standard Chartered Bank The Bank of New York The Bank of Nova Scotia Union Bancaire Privee CBI-TDB Wachovia Bank, N.A.

ANNUAL REPORT 2008 LIST

BOARD OF DIRECTORS

President

Mario Vicens

1st Vicepresident

BANCO SANTANDER RÍO S.A. Enrique Cristofani

2nd Vicepresident

CITIBANK N.A. Juan J. Bruchou

3rd Vicepresident

BBVA BANCO FRANCÉS S.A. Jorge Bledel

4th Vicepresident

HSBC BANK ARGENTINA S.A. Antonio Losada

Secretary

DEUTSCHE BANK S.A. Marcelo Blanco

Pro Secretary

JP MORGAN CHASE BANK, National Association (Buenos Aires Branch) Facundo D. Gómez Minujín

Treasurer

BANCO ITAÚ ARGENTINA S.A. Natalisio de Almeida Junior

Pro Treasurer

BNP PARIBAS Christian Giraudon

Directors

STANDARD BANK ARGENTINA S.A. Eduardo Spangenberg AMERICAN EXPRESS BANK Ltd. S.A. José María Zas

Alternate Directors

BANCO DO BRASIL S.A. Marcos Ricardo Lot ABN AMRO BANK N.V. José Oscar Fernández THE BANK OF TOKYO-MITSUBISHI UFJ, Ltd. Takashi Fukushima

ANNUAL REPORT 2008 LIST

BANCO CETELEM ARGENTINA S.A. Patrick Décla Honorary President

Julio J. Gómez

ACCOUNTS AUDITORS

Titular

BANCO BRADESCO ARGENTINA S.A. Arnaldo Silva

Alternate

GE COMPAÑÍA FINANCIERA S.A. Luís Fernández López

ANNUAL REPORT 2008 LIST

SPECIAL COMMITTEES

FINANCIAL AFFAIRS AND CAPITAL MARKET Coordinating Secretary Gabriel Martino - HSBC Bank Argentina S.A. LEGAL AFFAIRS Coordinating Secretary Analía Schnaidman - HSBC Bank Argentina S.A. Alternate Coordinating Secretaries Pablo Antao - Banco Itaú Argentina S.A. Fabián Montiel - BBVA Banco Francés S.A. BANK AUDITING Coordinating Secretaries José Luis Estella de Noriega - Banco Santander Río S.A. Diego Gagliano - Standard Bank Argentina S.A. Eduardo José Zerega - BBVA Banco Francés S.A. RETAIL BANKING Coordinating Secretary Pío Rueda - Banco Santander Río S.A. Alternate Coordinating Secretary Fabián Turturro - Standard Bank Argentina S.A. 1 INSURANCE BANKING Coordinating Secretary Natacha Moro - HSBC Bank Argentina S.A. 2 Alternate Coordinating Secretary Gastón Bunge - Standard Bank Argentina S.A.

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Until October 2008 Until November 2008

ANNUAL REPORT 2008 LIST

BASILEA II Coordinating Secretary Martín Svarzman - Banco Itaú Argentina S.A. Alternate Coordinating Secretary Adrián Sciarreta - Standard Bank Argentina S.A. TRUST Coordinating Secretary Atilio Serenelli - HSBC Bank Argentina S.A. Alternate Coordinating Secretaries Hernán Carassai - HSBC Bank Argentina S.A. Eduardo Rodríguez Sapey - Banco Santander Río S.A. TAXATION Coordinating Secretary Luis Irigoyen - BBVA Banco Francés S.A. Alternate Coordinating Secretaries Fernando Alesón - Citibank N.A. Claudio Di Lello - HSBC Bank Argentina S.A. ACCOUNTING AND REPORTING STANDARDS Coordinating Secretaries Juan José Pardo - HSBC Bank Argentina S.A. Ana María Zorgno - Banco Itaú Argentina S.A. 3 Alternate Coordinating Secretary Jorge Achával - Banco Santander Río S.A. TRANSACTIONS Coordinating Secretary Pedro Telwak - Banco Santander Río S.A. Alternate Coordinating Secretary Javier Michelesi - BBVA Banco Francés S.A.

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Until September2008

ANNUAL REPORT 2008 LIST

FOREIGN TRADE TRANSACTIONS Coordinating Secretary Luis Martínez - HSBC Bank Argentina S.A. Alternate Coordinating Secretaries Hermine Espiñeira - Deutsche Bank S.A. Miguel Angel Zarlenga - ABN AMRO Bank N.V. SECURITIES TRANSACTIONS Coordinating Secretary María Rosa Eiras - Standard Bank Argentina S.A. PREVENTION OF BANK CRIME AND FRAUD Coordinating Secretary Raúl Ernesto Fiori - Banco Santander Río S.A. 4 Alternate Coordinating Secretaries Roberto Fernández Latorre - Standard Bank Argentina S.A. Roberto José Veltri - Citibank N.A. PREVENTION OF MONEY LAUNDERING AND TERRORIST FINANCING Coordinating Secretary Rubén J. Silvarredonda - HSBC Bank Argentina S.A. Alternate Coordinating Secretary Graciela F. Rosich - Standard Bank Argentina S.A. SMALL AND MEDIUM-SIZED COMPANIES Coordinating Secretary Hernán Caballero - Banco Santander Río S.A. LABOR RELATIONS Coordinating Secretary Daniel Agudo - BBVA Banco Francés S.A. Alternate Coordinating Secretary Sergio Scattolini - Standard Bank Argentina S.A.

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Until September 2008

ANNUAL REPORT 2008 LIST

RELATIONS AND COMMUNICATIONS Coordinating Secretary Oscar Correa - Banco Santander Río S.A. Alternate Coordinating Secretaries Angélica Ocampo - HSBC Bank Argentina S.A. 5 Alejandro Cerviño - Citibank N.A. 6 CREDIT RISK Alternate Coordinating Secretaries Darío Mangano - HSBC Bank Argentina S.A. Jorge Bertoni - BBVA Banco Francés S.A. BANK SECURITY Coordinating Secretary Daniel Alí - Banco Itaú Argentina S.A. Alternate Coordinating Secretary Jorge D. Sande - BBVA Banco Francés S.A. TECHNOLOGY, ORGANIZATION AND SYSTEMS Coordinating Secretary Enrique Rubinstein - Standard Bank Argentina S.A. SUBCOMMITTEE ON OPERATIONAL RISK Coordinating Secretary Ismael Albert - Standard Bank Argentina S.A. Alternate Coordinating Secretaries Santiago Loza - Banco Santander Río S.A. Fernando Lapajne - HSBC Bank Argentina S.A. TREASURERS SUBCOMMITTEE Coordinating Secretaries Julián Bianchi - Banco Santander Río S.A. Rubén Pécora - Citibank N.A. Alternate Coordinating Secretaries Oscar Baravalle - HSBC Bank Argentina S.A. Alejandro Casola - Banco Itaú Argentina S.A. 5 6

Until August 2008 As of August 2008

ANNUAL REPORT 2008 LIST

INSTITUTIONAL REPRESENTATIVES

NATIONAL CUSTOMS ADMINISTRATION Customs Consulting Board Luis Martínez - HSBC Bank Argentina S.A. (Incumbent) Salvador Ilaria - Deutsche Bank S.A. (Alternate) ARGENTINE SOYA ASSOCIATION (ACSOJA) Pablo Bullrich - Banco Santander Río S.A. ARGENTINE BANK MARKETING ASSOCIATION (AMBA) Mario Vicens - ABA President (Member) CENTRAL BANK OF THE ARGENTINE REPUBLIC Interbank Commission for Means of Payment in the Argentine Republic Directors: Pedro Telwak - Banco Santander Río S.A. Javier Aníbal Michelesi - BBVA Banco Francés S.A. Technical Committee: Incumbent Members Alternate Member

Pedro Telwak - Banco Santander Río S.A. Javier Aníbal Michelesi - BBVA Banco Francés S.A. Juan Carlos Aguilera - Standard Bank Argentina S.A.

Commercial Committee: Incumbent Member Alternate Member

Edgardo Bonifacini - BBVA Banco Francés S.A. Julia Langwagen - Standard Bank Argentina S.A.

Legal Committee: Incumbent Members

Analía Schnaidman - HSBC Bank Argentina S.A. Eduardo Ayerra - Standard Bank Argentina S.A.

Fixed-Term Deposits Subcommittee: Incumbent Member Ricardo Leggieri - Standard Bank Argentina S.A. 1 Alternate Member Daniel Víctor Martínez - Banco Santander Río S.A.

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As of March 2008

ANNUAL REPORT 2008 LIST

Transactional Electronic Means of Payment Subcommittee: Incumbent Member Renato Otmarich - Banco Santander Río S.A. Alternate Member Carlos Daniel Bestilleiro - BBVA Banco Francés S.A. Direct Debit Subcommittee: Incumbent Member Julia Langwagen - Standard Bank Argentina S.A. Alternate Member Christian Ruiz - Banco Santander Río S.A. Transfer Subcommittee: Incumbent Member Alternate Member

Flavio Jesús Boncore - Standard Bank Argentina S.A. Christian Ruiz - Banco Santander Río S.A.

Treasurers Subcommittee: Incumbent Members Julián Bianchi - Banco Santander Río S.A. Rubén Osvaldo Pécora - Citibank N.A. Alternate Members Carlos D’Elío - BBVA Banco Francés S.A. Alejandro Casola - Banco Itaú Argentina S.A. BUENOS AIRES STOCK EXCHANGE Board Mario Vicens - ABA President SELF-REGULATORY BOARD - BANK PRACTICES CODE María Elena Deligiannis - ABA Technical Manager (Incumbent) Rubén Mattone - ABA Communications and Institutional Relations Manager (Alternate) ARGENTINE EPISCOPATE Justice and Peace Committee - "Turning Inhabitants into Citizens" Forum Mario Vicens - ABA President FELABAN Alternate Governor: Mario Vicens - ABA President FUNDACIÓN EXPORT.AR Mario Vicens - ABA President (Member) Small and Medium-Sized Companies Board Incumbent Members Arnaldo Prieto - BBVA Banco Francés S.A. Marcelo Santoro - Banco Santander Río S.A. Alternate Member Andrea Rupp - ABA Committee’s Coordinator

ANNUAL REPORT 2008 LIST

ARGENTINE FEDERAL POLICE FOUNDATION Board of Directors Mario Vicens - ABA President (Member) OTC MARKET 2nd Vice-president Treasurer Director Incumbent Directors

Alternate Directors

Luis Downs - Banco de la Nación Argentina Gabriel Martino - HSBC Bank Argentina S.A. Esteban Benegas Lynch - JP Morgan Chase Bank N.A. (Buenos Aires Branch) Alberto Estrada - BBVA Banco Francés S.A. Fernando Negri - Standard Bank Argentina S.A. Jorge Lonegro - Citibank N.A. Marcos Esteves - Deutsche Bank S.A. Gabriel Ribisich - Banco Santander Río S.A.

MERCOSUR Group of Mercosur Bank Associations María Elena Deligiannis - ABA Technical Manager Link to Mercosur Work Subgroup Number 4 "Financial Affairs" Financial System Commission María Elena Deligiannis - ABA Technical Manager Money Laundering and Terrorism Financing Prevention Commission Rubén Silvarredonda - HSBC Bank Argentina S.A. MINISTRY OF LABOR, EMPLOYMENT, AND SOCIAL SECURITY Banking Collective Bargaining Agreement Negotiating Commission Incumbent Members Daniel Agudo - BBVA Banco Francés S.A. Sergio Scattolini - Standard Bank Argentina S.A. María Elena Deligiannis - ABA Technical Manager Julián Arturo de Diego - Labor Advisor Alternate Members Alejandro Ortiz Quintero - HSBC Bank Argentina S.A. Diego Sánchez - Citibank N.A. Bank Social Security Follow-Up Commission Horacio Buceta - Advisor Carlos Dupont - Advisor Solidary Contribution and Labor Union Quota Audit Agreement Follow-Up Commission María Elena Deligiannis - ABA Technical Manager Sergio Scattolini - Standard Bank Argentina S.A. Diego Sanz - Banco Santander Río S.A.

ANNUAL REPORT 2008 LIST

MINISTRY OF THE INTERIOR - BANK SAFETY PERMANENT COMMISSION Daniel Alí - Banco Itaú Argentina S.A. (Incumbent) Roberto Veltri - Citibank N.A. (Alternate) MUNICIPALITY OF GENERAL PUEYRREDON - BANK SAFETY COMMISSION Martín Zaballa - Banco Itaú Argentina S.A. NETWORK OF YOUNG COMPANIES WITH PROMISING FUTURE Mario Vicens - ABA President (Incumbent) Rubén Mattone - ABA Communications and Institutional Relations Manager (Alternate) ARGENTINE UNION OF SERVICE ENTITIES - UDES Mario Vicens - ABA President (1st Vice-president) Rubén Mattone - ABA Communications and Institutional Relations Manager (Alternate)

ANNUAL REPORT 2008 LIST

AREAS AND PERSONS IN CHARGE

BOARD President Mario Vicens TECHNICAL MANAGEMENT Manager María Elena Deligiannis Comittee´s Coordination Natalia Miranda Andrea Rupp INSTITUTIONAL RELATIONS AND COMMUNICATIONS MANAGEMENT Manager Rubén Mattone ADMINISTRATIVE MANAGEMENT Manager José Luis Prado ECONOMIST Damián Wilson CONSULTANTS Labour Consultancy: Estudio de Diego & Asociados Legal Consultancy: Estudio Bruchou, Fernández Madero & Lombardi Tax Consultancy: Price Waterhouse & Co.

Annual report 2008

PRESIDENT´S LETTER

As it happened during the last period of 2007, 2008 continued to be a test period for the Argentine financial system. During this period, starting at the end of the first quarter, the impact of the international financial crisis caused by the United States’ subprime mortgage market added to negative effects derived from the dispute between the national government and the agricultural sector and, towards the year end, to elimination of the capitalization pension and retirement scheme and to transfer of funds to the national administration.

Liquidity problems and massive outflow of the riskiest assets by investors all over the world translated, at the local market level, into the generalized reduction of shares and notes market value and, at the specifically banking level, into a more volatile behavior of deposits within a framework of gradual growth desacceleration throughout the year. Interest rates, on the other hand, fluctuated in line with the evolution of market expectations; while production, consumption and investment started to show their lower growth levels towards year end. As it was to be expected, this situation ended up conditioning also the private sector bank credit growth, both regarding aspects affecting the offer as well as the demand from companies and households.

In spite of the uncertainty provoked by the international financial market situation, at the local level, the system stability was assured by high liquidity reserves continuously held by institutions, and by the proactive attitude of the Central Bank supporting liquidity of their debt instruments and banks access to last resort financial assistance.

On the other hand, banks have been especially careful about the quality of their assets and the soundness of their equity. This explains the extremely reduced non-performing levels shown by bank credit portfolios, obviously very much favored by bank indebtedness reduction that took place as a consequence of the 2001-2002 crisis and by the rigorous credit risk management carried out both by banks and the Central Bank in its capacity as banking business regulatory and supervisory entity.

In turn, the system has continuously and systematically reduced the public debt that it inherited as a consequence of the 2001-2002 crisis. It is worth mentioning that the National Government setoff losses sustained by banks as a consequence of asymmetric pesification and devaluation of the Peso with Treasury debt, which, even though it represented only part of the consolidated losses, catapulted public debt holdings to a bit more than half of the system total assets.

During the past years, the proportion of Treasury public debt held by banks was reduced from 55% in 2003 to 13% at the current time -8% in the case of ABA banks-. This situation has contributed to lessen the impact of the Argentine public debt’s loss of value in banks’ equity.

Likewise, other aspects remaining as a hindrance derived from the said crisis, as Money gaps and Central Bank’s financing, currently do not represent a risk for the system’s stability.

Annual report 2008

Money gaps are kept at very low limits -much more demanding than those applied in the past- set forth by applicable regulations, while as regards Central Bank’s financing there is only one public institution left having last resort assistance, which has been already virtually repaid.

On the other hand, the average profitability of the banking system has been maintained at approximately 1.5% of assets per year. Although this level is not one of the highest in the region, it shows a very solid base and scarce volatility, mostly as a result of the strong incidence of transactional funds in the financing structure and of the low incidence of nonperforming rates. Both aspects tend to compensate the high tax burden affecting banking institutions and other factors that have caused a sustained cost increase.

Systematic capitalization of profits generated by the business plus new funds injection and conversion of some pre-crisis debts into equity carried out by shareholders, have allowed full recovery of system’s solvency. In fact, currently, banks have a regulatory equity of almost 17% of risk-adjusted assets, which broadly exceeds the 11% required by regulation, also if adjusted based on licenses in force as of the onset of the crisis and which have lately lost any relevance.

Last, the scarce incidence of both local and foreign capital markets on the current banking financial structure has preserved banks from facing the difficulties sustained by other financial systems that are more dependable on financing from these markets.

Likewise, it is worth mentioning that the Central Bank’s role in this situation has represented a clearly positive factor for the banking system stability. As regards exchange management, the management of Peso parity has constituted a clearly stabilizing factor, especially taking into account that this is an economy that has not yet overcome a strong savings dollarization. At the liquidity management level, it has expanded, to the extent necessary, the series of instruments available to banks within the context of a prudent regulatory framework which was gradually adapted to the situation without losing rigorousness, thus making possible that fluctuations recorded in several occasions affecting deposits during the year have not turn into an additional credit restrictive factor.

In summary, in spite of both international and domestic difficulties arising in the local financial market, the banking system has shown its soundness; its stability has not been affected at any time and, even though the credit has suffered a strong desacceleration, the crisis has not prevented the private sector financing offer from continuing in its growing trend. In this sense, we can state, without fear of making any mistakes, that the balance of this test period representative of 2008 banking system is clearly a positive one.

However, it is necessary to acknowledge that the full banking market development will not be assured until the most important problem is solved. Scarce participation of institutionalized financial markets in domestic savings channeling must be part of the country’s sustained growth strategy. The biggest challenge faced by we, the Argentine people, to sustain economic growth is, precisely, that national savings be converted into available funds for productive investment financing.

Annual report 2008

The problem has both structural and situational causes. Structural causes are related to chronic situations as is the case, on the one hand, with the presence of inflationary expectations that reduce saving incentive and, on the other hand, with economy informality which turns into a barrier preventing a certain portion of national savings from being channeled through institutionalized financial markets. These are situations that have been existed for decades, and which are worsened by each new crisis which is not properly solved.

On the other hand, both the national and provincial tax authorities use banking transactions as taxable base for a series of taxes which increase their cost and reduce the incentive to use them for other purposes.

There are virtually no government deposits in private banks as, currently, 93% of total funds received correspond to private depositors. On the other hand, during the period 2005September 2008, companies and households concentrated 90% of the lending capacity corresponding to deposits raised from the general public, while financing received thereby represents 90% of total loans granted by private banks. Thus, 70% of private sector financing comes from this banking sector. The eloquence of these figures speaks for itself.

As it has been shown during the past five-year period, in which deposits have grown continuously, the credit offer is assured and the competence among banks drives a continuous improvement of their terms and conditions, both regarding financing terms as well as financing costs. However, lately, evolution of deposits in relation to the GDP has shown stagnation signs and, recently, a higher volatility. Thus, consolidating bank credit growth in these difficult times and in the future will basically have to do with clearly identifying problems limiting savings channeling through institutional markets and with designing policies to solve those problems. Finally, as long as institutional financial savings scarcity is not solved, credit will be volatile, scarce and expensive.

Mario Vicens President

ANNUAL REPORT 2008

Index Page Chapter 1: Evolution of Argentine Economy .............................................................. 1 Introduction..............................................................................................................................................1 The Macroeconomic Context ...............................................................................................................2 Balance of Payments ...............................................................................................................................2 Foreign Commerce..................................................................................................................................3 Employment.............................................................................................................................................3 Public Finance ..........................................................................................................................................4 Public Debt ...............................................................................................................................................4 Chapter 2: Monetary Evolution and Amendments to Central Bank´s Regulations ... 5 Monetary Evolution ................................................................................................................................5 2009 Monetary Program.........................................................................................................................6 Central Bank´s Reserves.........................................................................................................................7 Evolution of the Monetary Base...........................................................................................................7 Deposits and Loans.................................................................................................................................8 Interest Rates ............................................................................................................................................8 Chapter 3: Financial System.......................................................................................10 Introduction........................................................................................................................................... 10 Profitability, Efficiency and Intermediation Margins..................................................................... 11 Portfolio Quality ................................................................................................................................... 12 Exposure to the Public Sector............................................................................................................ 13 Capitalization ......................................................................................................................................... 15 Financial System Tax Burden............................................................................................................. 17 Share of Loans and Deposits per Group of Institutions .............................................................. 18 Financing to Small and Medium-Sized Companies ....................................................................... 20 Statistical Appendix: Tables 1 to 49 ...........................................................................21 Appendix ....................................................................................................................71 Principal Measures of Banking, Exchange and Financing Policies............................................. 71

ANNUAL REPORT 2008 Chapter I: Evolution of Argentine Economy

Chapter 1: Evolution of Argentine Economy Introduction The international financial crisis, which started in July 2007 with subprime mortgages, did not have a significant impact on Argentine economy behavior during this year. During the first quarter of the year 2008, the government tried to introduce changes to the exports rights system, which were rejected by the agricultural sector. This gave rise to an unprecedented dispute which was not rapidly solved, given the difficulties posed by both parties to reach an agreement. A generalized distrust was developed. This started affecting what, until that time, was an economic situation that seemed to be isolated from the international financial market problems.

Local financial markets reflected this situation. For the first time since 2002, there was an absolute reduction in bank deposits and the private sector banking loan growth rate started to desaccelerate steadily. As it was to be expected, the crisis also affected interest rates, which current average doubles the prevailing levels before the dispute. The resignation of both the Minister of Economy of the new administration that took office in December 2007 and of the Secretary of Agriculture and Livestock, are also consequences of the dispute, which have remained with diverse intensity all throughout the year, both at the purely economic level as at the political level.

Notwithstanding the fact that the decision made by the National Congress Senate to reject the Executive Branch's initiative -the Chamber of Representatives had ratified this decisionserved both to alleviate the situation and in order that other aspects of the economy -as is the case with interest rates and deposits- showed a normalizing trend, the dispute and some of its consequences at the productive, tax and foreign commerce levels, remained latent.

In the third quarter of the year, intensification of the international crisis and its impact on financial markets and international commodities markets was felt more intensely in the country.

Interest rates started again to show a growing trend, public bonds prices were reduced, deposits were stuck, exchange terms deteriorated and outflow of capitals to foreign countries was accelerated, while the tax situation deteriorated and employment demand started to drop.

The Government announced several measures oriented to normalize financial relations with financial markets, mainly with international financial markets. It announced payment in cash of the debt due to the Paris Club and the possibility of a public debt exchange to be due for new debt. Notwithstanding, the worsening of the general situation forced the government to abandon the first initiative until further notice. The exchange was carried out in the first months of 2009, alleviating financial needs of this year.

It should also be said that, at the end of last October, the national government decided to amend the pension system, eliminating the individual capitalization mixed system and replacing it again for a public distribution system. This initiative required the approval of the National Congress, and it was rapidly approved. At the end of 2008, retirement and pension 1

ANNUAL REPORT 2008 Chapter I: Evolution of Argentine Economy

funds managed by Pension and Retirement Trust Funds, as well as pension contributions, started to be managed by the Social Security National Administration (Administración Nacional de la Seguridad Social - ANSES). Pension and Retirement Trust Funds were wound up and the State received part of their employees.

Even though the liquidity of the Argentine financial system showed very satisfactory levels, the Central Bank adopted a series of measures to broaden last resort financial assistance windows in order to preserve loan offer in a context where deposits had become more volatile. In turn, the managed floating policy of the Peso exchange rate acted as counterweight for the uncertainty in order to prevent that deposits outflow turned from a transitory phenomenon into a permanent trend.

The Macroeconomic Context According to last updated preliminary data, the GDP corresponding to the year 2008 increased 7.0%, below 8.7%. Until the third quarter of the year, goods producing sectors represented 77% of this increase, which represents a higher proportion than the two thirds recorded in the previous year. During the first three quarters of the year, fixed gross investment increased up to 23.3% of the GDP; this level is double the minimum observed in the year 2002.

Industrial production measured using INDEC’s Industrial Monthly Estimate (IME), showed a 5.0% growth during the year 2008, a bit less than the growth registered during the year 2007 (a 7.5% increase). Values reached during 2008 are 31% more than the value recorded in 1998, the maximum value before the crisis. This industrial production dynamism was reflected in the use of installed capacity (IC), which continued to increase up to an average 74.8% during the year 2008, above the 74.0% recorded in the previous year. It is worth mentioning that there is still much dispersion in the use of the installed capacity, as it arises if we compare the levels reached by installed capacity in the production of motor vehicles and in oil refination, 58.7% and 92.8%, respectively, even though this difference was partially reduced during the last year.

Balance of Payments The current account surplus during the first nine months of the year increased to US$ 5.939 billion, which represents a 45% variation compared to the same period of the previous year.

The growth of goods exchange until the third quarter is the factor behind the higher current account balance.

In line with this, the payment balance capital and financial account showed a negative income amounting to US$ 5.6 billion, mainly as a result of private sector capital outflow, which amounted to approximately US$ 7.3 billion. On the other hand, a US$ 850 million increase was registered in Central Bank’s international reserves during that period.

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ANNUAL REPORT 2008 Chapter I: Evolution of Argentine Economy

Foreign Commerce Argentine exports in 2008 showed a 26.5% increase compared to 2007, and they reached their historical record: they amounted to US$ 70.589 billion. The unit value increase of exports was the result of the increase recorded in exported goods (26%), while amounts registered virtually no variation compared to the previous year.

Imports increased 28.4%, reaching a total of US$ 57.413 billion. The increase of imported quantities (16%) explains most of the imported amount increase, while import prices showed just an 11% increase.

Thus, towards the third quarter of the year, there was a 17.5% increase in exchange terms (the relationship between export and import prices), compared to the same period of the previous year. The foreign commerce balance for the entire year reached an amount of US$ 13.176 billion, 19% more than the prior year income.

Regarding the commerce with the various economic blocks, it is worth mentioning that the region that has the highest transaction volume comprises MERCOSUR member countries, with whom the commercial exchange represented a deficit reaching US$ 4 billion. There follow European Union countries, main Asian countries and NAFTA member countries. It is also worth mentioning the exchange with Chile, which registered a commercial surplus representing 29% of the total 2008 balance.

Employment The continued economic activity level growth was decisive to maintain a high employment level. In the fourth year quarter, the employment rate (population having an occupation in relation to total population) increased to 42.6%, slightly above the 42.1% level observed at the end of the previous year. On the other hand, unemployment was reduced to 7.3% compared to the rate recorded a year before, 7.5%. Subemployment remained constant at 9.1%, similar to the level recorded at the end of the previous year.

According to INDEC’s index, there was also an increase in salaries. The general level recorded a 22.4% increase between December 2008 and the same month of the previous year. Different from previous years, non-registered private sector salaries were the ones that recorded the highest growth: 37.5% increase, followed by public sector salaries, 21.2%, while salaries corresponding to registered private sector employment showed a 18.6% increase.

On the other hand, considering data arising from the Pension and Retirement Integrated System until the third quarter of the year, a 31.5% increase was observed in total compensation of contributing employees, therefore, the average salary was increased to $2,719 per month during that period.

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ANNUAL REPORT 2008 Chapter I: Evolution of Argentine Economy

Public Finance In the year 2008, national tax collection (excluding non-tax income) reached 25.9% of the GDP, which had amounted to 24.6% in the previous year.

In nominal terms, total tax resources increased 34.8% during the year, higher than the 33.2% recorded in the previous year. Increase of VAT (28%) and income tax (25.2%) are to be highlighted. Both taxes represent 77% of Argentine IRS income, excluding the social security system. Bank accounts debit and credit tax collection increased 29.4%, representing 7.2% of the total tax collection amount.

Public Debt At the end of the third quarter of 2008, the national government public debt amounted to almost US$ 175 billion, of which US$ 140 billion corresponded to the non-performing debt, US$ 6 billion to the non-performing debt (mainly to the Paris Club), and almost US$ 29 billion to debt nor presented for exchange.

48% of the non-performing debt is denominated in Pesos, while 85% of this amount corresponds to debt adjustable to CER, before the exchange of secured loans carried out at the beginning of 2009. There follow debts denominated in US Dollars and Euros, which continue to represent a 40% and a 10% share, respectively, while the rest is divided among other currencies.

The mean life of the non-performing debt is 12.4 years, which results from combining the 16.2 year mean term for public bonds and Treasury Bonds, and the 5.5 year term for loans (including secured loans).

Therefore, the total public debt amounts to 51.6% of the GDP at the end of the third quarter of 2008.

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ANNUAL REPORT 2008 Chapter II: Monetary Evolution and Amendments to Central Bank´s Regulations

Chapter 2: Monetary Evolution and Amendments to Central Bank´s Regulations Monetary Evolution Since mid 2007, Argentina had to face the impact of three adverse situations. In the first place, the start of the international financial crisis in July 2007 with the collapse of the subprime mortgage market, this was propagated to world financial markets. Then, between April and June 2008, the dispute with the agricultural sector provoked a change in expectations, which affected the behavior of economic agents, provoking a higher volatility in deposits and an increase in interest rates. Last, since mid September 2008, the international crisis was aggravated and the Argentine government eliminated the pension capitalization system, transferring pension savings individual accounts to the State distribution system by mid last quarter of the year.

Although with some differences, liquidity terms and conditions and preventive policies adopted by the Central Bank allowed the financial system to endure the impact of each of these situations without restricting the credit offer to the private sector, and preserving the system solvency.

As regards measures adopted by monetary authorities to assure liquidity, it is worth mentioning the following:

The repos market was adapted, offering liquidity at both fixed and variable interest rates.

Part of Central Bank’s Notes and Bonds (LEBAC and NOBAC) maturities were monetized, and these instruments were repurchased in the subprime mortgage market.

The public bonds open market operations were activated through purchases to be liquidated in Pesos, in order to inject liquidity and to preserve the monetary balance.

In two instances the minimum cash requirement was unified in bimonthly periods, where market liquidity so required.

An active repos mechanism in US Dollars was created in order to reduce Peso depreciation expectations.

Transactions of up to one-year term started to be carried out, with credit ratings of at least AA in the Non-Deliverable Forward (NDF) market.

A new liquidity window was authorized. This allows using as guarantee for repos certain species not previously authorized.

Limits to operate in the futures market were extended, both for the Central Bank and for those agents associated to any of the counterparts. It should be highlighted that the Central Bank only operates with contracts setoff in local currency.

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ANNUAL REPORT 2008 Chapter II: Monetary Evolution and Amendments to Central Bank´s Regulations

The Central Bank allowed the reference exchange rate applicable to future and forward transactions between the Central Bank and its counterparts to be fixed by the Emerging Market Traders Association.

The liquidity provision scheme was adapted, allowing banks having debts in favor of the Central Bank, with six month maturity at the latest, to immediately receive funds.

An option bid mechanism on Central Bank’s debts was established, allowing institutions to resale their bonds to the Central Bank before maturity at a preestablished discount.

Minimum cash requirements for deposits in foreign debt were reduced in order to increase availability of funds for foreign commerce financing.

A guarantee prequalification window was established for the financial assistance system.

For the purposes of the minimum cash requirement, institutions were allowed to calculate all their cash holdings, in-transit holdings and holdings in companies devoted to transportation of monies and securities (before they could only compute two thirds of their holdings).

Fixed rate repos line was increased from $3 billion to $10 billion.

Even though goals set forth in the monetary program for aggregate M2 (defined as M1 plus deposits in savings accounts) were met, M2 balance, considering only private sector deposits, reached a value lower than the range provided in the past year as a consequence of the reduction of transactional money demand provoked by the international financial crisis, which provoked a significant capital outflow from emerging markets, including Argentina.

2009 Monetary Program The Central Bank prepared the Monetary Program for the year 2009, considering a 4% GDP growth, a sustained investment of approximately 24% of the GDP, and exports amounting to US$ 69 billion. Even though exports would drop to a level somewhat below the value reached during the year 2008, due to deterioration of international prices and to the reduced agricultural production, the commercial surplus would be maintained, allowing maintaining the Balance of Payments current account positive balance. To prepare the monetary program, the Central Bank also used a more moderate internal price growth figure, forecasting a CPI 7% increase in the base scenario.

The Central Bank’s strategy is based on three milestones: 1) a monetary policy guaranteeing balance between money offer and demand; 2) an anti-cycle scheme to transfer vulnerabilities and to reduce macroeconomic volatility; and 3) a managed floating exchange rate system.

In this context, the Monetary Program’s goals were set forth which, as it is shown in the table below, imply an annual 15.3% and 16.5% average growth for the private sector’s M2 and M2, respectively. On the other hand, a variation range between 8.7% and 17.8% was set

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ANNUAL REPORT 2008 Chapter II: Monetary Evolution and Amendments to Central Bank´s Regulations

forth for the private sector’s M2, and a variation range between 9.8% and 18.9% was set forth for M2.

According to Central Bank’s estimates, the lending capacity that would arise from increasing deposits and other funding sources, such as institutions’ capitalization, part of resources obtained through financial intermediation and funds from the Argentine Pension and Retirement System, would allow a 30% increase of the private sector credit.

2009 Monetary Program (In billions of pesos and % variation)

Goals

Year 2009 March

June

Sept.

Dec.

Lower band

165,603 10.5%

171,633 9.9%

179,950 8.1%

185,841 8.7%

Higher band

176,690 17.9%

Lower band

138,458 1.6%

144,307 6.1%

147,397 6.5%

157,601 9.8%

Higher band

149,225 9.5%

154,916 13.9%

158,742 14.7%

170,661 18.9%

Total M2

Private M2

183,814 17.7%

189,301 16.3%

201,405 17.8%

Note: Shadowed cells correspond to estimates. For private M2 only annual goals were set.

Central Bank´s Reserves Central Bank’s reserves reached an amount of US$ 46.4 billion at the end of the year 2008, which represents a 0.5% increase over the period. The reserve growing trend was interrupted when the Central Bank decided to use part of them to stabilize the exchange market, both during the dispute with the agricultural sector as in the event of the aggravation of the international financial market crisis. Starting in November, reserves started to increase again and, at the year end, they reached a level slightly above the level recorded at the beginning of the year.

Evolution of Monetary Base During the year 2008, the monetary base registered a $14.5 billion increase, representing 10.6%. This includes a $19.2 billion monetization of LEBAC and NOBAC within the framework of one of the measures adopted by the Central Bank to provide liquidity to the economy. It is also worth mentioning that a $5.6 billion contraction was registered, due to the higher level of repos.

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ANNUAL REPORT 2008 Chapter II: Monetary Evolution and Amendments to Central Bank´s Regulations

Deposits and Loans The three events above-mentioned had an impact on bank funding. Reductions were temporary, but a significant volatility increase still remains. Private sector deposits grew 7.9%, which variation increases to 13.1% if it is corrected taking into account the effect of the change of holders of Pension and Retirement Trust Funds deposits (which are no longer considered as part of the private sector and are recorded, instead, as public sector deposits).

Even though this result is lower than the 25% growth recorded in the previous year, given the circumstances we should consider this as a highly positive result.

Current account balances grew 26%, while deposits in savings accounts in Pesos grew 4.1%.

Although the balance of term deposits in Pesos was only 2.6% higher than the balance registered at the end of the previous year, if we correct this figure taking into account Pension and Retirement Trust Funds deposits, the growth increases to 18.1%. On the other hand, total foreign currency deposits of the private sector grew 18.1% during the year, which, converted into Pesos, represents a 29.4% increase due to the exchange rate effect.

After growing at an annual 40% rate during the past years, in 2008 loans to the private sector grew more than a half, a 21.1% increase. This percentage continued to be higher than the one registered for deposits, greatly as a consequence of the still low household and company indebtedness levels, on the one hand, and due to excellent liquidity levels accrued by the system as a whole, including banks and the Central Bank.

Among the lines that registered the highest growth there are credit card financing (35.1%), personal loans (29.7%), mortgage loans (27.9%) and pledges (27.7%).

Interest Rates As it could not be otherwise, economic difficulties faced during the year had an impact on interest rates, which was translated, at times, into significant increases. First, it was observed that rates paid by fixed-term deposits started the year at approximately 10% per year with a decreasing trend, which was interrupted in May as a consequence of the agricultural dispute, reaching 15% per year.

After the Senate rejected Resolution 125/08, interest rates started to decrease again until reaching a level slightly below 12% in September. From that time onwards, the international financial situation was again complicated and, together with unilateral nationalization of pension and retirement savings accounts of the capitalization system, raised private sector fixed-term deposit interest rates above an average 22% per year in mid November. Then, interest rates resumed their decreasing trend.

Loans cost showed a similar behavior as, sooner or later, interest rates of each line reflected what happened in the deposit market, depending on the features of each credit market. The average for the entire year of Current Accounts Advance payment rates increased to 21.7% per year, Other Advance Payments amounted to 20.8% per year, while Signature Loans discount cost amounted to 19.3% per year (also yearly average).

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ANNUAL REPORT 2008 Chapter II: Monetary Evolution and Amendments to Central Bank´s Regulations

Mortgage loans average interest rates reached 12.8% per year, while pledge loans amounted to a yearly average of 17.5%. As to personal loans, interest rates recorded a yearly 28.3% average, while credit card financing interest rates amounted to 30.8%.

Although during the year 2008 there was an increase in credit cost compared to levels recorded in previous years, it is worth mentioning that it continued to be negative in actual terms if compared to the variation of the implicit prices official index in the GDP or to private estimates of other price indexes.

Interest Rates for Loans in Pesos As annual nominal percentages Type of Loan Current account advance payments Other advance payments Signature debt instruments Mortgage loans Pledge loans Personal loans Credit cards

Year 2003

Year 2004

Year 2005

Year 2006

Year 2007

Year 2008

Difference 2003-2008

40.6 24.7 17.7 18.0 19.7 54.3 45.9

16.3 11.6 10.8 12.0 13.3 30.4 29.7

15.8 10.1 10.3 11.3 10.3 27.3 25.9

17.1 12.7 12.6 11.7 9.9 26.5 24.7

17.4 15.3 14.1 11.2 11.3 26.0 25.7

21.7 20.8 19.3 12.8 17.5 28.3 30.8

-18.9 -3.9 1.6 -5.2 -2.3 -26.1 -15.0

Source: ABA based on Central Bank’s data.

Real Interest Rates for Loans in Pesos (1) As annual nominal percentages Type of Loan Current account advance payments Other advance payments Signature debt instruments Mortgage loans Pledge loans Personal loans Credit cards

Year 2003

Year 2004

Year 2005

Year 2006

Year 2007

Year 2008

Difference 2007-2008

27.3 12.8 6.5 6.8 8.4 39.7 32.0

6.4 2.2 1.5 2.6 3.7 19.4 18.7

6.3 1.2 1.3 2.2 1.4 16.9 15.7

3.2 -0.7 -0.7 -1.5 -3.1 11.5 9.9

2.8 0.9 -0.2 -2.7 -2.6 10.3 10.0

1.9 1.1 -0.2 -5.6 -1.7 7.4 9.5

-0.9 0.2 0.0 -2.9 0.9 -2.9 -0.5

(1) Deflected

using the GDP implicit price index.

Source: ABA based on Central Bank’s data.

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ANNUAL REPORT 2008 Chapter III: Financial System

Chapter 3: Financial System Introduction In relation to the financial system, the year 2008 represents only a test period, not only regarding the liquidity recovery soundness and the solvency recorded since the crisis of the years 2001-2002, but also regarding the credit soundness provided to the private sector, both relating to its continuity as to its quality.

As it was to be expected, liquidity problems and the flight to assets considered both by investors and by savers as being of higher quality recorded all over the world also had an impact on the local market, thus reducing the public bonds and share market.

At the same time, outflow of capitals abroad increased, there was a certain pressure on the exchange market, bank deposits ceased growing at times and credit among institutions deteriorated, generating illiquidity situations in the market, which were solved to the extent system’s accrued liquidity was offered and as the uncertainty generated by a more and more complex situation started to fade away.

By the end of the first semester of the year, the dispute between the government and the agricultural sector had a very negative impact on the local economic situation, which turned even more complicated as a result of the international financial crisis worsening at the end of the third quarter. Almost at the year end, the Government nationalized individual pension and retirement savings accounts and eliminated the capitalization system, re-boosting market uncertainty notwithstanding the obvious improvement derived from this initiative in favor of public accounts.

As a consequence of this, deposits became more volatile, interest rates fluctuated in line with market expectations evolution within the framework of a growing trend and the economy started to show proof of desacceleration towards year end. However, loans granted to the private sector continued to grow -even though at a slower pace-, and they neither debilitated liquidity levels nor affected the system solvency.

In this sense, the effect of the 2001-2002 crisis that still remains on balance sheets in the form of regulatory licenses is virtually nonexistent and tends to disappear. At the end of 2007, 87% of differences paid on account of judicial injunctions (amparos) had already been amortized, and they represented only 0.5% of total assets. On the other hand, only one institution maintained rediscounts with the Central Bank, and it has already repaid 93% of the original debt. In the year 2007, according to the schedule set forth, flexibilization measures introduced to minimum capital requirements and the quoting difference of public sector assets were reduced.

Notwithstanding this, inherited from the crisis, there is still a financial underdevelopment situation, mainly as regards financial intermediation, which the market situation during 2008 has not managed to overcome. The core of this problem is the reduced participation by institutionalized financial markets in domestic savings channeling. This weakness has both 10

ANNUAL REPORT 2008 Chapter III: Financial System

structural and temporary causes, the first relating to chronic situations that date back several decades and which were strengthened during the last 2001-2002 crisis, and other causes relating to the need of the national, provincial and municipal tax authorities to obtain resources even though this affects the banking system capacity to channeling more savings resources and, therefore, to expand credit to the private sector.

Financial System Recovery Stages Stage

Feature

Year 2002

Upon year end, deposits started to recover.

Year 2003

Towards mid year, private sector credit was reinstated and there was a reduction in non-performing rates.

Year 2004

Credit reinstatement extended to private sector and to business and home sectors.

Year 2005

First year with positive income recorded in balance sheets. End of repayment of re-structured deposits.

Year 2006

Medium-term credit grew and profit capitalization consolidated equity improvement.

Year 2007

Credit continued to grow in spite of the international financial crisis, deposits grew and profitability was reduced.

Year 2008

Worsening of the international crisis and of the dispute between the government and the agricultural sector, which complicated the local situation. By year end, the government nationalized individual pension and retirement savings accounts and eliminated the capitalization system. There was an increase both in deposits volatility and in interest rates, and the economy started to desaccelerate. The banking system maintained liquidity and solvency levels within a framework of activity growth rapid desacceleration.

Profitability, Efficiency and Intermediation Margins Notwithstanding these events, the financial system recorded a 1.5% positive income in assets, similar to the percentage obtained during the previous year. In terms of equity, income amounted to 13.3% during the year, slightly above the 11.0% observed in 2007.

Although in absolute terms this represents an improvement in relation to the income obtained during the previous year, it is still below the level reached during 2006.

If we analyze the profitability structure, we can observe an increase in the financial margin mainly driven by net income on account of interest. Most of this effect is due to the behavior recorded by loans that, as it was mentioned before, did not cease to grow, even

11

ANNUAL REPORT 2008 Chapter III: Financial System

though they showed a desaccelerating trend. Financial margin increased in 2008 from 5.7 to 6.7% of net assets, almost half of net income on account of interest.

Another factor that contributed to the positive result was net income on account of nonfinancial services which, during the past year, grew from 3.1 to 3.6% of net assets.

The incidence of administrative expenses also grew from 5.5 to 6.1% of net assets, mainly as a result of the increase in compensation and social security payments, while uncollectibility charges grew from 0.7 to 0.9% of assets.

Last, we may note that the effect of losses provoked by the 2001-2002 crisis continued to show a decreasing trend and, during 2008, amortizations of exchange differences of judicial injunctions (amparos) paid and adjustments in the assessments of public sector assets were reduced to 0.9% of net assets, below the 1.0% recorded during the previous year.

Portfolio Quality At the end of 2008, the non-performing rate was reduced to 3.0% of private sector financing, below the 3.2% recorded at the end of the previous year. Even though a slight increase was observed in this index during the last months of the year, the value reached in December was lower than the same value recorded in the same month of the previous year and was still maintained within the minimum historical values.

The non-performing financing to companies continued to show a decreasing trend and, in November, it amounted to 1.9% (decreasing compared to the 3.2% recorded at the end of the previous year). However, the non-performing financing to households gradually increased during the year, reaching 5.0% for personal loans and credit cards, and 4.3% for other lines of credit, an increase compared to past year end (3.5% and 3.6%, respectively).

It is worth mentioning that the non-performing financing recorded in private banks continued to be lower than that recorded by public institutions, although this gap has been significantly reduced during the past years. At the end of the year 2008, the private banks non-performing portfolio represented 2.8%, while in the case of public banks it amounted to approximately 3.3%.

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ANNUAL REPORT 2008 Chapter III: Financial System

Non-performing Loans to Private Sector % 40 35 30 25 38.6

20

33.5

15 10

16.0

19.1

18.6 7.6

5 0

Dec. 2000

Dec. 2001

Dec. 2002

Dec. 2003

Dec. 2004

Dec. 2005

4.5

3.2

3.0

Dec. 2006

Dec. 2007

Dec. 2008

Exposure to the Public Sector After having reached approximately 50% of assets in the year 2002, mainly as a result from bonds received as compensation for losses provoked by the asymmetric pesification, the financial system exposure to the public sector has steadily decreased during the past years. In September, 2008, it had decreased to 26.1% of total assets from the 26.8% recorded in December of the previous year.

Central Bank’s rules and regulations in force set forth that the maximum limit that can be reached by this exposure is 35% of total assets, excluding bonds issued by the Central Bank (LEBAC and NOBAC), both regarding quality of own portfolio as a counterpart of repos.

This index was reduced from 16.3 to 12.5% during 2008 for the entire financial system, while for private banks it was reduced from 9.5 to 6.3%.

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ANNUAL REPORT 2008 Chapter III: Financial System

Credit to Public Sector (excluding LEBAC and NOBAC) As % of Asset 50 45 40 35 30

48.9

25

47.0 40.9

20

31.5

15 10

23.0 16.9

16.2

16.2

18.0

17.3

1996

1997

1998

1999

2000

22.5 16.3

12.5

5 0

2001

2002

2003

2004

2005

2006

2007 2008

Exposure to Public Sector As % of Asset 50 45 40 35 30 25 20 15 10 5 0

Dec. 2000

Dec. 2001

Dec. 2002

LEBAC/NOBAC

Dec. 2003

Dec. 2004

Dec. 2005

Compensations

Dec. 2006

Dec. 2007

Sep. 2008

Bonds + Loans

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ANNUAL REPORT 2008 Chapter III: Financial System

Capitalization In the year 2008, the financial system net equity increased 12.5%, reaching a total of $41.4 billion as a result of capitalization of obtained profits and of new capital contributions made during the period.

Stockholders´ Equity In billions of pesos 45 40 35 30 25 20 15 10 5 0

Dec. 2000

Dec. 2001

Dec. 2002

Dec. 2003

Dec. 2004

Dec. 2005

Dec. 2006

Dec. Dec. 2007 2008

Cumulative Capitalizations 2002 - 2008 In millions of pesos 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0

2002

2003

2004

2005

2006

2007

2008

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ANNUAL REPORT 2008 Chapter III: Financial System

During the year, capitalizations amounted to approximately $800 million, mostly directed to non-banking financial institutions. It is worth mentioning that capitalizations made by financial institutions since the 2001-2002 crisis have reached almost $18 billion, of which 54% -approximately $9.6 billion- correspond to international banks that have capitalized debts and/or projected new funding since the beginning of the crisis.

Financial Institutions Capitalizations 2002 - 2008 By type of Institutions – In millions of pesos 10,.000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 Public Banks

Local Private Banks

International Banks

Non-banking Financial Institutions

Capitalized profits and injection of new funds are allowing institutions to meet the higher minimum cash requirement, which implies eliminating regulatory exemptions and amendments set forth by the Central Bank after the crisis. In fact, during 2008, capital integration reached 16.8% and 18.3% of risk weighted assets, for the entire system and for private banks, respectively. This level meets in excess the minimum capital requirements in currently force.

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ANNUAL REPORT 2008 Chapter III: Financial System

Financial Institutions Capitalizations 2002 - 2008 Market Share Local Private Banks 21%

International Banks 54%

Public Banks 17% Non-Banking Financial Institutions 8%

Financial System Tax Burden The financial system is affected by a great variety of direct and indirect taxes, general and specific, which are part of costs to be absorbed to render both financial and transactional banking services.

During the first 11 months of 2008 total taxes paid by the financial system as a whole recorded a 49.0% increase compared to the previous year. This burden represents 1.22% of total assets, above the 0.95% recorded a year before and above the 0.79% recorded in 2006.

This total includes Gross Income taxes, Income taxes, taxes included in administrative expenses, such as real estate taxes of branches and office buildings, and the SEDESA contribution.

The income tax was the most significant tax during the first 11 months of 2008, with a 81% increase compared to the previous year and a 38% participation in the total tax burden. The second place goes to the amount paid on account of gross income tax, which represented 37% of the total amount paid, followed by taxes included in administrative expenses, which represent 17%. The other 8% corresponds to SEDESA contribution for the deposit insurance.

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ANNUAL REPORT 2008 Chapter III: Financial System

Tax Burden As % of Assets 1.4 1.2

1.0

0.8

0.6

0.4

0.2

0.0

2001

2002

2003

2004

2005

2006

2007

11 Months 2008

Administrative Taxes SEDESA Contribution Income Tax Gross Income Tax

Share of Loans and Deposits per Group of Institutions According to the information available in December 2008, international banks continued to be the most representative group as regards to private sector deposits, with 36.7% of total system deposits, followed by national equity private banks and public banks with 32.0% and 31.0%, respectively. The remaining portion corresponds to non-banking financial institutions, such as financial companies and credit accounts.

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ANNUAL REPORT 2008 Chapter III: Financial System

Private Sector Deposits December 2008 Non-Banking Financial Institutions 0%

Local Private Banks 32%

International Banks 37%

Public Banks 31%

Private Sector Loans December 2008 Non-Banking Financial Institutions 4% Local Private Banks 35% International Banks 32%

Public Banks 29%

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ANNUAL REPORT 2008 Chapter III: Financial System

As regards private sector loans, international banks have a 32.4% participation in the total system, while local private banks and public banks have 34.2% and 29.4%, respectively.

Financing to Small and Medium-Sized Companies According to the information provided by the Central Bank, new loans amounting to less than one million Pesos or US Dollars granted to companies -the best approximate figure available to make an estimate of Small and Medium-Sized Companies’ loans- maintained their growing trend similar to past years, increasing 21.3% in 2008 compared to the previous year, a third of total loans granted to companies during that period.

On the other hand, interest rates for these loans were approximately 12.8% per year and, although they increased during the past year, they were slightly positive in actual terms in relation to inflation official indexes, and they were negative if compared to GDP implied prices or with inflation expectations revealed by some institutions during this period.

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ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 1: Deposits in Domestic Currency

Monthly average of daily balances (in millions of pesos) Period

Current Accounts

Savings Accounts

Time Deposits

Total

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December December December December

3,129 4,909 6,214 6,993 7,011 10,514 12,178 12,648 12,580 11,951 8,309 23,305 30,825 38,630 47,386 55,386

1,980 2,758 4,653 5,242 4,688 5,936 7,601 8,206 8,347 7,924 4,499 9,144 14,554 21,616 25,965 30,157

2,955 5,998 8,903 9,622 7,343 8,756 12,057 13,577 12,791 12,024 5,872 33,435 38,472 42,179 49,253 65,906

8,064 13,665 19,770 21,858 19,042 25,207 31,836 34,432 33,719 31,900 18,681 65,885 83,851 102,425 122,604 151,449

2007

January February March April May June July August September October November December

55,721 55,801 55,767 57,432 60,397 59,057 60,074 60,545 57,861 57,453 58,799 61,611

30,309 30,678 30,557 31,292 31,734 32,718 34,924 34,564 34,918 35,310 35,804 37,849

67,533 70,798 72,959 73,496 74,287 75,587 75,308 77,934 82,141 81,998 81,780 80,809

153,562 157,277 159,284 162,219 166,418 167,362 170,307 173,043 174,919 174,762 176,382 180,268

2008

January February March April May June July August September October November December

64,934 62,248 61,224 63,170 65,813 65,695 66,989 64,827 70,651 70,444 68,487 77,639

39,257 40,420 39,350 39,236 38,611 38,146 39,748 38,390 38,191 37,702 37,411 39,392

83,128 89,055 92,957 92,874 91,216 91,168 92,627 99,516 98,070 98,576 97,721 82,928

187,319 191,722 193,531 195,280 195,640 195,009 199,364 202,733 206,912 206,722 203,620 199,959

(1)

(1) Starting on March 2002, it includes rescheduled deposits.

Source: ABA based on "Statistical Bulletin", "Daily Information on Deposits, Credit and Cash in Domestic Currency" and "Main Financial System Liabilities", Central Bank.

21

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 2: Deposits in Foreign Currency

Monthly average of daily balances (in millions of dollars) Period

Current Accounts

Demand Deposits

Savings Accounts

Time Deposits

Deposits on Behalf of Central Bank

Total

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December December December December December December December December December December

… … … … … … … …

292 351 441 472 646 684 829 781 2,442 26 52 25 10 4

40 11 12 16 42 597 782 839 392 482 493 1,092 1,528 2,119 1,695 1,162 2,385 327 349 417 455 518

… … … … … …

1,137 1,866 3,698 4,032 3,445 4,529 5,330 5,304 6,146 5,602 9,772 83 457 1,848 1,455 1,937

… … … …

1,063 2,069 4,641 8,037 13,711 18,122 18,321 22,273 29,666 34,435 38,475 44,155 33,116 427 1,041 1,646 2,236 3,227

553 820 994 1,487 538 177 145 … … … … … … … … … … … … … … …

593 831 1,006 1,503 1,644 2,843 6,705 10,742 18,093 22,986 22,699 28,366 37,169 42,542 47,145 51,700 47,715 863 1,899 3,936 4,157 5,686

2007

January February March April May June July August September October November December

4 3 4 4 4 4 4 4 5 5 5 4

553 534 478 496 538 546 481 514 551 612 634 690

1,974 1,931 1,894 1,897 2,031 1,978 2,096 2,203 2,273 2,322 2,392 2,400

3,787 3,763 3,778 3,835 3,920 3,898 3,888 4,189 4,463 4,622 4,753 4,870

… … … … … … … … … … … …

6,318 6,231 6,154 6,232 6,492 6,425 6,470 6,910 7,292 7,561 7,784 7,964

2008

January February March April May June July August September October November December

5 5 6 6 8 10 10 9 8 9 10 11

696 654 675 665 641 675 669 673 630 684 672 718

2,681 2,512 2,568 2,603 2,691 2,742 2,820 2,927 2,925 3,001 3,357 3,579

5,351 5,068 5,102 5,357 5,438 5,419 5,453 5,602 5,723 5,900 5,821 5,815

… … … … … … … … … … … …

8,734 8,239 8,350 8,631 8,778 8,846 8,952 9,211 9,286 9,595 9,861 10,124

Source: ABA based on "Statistical Bulletin", "Daily Information on Deposits, Credit and Cash in Foreign Currency" and "Main Liabilities of Financial System", Central Bank.

22

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 3: Judicial Injunctions Period

Number of Lawsuits

Principal (1)

Update According to CER

Exchange Rate Difference

Total Amount Paid

In Millions of Pesos

Average Amount per Lawsuit

Average Exchange Rate

In Thousands of Pesos

In Pesos

2007

January February March April May June July August September October November December

201 728 928 742 879 656 817 780 1,046 1,419 1,485 1,812

5 11 19 19 21 16 31 50 82 73 41 66

4 10 17 18 18 15 30 49 82 66 40 68

4 9 13 12 11 8 15 19 27 28 19 28

13 31 49 49 49 40 76 118 191 167 100 163

64 42 53 67 56 61 93 151 183 118 67 90

3.08 3.10 3.10 3.09 3.08 3.08 3.11 3.15 3.15 3.16 3.14 3.14

2008

January February March April May June July August September October November December

375 1,068 1,300 1,576 1,593 1,511 1,608 1,117 1,671 1,764 1,435 413

21 32 53 34 34 43 45 38 29 37 31 5

22 34 55 36 35 42 48 44 32 40 32 5

6 13 17 16 15 18 10 9 18 20 23 5

48 79 125 86 84 103 104 91 78 97 86 16

129 74 96 55 53 68 65 81 47 55 60 38

3.13 3.16 3.15 3.17 3.15 3.03 3.02 3.03 3.08 3.23 3.33 3.44

Year 2002 Year 2003 Year 2004 Year 2005 Year 2006 Year 2007 Year 2008

185,348 94,145 45,322 20,728 15,083 11,493 15,431

6,022 2,349 1,141 516 344 434 402

1,427 1,011 557 317 277 418 425

6,698 1,940 1,039 378 226 193 169

14,147 5,300 2,737 1,211 846 1,045 996

76 56 60 58 56 91 65

3.27 2.95 2.94 2.92 3.08 3.13 3.13

387,550

11,209

4,431

10,642

26,283

68

3.15

Total

(1) Pesified at $1.40 per US Dollar.

Source: ABA based on Central Bank's data.

23

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 4: Monetary Aggregates

(in millions of pesos of December 2008) Period

M1

M2

M1 + Foreign Currency Demand Deposits

M2 + Total Deposits in Foreign Currency

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December

49,433 47,139 58,411 67,984 72,387 71,256 66,014 48,158 62,074 87,735 102,524 115,927 128,231

91,701 79,957 97,981 121,193 133,567 130,607 121,378 78,096 130,338 170,443 195,522 214,299 244,068

50,266 48,072 59,975 70,159 75,190 73,779 67,957 52,986 63,305 88,923 103,837 117,328 129,829

114,688 102,657 126,347 158,363 176,108 177,751 173,078 125,811 133,350 176,065 207,220 226,826 261,470

2007

January February March April May June July August September October November December

129,438 129,056 128,835 129,722 132,838 131,729 134,652 134,583 129,931 129,059 129,515 135,504

246,563 249,837 251,196 252,052 255,382 255,419 258,815 260,447 259,710 258,079 257,620 263,783

131,156 130,723 130,327 131,266 134,508 133,423 136,162 136,216 131,680 131,008 131,518 137,685

266,046 269,168 270,275 271,318 275,385 275,202 278,936 282,232 282,664 281,978 282,025 288,797

2008

January February March April May June July August September October November December

139,664 135,183 133,033 134,190 136,362 135,302 137,581 133,800 138,796 137,811 135,561 148,555

270,844 272,999 272,297 271,826 270,526 267,723 272,380 273,322 275,921 274,284 270,845 270,874

141,869 137,263 135,179 136,315 138,406 137,388 139,633 135,869 140,762 140,055 137,833 151,055

298,304 299,018 298,638 299,157 298,193 294,654 299,435 301,264 304,550 305,321 303,700 305,552

Note: Monetary aggregates include public sector´s deposits.

Source: ABA based on "Statistical Bulletin", "Daily Information on Deposits, Loans and Cash in Domestic and Foreign Currency" and "Main Financial System Liabilities", Central Bank and INDEC. 24

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 5: Monetary Aggregates

Annual averages (as a percentage of the GDP) Period

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

M1

M2

3.7 5.0 3.9 2.6 2.6 2.2 2.9 4.3 5.7 6.4 6.4 7.3 8.0 8.5 8.8 8.3 7.6 10.2 11.9 14.1 14.4 14.4 14.4 16.7

9.3 13.8 12.3 10.8 8.3 4.2 5.2 7.5 10.7 12.0 11.0 12.5 14.3 15.7 16.4 15.8 13.9 22.6 25.3 27.3 28.0 27.7 28.1 33.0

M1 + Foreign Currency Demand Deposits 3.7 5.0 3.9 2.6 2.9 2.4 3.3 4.7 5.9 6.6 6.7 7.8 8.6 9.2 9.6 8.9 8.5 12.0 12.2 14.4 14.6 14.6 14.6 16.9

M2 + Total Deposits in Foreign Currency 9.4 13.8 12.4 10.8 14.9 5.2 7.8 11.4 16.9 20.2 19.3 22.3 25.4 29.1 32.7 33.2 32.7 27.1 26.3 29.4 30.2 30.1 30.7 36.6

Source: ABA based on data from "Statistical Bulletin", "Daily Information on Deposits, Loans and Cash in Domestic and Foreign Currency", "Main Financial System Liabilities" and "Annual Estimates of Global Supply and Demand. Period 1980-1992", Central Bank and "Economic Report", Ministry of Economy and Production.

25

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 6: Monetary Aggregates in Real Terms (1)

Monthly average of daily balances (in millions of pesos of December 2008) Period

Cash Held

by Public

Current Accounts

M1

Savings Accounts

Time Deposits

M2

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December December December December December December December December December December

13,809 15,828 13,212 11,507 9,327 10,183 15,799 20,787 27,209 29,547 28,016 30,092 35,020 36,864 35,935 32,844 24,172 24,710 39,655 46,211 53,954 61,444

17,794 15,743 10,304 8,056 9,564 5,994 10,472 15,089 18,568 19,886 19,123 28,318 32,964 35,523 35,321 33,169 23,986 37,363 48,080 56,313 61,973 66,787

31,604 31,571 23,515 19,563 18,891 16,176 26,271 35,876 45,777 49,433 47,139 58,411 67,984 72,387 71,256 66,014 48,158 62,074 87,735 102,524 115,927 128,231

10,720 10,753 9,326 6,828 2,818 8,463 6,627 8,476 13,904 14,907 12,788 15,987 20,574 23,047 23,437 21,992 12,987 14,660 22,700 31,511 33,958 36,365

33,513 47,829 42,305 53,525 22,097 7,759 9,891 18,435 26,601 27,361 20,030 23,583 32,635 38,133 35,914 33,373 16,951 53,603 60,008 61,487 64,414 79,472

75,836 90,153 75,146 79,917 43,806 32,399 42,789 62,787 86,282 91,701 79,957 97,981 121,193 133,567 130,607 121,378 78,096 130,338 170,443 195,522 214,299 244,068

2007

January February March April May June July August September October November December

62,736 62,640 62,916 62,675 63,027 64,284 66,986 66,844 65,782 65,869 65,455 68,898

66,702 66,416 65,920 67,047 69,811 67,446 67,666 67,739 64,149 63,190 64,060 66,606

129,438 129,056 128,835 129,722 132,838 131,729 134,652 134,583 129,931 129,059 129,515 135,504

36,282 36,514 36,120 36,530 36,679 37,366 39,338 38,671 38,712 38,836 39,008 40,918

80,842 84,266 86,241 85,800 85,865 86,325 84,825 87,194 91,067 90,184 89,098 87,361

246,563 249,837 251,196 252,052 255,382 255,419 258,815 260,447 259,710 258,079 257,620 263,783

2008

January 70,064 69,600 139,664 42,078 89,101 270,844 February 68,925 66,258 135,183 43,024 94,792 272,999 March 68,589 64,443 133,033 41,420 97,845 272,297 April 68,378 65,812 134,190 40,877 96,759 271,826 May 68,350 68,012 136,362 39,901 94,263 270,526 June 68,029 67,273 135,302 39,062 93,359 267,723 July 69,365 68,216 137,581 40,476 94,324 272,380 August 68,214 65,587 133,800 38,839 100,682 273,322 September 67,697 71,099 138,796 38,434 98,692 275,921 October 67,265 70,545 137,811 37,756 98,717 274,284 November 66,998 68,564 135,561 37,453 97,831 270,845 December 70,916 77,639 148,555 39,392 82,928 270,874 (1) Deflated by the combined price index.

Source: ABA based on "Statistical Bulletin" and "Daily Information on Deposits, Loans and Cash in Domestic Currency", Central Bank and INDEC. 26

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 7: Central Bank’s Monetary and Financial Liabilities

Monthly average of daily balances (in millions of pesos) Period

Currency

Financial Institutions Deposits in the Central Bank

Monetary Liabilities

Net Position of Repos

Financial Liabilities (1)

Government Deposits in the Central Bank

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December

12,346 12,025 13,131 15,174 15,520 15,048 14,205 10,173 17,766 28,717 35,838 46,008 56,158

3,872 716 27 47 31 91 88 6,703 10,953 20,396 22,988 15,972 28,660

16,218 12,741 13,158 15,221 15,551 15,139 14,293 16,876 28,719 49,112 58,826 61,980 84,818

…

1,494 4,961 6,315 9,347 9,662 9,248 -4,773 -233 -46 5,491 5,422 1,666

…

15,010 18,137 21,536 24,898 24,802 23,541 12,109 28,486 49,066 64,317 67,403 86,484

…

456 1,049 478 1,620 1,827 1,016 171 79 559 486 1,227 2,041

2007

January February March April May June July August September October November December

57,199 57,333 58,136 58,909 59,448 61,486 64,972 65,224 64,841 65,410 65,728 70,577

27,288 26,739 27,093 27,445 28,576 28,850 29,398 30,879 30,886 30,839 32,165 34,297

84,487 84,072 85,229 86,354 88,023 90,336 94,370 96,103 95,727 96,249 97,893 104,874

4,225 5,507 4,059 5,294 5,682 3,304 2,530 2,504 2,777 2,241 1,589 2,240

88,712 89,580 89,288 91,647 93,705 93,640 96,900 98,607 98,504 98,490 99,482 107,114

3,813 3,367 5,155 6,387 5,635 8,092 7,051 3,210 2,649 1,462 3,040 3,232

2008

January February March April May June July August September October November December

71,897 70,976 72,141 71,991 72,711 73,532 75,130 74,509 74,121 74,463 74,437 80,247

34,518 33,185 35,455 36,647 36,520 36,965 36,052 37,973 39,324 40,856 42,149 43,413

106,415 104,161 107,596 108,638 109,231 110,497 111,183 112,482 113,445 115,319 116,586 123,660

7,262 10,414 8,348 7,719 6,158 4,666 9,599 10,965 10,951 8,852 9,053 7,885

113,676 114,574 115,945 116,357 115,389 115,163 120,782 123,447 124,396 124,172 125,639 131,546

5,580 4,865 5,243 5,613 5,566 7,670 5,718 3,920 2,725 892 458 1,118

(1) Financial liabilities do not include the stock of LEBAC and NOBAC. Source: ABA based on "Statistical Bulletin", "Central Bank´s Monetary Liabilities", Central Bank.

27

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 8: Central Bank´s Reserves (1)

Monthly average of daily balances Period

Liquid Reserves (2)

Government Securities (3)

Total

In Millions of US Dollars

Monetary Liabilities (4) In Millions of Pesos

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December

17,503 20,871 24,975 24,910 24,077 14,815 10,265 13,820 19,310 27,262 31,167

1,793 1,746 1,683 1,456 1,314 4,534 ... ... ... ... ...

19,296 22,618 26,658 26,366 25,391 19,349 10,265 13,820 19,310 27,262 31,167

14,059 14,190 15,551 15,139 14,293 16,876 28,719 49,112 58,826 61,980 84,818

2007

January February March April May June July August September October November December

32,700 34,226 35,876 37,647 39,633 41,938 43,869 43,731 42,931 42,724 43,792 45,711

... ... ... ... ... ... ... ... ... ... ... ...

32,700 34,226 35,876 37,647 39,633 41,938 43,869 43,731 42,931 42,724 43,792 45,711

84,487 84,072 85,229 86,354 88,023 90,336 94,370 96,103 95,727 96,249 97,893 104,874

2008

January February March April May June July August September October November December

46,910 48,407 50,039 50,330 49,449 47,918 47,600 47,300 47,072 46,608 45,664 46,198

... ... ... ... ... ... ... ... ... ... ... ...

46,910 48,407 50,039 50,330 49,449 47,918 47,600 47,300 47,072 46,608 45,664 46,198

106,415 104,161 107,596 108,638 109,231 110,497 111,183 112,482 113,445 115,319 116,586 123,660

(1) Market values.

(2) Bills, deposits in current accounts, demand and time deposits, gold and ALADI. (3 It includes bonds used as collateral for repos transactions.

(4) Currency + Financial institutions deposits in Central Bank.

Source: ABA based on "Reserves and Monetary Base" and "Foreign Currency Assets and Monetary Liabilities", Central Bank.

28

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 9: Loans to Private Sector

Monthly average of daily balances (in millions of pesos) Period

Overdrafts

Promissory Notes

Mortgage Loans

Pledge Loans

15,840.1 11,223.7 7,479.7 6,716.7 9,479.9 15,266.4

16,986.1 16,183.9 11,554.6 9,401.0 8,830.5 8,845.5

4,942.2 3,707.5 2,264.3 1,324.5 1,672.3 2,335.2

Consumer Loans

Credit Cards Financing

Others

Total

5,489.2 4,889.3 2,685.9 2,332.9 4,184.0 7,148.7

4,027.8 3,656.0 2,091.2 2,288.7 3,175.5 5,206.7

6,919.7 5,110.4 4,815.9 4,070.5 4,803.6 4,999.4

63,330.6 51,462.6 36,041.7 30,927.3 38,941.6 52,829.7

2000

December

2001

December

2002

December

2003

December

2004

December

2005

December

9,125.5 6,691.8 5,150.1 4,793.9 6,796.0 9,028.2

2006

December

12,107.6

22,558.1

10,132.6

3,761.4

13,009.3

7,399.8

5,916.8

74,884.7

2007

January

11,620.7 11,472.4 11,543.2 11,920.0 12,718.2 13,088.2 13,952.8 13,621.8 13,305.7 13,542.1 14,134.5 14,662.4

23,493.0 23,839.5 24,354.0 24,927.6 25,359.2 25,560.6 26,747.7 27,967.5 29,095.1 29,849.3 30,362.4 31,479.8

10,375.5 10,630.5 10,873.1 11,107.9 11,363.9 11,654.3 12,074.6 12,603.6 13,101.8 13,605.4 13,998.8 14,432.2

3,885.8 4,003.5 4,135.7 4,258.8 4,418.1 4,568.2 4,723.6 4,980.5 5,237.6 5,501.8 5,756.7 5,964.6

13,537.6 14,139.1 14,667.7 15,119.5 15,518.7 16,234.7 16,883.9 17,747.6 18,693.5 19,526.7 20,369.6 21,044.6

7,852.1 8,133.6 8,224.6 8,478.0 8,650.5 9,057.8 8,927.9 9,272.6 9,786.2 10,107.7 10,698.9 11,010.3

5,595.8 5,553.6 5,868.8 5,877.9 5,629.3 5,822.0 5,929.7 6,093.8 6,405.3 6,638.5 6,637.2 6,872.0

76,359.6 77,773.1 79,666.9 81,688.5 83,658.1 85,985.3 89,239.5 92,288.1 95,625.7 98,774.1 101,958.4 105,466.1

15,384.0 15,150.9 15,144.0 15,871.7 16,665.2 16,499.8 16,816.2 16,719.9 17,484.8 17,330.2 16,434.4 16,264.0

32,005.6 32,095.8 32,291.5 33,167.3 34,210.6 33,482.3 33,561.3 34,040.7 34,752.5 36,600.4 36,775.9 36,295.3

14,717.0 15,046.9 15,368.0 15,645.0 16,033.7 16,396.8 16,740.4 17,087.9 17,400.9 17,783.9 18,216.0 18,704.7

6,101.3 6,302.5 6,456.7 6,601.6 6,851.1 7,105.4 7,232.7 7,398.9 7,508.0 7,679.2 7,836.3 7,868.0

21,772.5 22,603.7 23,311.8 24,085.2 25,141.6 25,666.4 26,046.3 26,358.1 26,767.8 27,252.1 27,615.2 27,668.8

11,681.6 12,014.9 12,115.3 12,468.1 12,870.1 13,151.5 13,047.0 13,517.3 13,596.5 14,265.9 14,548.1 14,953.7

7,122.7 7,043.9 7,054.6 7,165.5 7,163.5 7,366.4 7,380.5 7,394.3 7,550.0 7,659.5 7,735.2 7,958.0

108,785.4 110,256.8 111,742.6 115,005.0 118,936.2 119,668.3 120,826.3 122,518.6 125,061.7 128,571.8 129,161.9 129,711.4

February March April May June July August September October November December 2008

January February March April May June July August September October November December

Source: ABA based on "Main Assets of Financial System", Central Bank.

29

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 10: Loans to Private Sector

Change in the last 12 months (as a percentage) Period

Overdrafts

Promissory Notes

Mortgage Loans

Pledge Loans

Consumer Loans

Credit Cards Financing

Others

Total

-29.1 -33.4 -10.2 41.1 61.0

-4.7 -28.6 -18.6 -6.1 0.2

-25.0 -38.9 -41.5 26.3 39.6

-10.9 -45.1 -13.1 79.3 70.9

-9.2 -42.8 9.4 38.7 64.0

-26.1 -5.8 -15.5 18.0 4.1

-18.7 -30.0 -14.2 25.9 35.7

14.6

61.1

82.0

42.1

18.4

41.7

2001

December

2002

December

2003

December

2004

December

2005

December

-26.7 -23.0 -6.9 41.8 32.8

2006

December

34.1

47.8

2007

January

31.5 27.3 29.0 35.5 37.1 29.8 30.2 25.5 21.1 18.6 19.0 21.1

47.3 48.1 46.5 43.4 41.4 37.9 38.8 40.5 40.9 39.5 38.7 39.6

16.3 18.4 20.9 22.0 24.4 26.0 28.4 31.2 35.4 37.6 38.6 42.4

58.9 57.2 57.4 54.2 53.3 50.9 53.9 55.8 57.1 58.5 59.3 58.6

78.3 80.0 79.0 75.9 73.0 73.0 71.3 68.9 68.4 65.7 62.7 61.8

40.3 42.0 39.2 41.9 38.6 37.5 41.3 48.1 49.6 50.5 54.5 48.8

12.5 10.4 13.8 12.1 5.1 9.6 8.9 9.7 11.7 13.6 13.5 16.1

40.6 40.8 41.1 41.2 39.9 38.3 39.2 40.1 40.6 40.1 40.1 40.8

32.4 32.1 31.2 33.2 31.0 26.1 20.5 22.7 31.4 28.0 16.3 10.9

36.2 34.6 32.6 33.1 34.9 31.0 25.5 21.7 19.4 22.6 21.1 15.3

41.8 41.5 41.3 40.8 41.1 40.7 38.6 35.6 32.8 30.7 30.1 29.6

57.0 57.4 56.1 55.0 55.1 55.5 53.1 48.6 43.3 39.6 36.1 31.9

60.8 59.9 58.9 59.3 62.0 58.1 54.3 48.5 43.2 39.6 35.6 31.5

48.8 47.7 47.3 47.1 48.8 45.2 46.1 45.8 38.9 41.1 36.0 35.8

27.3 26.8 20.2 21.9 27.3 26.5 24.5 21.3 17.9 15.4 16.5 15.8

42.5 41.8 40.3 40.8 42.2 39.2 35.4 32.8 30.8 30.2 26.7 23.0

February March April May June July August September October November December 2008

January February March April May June July August September October November December

Source: ABA based on "Main Assets of Financial System", Central Bank.

30

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 11: Bank Credit (in millions of pesos) End of:

To Public Sector

To Private Sector

In Domestic Currency

In Foreign Currency

Total

In Domestic Currency

In Foreign Currency

Total

December December December December December December December December December December December December December December December December December December

233 5,291 6,548 5,076 6,541 5,734 5,426 6,289 6,098 4,797 5,481 3,715 3,392 57,744 67,798 78,743 86,251 77,869

756 1,647 3,736 5,545 6,652 5,898 10,622 12,647 15,075 18,862 22,790 25,063 26,722 37,538 28,425 25,639 14,919 11,252

989 6,938 10,284 10,621 13,193 11,631 16,048 18,936 21,172 23,659 28,272 28,778 30,114 95,282 96,223 104,382 101,170 89,120

605 7,238 13,180 19,055 21,766 23,931 21,819 21,980 24,745 27,420 26,659 25,688 15,626 41,175 34,975 41,422 54,163 72,778

684 3,515 9,573 15,933 21,477 28,282 29,686 32,958 39,489 44,786 43,919 42,221 40,353 6,749 5,483 5,549 7,898 12,488

1,288 10,753 22,753 34,988 43,244 52,212 51,506 54,939 64,234 72,206 70,578 67,910 55,979 47,924 40,458 46,971 62,061 85,266

2007 January February March April May June July August September October November December

84,228 86,861 85,193 89,348 91,261 89,799 84,419 88,860 90,700 89,885 89,746 78,321

11,815 10,862 10,695 10,531 9,059 9,276 8,025 6,277 5,668 5,522 5,713 5,178

96,042 97,723 95,888 99,878 100,319 99,075 92,444 95,137 96,367 95,408 95,459 83,499

74,166 75,243 76,696 78,277 80,776 82,651 85,257 88,589 90,929 93,765 96,712 100,117

13,127 13,342 13,825 14,063 14,241 14,370 15,033 15,813 16,393 16,653 16,868 17,374

87,293 88,585 90,521 92,340 95,016 97,022 100,290 104,402 107,322 110,418 113,580 117,491

2008 January February March April May June July August September October

98,891 96,016 97,198 96,829 93,459 90,221 100,611 101,254 100,248 89,909

5,233 5,232 4,916 4,647 4,025 4,050 3,930 2,645 2,632 2,626

104,124 101,248 102,114 101,476 97,485 94,271 104,541 103,899 102,880 92,536

101,887 103,165 105,374 109,259 111,586 112,805 113,292 115,658 117,539 118,940

18,193 18,083 17,948 18,860 18,835 18,889 19,401 19,732 20,412 22,171

120,081 121,248 123,322 128,119 130,421 131,694 132,693 135,390 137,951 141,111

1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Source: ABA based on "Statistical Bulletin", Central Bank.

31

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 12: Nominal Bank Credit By Currency (in millions of pesos) End of:

In Domestic Currency

In Foreign Currency

Loans

Resources Earned on Loans

Total

Loans

Resources Earned on Loans

Total

Total

1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December December December December December December

426 5,822 12,179 18,729 23,693 25,824 24,402 26,916 29,479 31,540 31,541 28,848 18,560 84,510 90,727 107,961 129,174 141,234

412 6,707 7,549 5,402 4,614 3,840 2,844 1,353 1,364 677 599 556 459 14,409 12,045 12,204 11,240 9,413

838 12,529 19,728 24,131 28,307 29,664 27,246 28,269 30,843 32,217 32,141 29,404 19,018 98,919 102,773 120,165 140,413 150,647

1,330 4,768 12,548 20,642 27,338 33,202 39,147 44,575 53,485 62,542 65,574 66,073 65,730 44,080 33,804 31,093 22,726 23,592

109 394 761 835 791 977 1,161 1,030 1,079 1,106 1,135 1,212 1,344 207 105 95 91 147

1,439 5,162 13,309 21,478 28,129 34,179 40,308 45,605 54,564 63,647 66,710 67,285 67,075 44,287 33,908 31,188 22,817 23,739

2,277 17,691 33,036 45,609 56,436 63,844 67,554 73,874 85,406 95,865 98,850 96,688 86,093 143,206 136,681 151,353 163,231 174,386

2007

January February March April May June July August September October November December

149,213 152,902 152,508 158,851 164,295 164,685 161,891 169,659 173,747 175,778 178,495 170,585

9,180 9,203 9,381 8,773 7,741 7,766 7,785 7,790 7,882 7,872 7,963 7,854

158,394 162,105 161,889 167,625 172,036 172,451 169,676 177,449 181,629 183,650 186,458 178,438

24,782 24,035 24,345 24,406 23,112 23,472 22,868 21,893 21,851 21,949 22,341 22,307

159 168 175 187 187 174 189 196 209 226 239 246

24,941 24,203 24,520 24,594 23,299 23,646 23,057 22,089 22,060 22,175 22,580 22,552

183,335 186,308 186,410 192,218 195,336 196,097 192,734 199,538 203,689 205,826 209,038 200,991

2008

January February March April May June July August September October

192,610 191,042 194,292 197,867 196,897 194,635 205,427 208,645 209,542 200,522

8,168 8,140 8,279 8,221 8,148 8,392 8,475 8,266 8,244 8,327

200,779 199,182 202,572 206,088 205,045 203,026 213,902 216,912 217,787 208,849

23,170 23,060 22,609 23,245 22,602 22,700 23,087 22,117 22,770 24,494

256 255 255 262 258 239 244 260 274 303

23,426 23,314 22,864 23,507 22,860 22,939 23,332 22,377 23,044 24,797

224,205 222,496 225,435 229,595 227,905 225,966 237,234 239,289 240,831 233,646

Source: ABA based on "Statistical Bulletin", Central Bank.

32

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 13: Bank Credit in Real Terms (1) (in millions of pesos of December 2008) End of:

In Domestic Currency

In Foreign Currency

Loans

Resources Earned on Loans

Total

Loans

Resources Earned on Loans

Total

Total

1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

December December December December December December December December December December December December December December December December December December

27,740 32,822 40,763 57,563 70,795 73,433 66,562 72,493 79,793 88,581 88,557 80,064 53,574 135,487 141,513 157,380 168,937 170,306

26,783 37,809 25,265 16,604 13,787 10,919 7,757 3,644 3,693 1,902 1,683 1,543 1,324 23,101 18,788 17,791 14,699 11,350

54,523 70,631 66,028 74,167 84,583 84,352 74,319 76,137 83,485 90,483 90,240 81,606 54,898 158,588 160,301 175,171 183,636 181,657

86,540 26,882 41,998 63,446 81,687 94,412 106,782 120,052 144,772 175,651 184,111 183,378 189,738 70,670 52,725 45,327 29,722 28,448

7,110 2,222 2,547 2,568 2,362 2,777 3,168 2,775 2,920 3,105 3,187 3,363 3,880 331 163 138 119 178

93,649 29,103 44,545 66,013 84,049 97,190 109,950 122,827 147,693 178,756 187,299 186,741 193,618 71,001 52,889 45,465 29,841 28,626

148,173 99,734 110,573 140,180 168,632 181,542 184,269 198,964 231,178 269,239 277,539 268,347 248,516 229,589 213,190 220,636 213,478 210,283

2007

January February March April May June July August September October November December

178,621 181,989 180,271 185,445 189,901 188,079 182,349 189,817 192,628 193,328 194,467 184,416

10,989 10,954 11,089 10,242 8,948 8,869 8,769 8,715 8,739 8,658 8,676 8,491

189,610 192,943 191,360 195,687 198,848 196,948 191,118 198,533 201,367 201,986 203,143 192,906

29,667 28,607 28,777 28,492 26,715 26,806 25,758 24,494 24,226 24,141 24,340 24,115

190 200 207 219 216 199 213 220 231 249 261 265

29,857 28,807 28,984 28,711 26,931 27,005 25,971 24,714 24,458 24,389 24,601 24,381

219,467 221,750 220,345 224,398 225,779 223,953 217,089 223,247 225,824 226,376 227,744 217,287

2008

January February March April May June July August September October

206,452 203,350 204,510 206,144 203,476 199,311 209,190 211,090 210,872 200,810

8,755 8,664 8,715 8,564 8,420 8,593 8,630 8,363 8,297 8,339

215,207 212,014 213,225 214,708 211,896 207,904 217,820 219,453 219,169 209,149

24,836 24,545 23,798 24,217 23,357 23,246 23,510 22,376 22,915 24,529

274 271 268 273 267 245 249 263 275 303

25,109 24,816 24,066 24,490 23,624 23,491 23,759 22,639 23,190 24,833

240,316 236,830 237,291 239,198 235,520 231,395 241,580 242,092 242,359 233,982

(1) Deflated by the combined price index.

Source: ABA based on "Statistical Bulletin", Central Bank and INDEC.

33

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 14: Interest Rates

(Annual nominal, as a percentage) Period

On Deposits In Domestic Currency Savings Accounts

Time Deposits (1)

On Loans

In Foreign Currency Savings Accounts

Time Deposits (1)

Interbank Rate

Domestic Prime Rate In Domestic Currency

In Foreign Currency

30 Days

30 Days

90 Days

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Average Average Average Average Average Average Average Average Average Average Average Average

3.7 3.5 3.3 3.0 2.9 2.8 3.2 6.4 1.3 0.7 0.8 0.8

12.5 7.6 7.2 7.8 8.5 8.7 17.4 46.9 10.8 2.8 3.9 6.7

2.7 2.6 2.5 2.4 2.5 2.7 3.4 2.0 0.9 0.1 0.1 0.1

8.4 6.3 6.0 6.5 6.5 7.2 9.9 3.9 0.8 0.4 0.5 0.9

19.1 10.9 9.5 11.0 11.4 11.5 32.4 66.6 20.7 6.9 6.2 8.8

14.6 9.4 8.0 9.2 9.3 10.0 18.9 22.4 ... ... ... ...

16.0 10.1 8.6 10.1 10.2 10.6 19.8 26.7 ... ... ... ...

9.7 6.3 6.8 6.9 7.1 8.4 29.9 47.7 3.9 2.0 4.1 7.4

2007

January February March April May June July August September October November December

0.7 0.8 0.7 0.8 0.8 0.5 0.5 0.5 0.5 0.6 0.6 0.6

7.3 7.2 7.4 7.2 7.0 7.2 7.4 7.9 9.5 9.6 9.9 10.2

0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1

1.3 1.2 1.3 1.2 1.3 1.4 1.4 1.5 1.5 1.5 1.5 1.5

9.5 9.4 8.5 8.7 8.6 8.7 8.8 10.2 13.3 14.8 15.7 16.0

... ... ... ... ... ... ... ... ... ... ... ...

... ... ... ... ... ... ... ... ... ... ... ...

6.9 6.8 7.8 7.3 7.6 8.0 10.3 10.7 10.9 9.0 10.3 9.4

Average

0.6

8.4

0.1

1.4

11.4

...

...

9.0

January February March April May June July August September October November December

0.5 0.5 0.5 0.5 0.5 0.5 0.6 0.6 0.6 0.6 0.7 0.8

9.0 8.1 8.3 8.3 10.1 13.5 12.0 10.9 10.9 12.9 17.2 16.2

0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1

1.5 1.4 1.5 1.4 1.4 1.5 1.5 1.7 1.6 1.6 1.8 1.8

15.3 12.2 11.6 11.6 15.6 23.8 22.6 18.8 17.9 23.8 32.2 27.7

... ... ... ... ... ... ... ... ... ... ... ...

... ... ... ... ... ... ... ... ... ... ... ...

8.4 7.5 8.0 8.1 10.0 10.4 9.7 9.2 9.5 13.6 15.5 14.7

Average

0.6

11.9

0.1

1.6

20.9

...

...

10.7

2008

(1) Corresponds to average term.

Source: ABA based on "Survey on Interest Rates on Deposits", "Domestic Prime Rate" and "Statistical Information on Interest Rates", Central Bank.

34

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 15: Lending Rates in Pesos (Annual nominal, as a percentage) Period

Current Accounts Overdrafts

Promissory Notes

Mortgage Loans

Pledge Loans

Consumer + Credit Cards

Consumer Loans

Credit Cards Financing

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Average Average Average Average Average Average Average Average Average Average Average Average Average

34.7 41.6 32.7 28.2 28.8 30.6 30.0 40.4 60.3 37.7 15.7 14.9 16.6

19.6 20.0 13.3 11.1 11.6 12.1 12.2 28.0 38.8 17.7 10.8 10.3 12.6

16.3 15.4 12.4 13.2 14.3 14.4 15.0 15.3 29.4 18.0 12.0 11.3 11.7

24.2 26.3 22.2 18.9 20.5 20.6 21.4 21.1 19.1 19.7 13.3 10.3 9.9

37.1 44.8 40.7 38.2 34.7 32.7 33.0 34.3 51.0 54.3 30.4 27.3 26.5

... ... ... ... ... ... ... ...

40.7 45.9 29.7 25.9 24.7

... ... ... ... ... ... ... ...

51.4 54.8 30.7 27.7 27.2

2007

January February March April May June July August September October November December

16.3 16.1 15.4 14.9 16.3 15.5 18.1 17.8 19.1 18.9 19.3 18.9

12.6 12.6 12.7 12.8 12.2 12.2 13.2 14.0 16.0 16.4 17.1 17.0

11.2 10.9 10.8 11.3 10.7 10.5 10.7 10.8 11.4 11.6 11.9 12.4

8.3 9.2 10.7 10.6 10.4 10.3 10.1 9.8 11.7 13.3 15.1 15.5

25.7 25.5 25.6 25.7 25.6 25.4 26.0 26.0 26.2 26.7 26.3 27.5

24.9 24.8 25.1 25.5 25.3 25.0 24.7 25.1 26.3 27.1 27.0 27.7

26.0 25.8 25.8 25.8 25.7 25.5 26.6 26.4 26.1 26.5 26.0 27.5

Average

17.2

14.1

11.2

11.3

26.0

25.7

26.1

January February March April May June July August September October

18.1 17.3 17.9 18.1 20.4 23.2 22.3 21.0 20.6 24.8

16.5 14.9 14.6 14.6 17.3 21.1 20.9 19.0 18.9 21.7

11.7 11.4 11.2 11.6 12.0 12.6 12.2 12.5 12.9 13.1

14.1 14.9 15.2 15.2 15.7 16.8 18.7 19.0 19.2 18.9

26.6 26.6 26.5 26.9 26.9 27.5 29.6 29.5 29.5 28.9

27.7 28.2 28.8 28.6 28.7 30.0 31.8 32.4 32.5 31.8

26.1 26.0 25.7 26.2 26.2 26.8 28.8 28.6 28.4 27.9

Average

20.4

18.0

12.1

16.8

27.9

30.1

27.0

2008

It corresponds to weighted averages of loans granted within the month of the report.

Source: ABA based on "Statistical Bulletin", Central Bank.

35

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 16: Lending Rates in Foreign Currency (Annual nominal, as a percentage) Period

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Average Average Average Average Average Average Average Average Average Average Average Average Average

2007

2008

Current Accounts Overdrafts

Promissory Notes

Mortgage Loans

Pledge Loans

Consumer + Credit Cards

Consumer Loans

Credit Cards Financing

19.4 23.8 23.5 23.3 23.4 24.8 25.6 28.2 ... ... ... ... ...

34.7 41.6 32.7 28.2 28.8 30.6 30.0 40.4 60.3 37.7 15.7 14.9 16.6

19.6 20.0 13.3 11.1 11.6 12.1 12.2 28.0 30.1 7.7 10.8 10.3 12.6

16.3 15.4 12.4 13.2 14.3 14.4 15.0 15.3 9.8 18.0 12.0 11.3 11.7

24.2 26.3 22.2 18.9 20.5 20.6 21.4 21.1 19.1 19.7 13.3 10.3 9.9

37.1 44.8 40.7 38.2 34.7 32.7 33.0 34.3 51.0 54.3 30.4 27.3 26.5

... ... ... ... ... ... ... ...

40.7 45.9 29.7 25.9 24.7

January February March April May June July August September October November December

... ... ... ... ... ... ... ... ... ... ... ...

16.3 16.1 15.4 14.9 16.3 15.5 18.1 17.8 19.1 18.9 19.3 18.9

12.6 12.6 12.7 12.8 12.2 12.2 13.2 14.0 16.0 16.4 17.1 17.0

11.2 10.9 10.8 11.3 10.7 10.5 10.7 10.8 11.4 11.6 11.9 12.4

8.3 9.2 10.7 10.6 10.4 10.3 10.1 9.8 11.7 13.3 15.1 15.5

25.7 25.5 25.6 25.7 25.6 25.4 26.0 26.0 26.2 26.7 26.3 27.5

24.9 24.8 25.1 25.5 25.3 25.0 24.7 25.1 26.3 27.1 27.0 27.7

Average

...

17.2

14.1

11.2

11.3

26.0

25.7

January February March April May June July August September October

... ... ... ... ... ... ... ... ... ...

18.1 17.3 17.9 18.1 20.4 23.2 22.3 21.0 20.6 24.8

16.5 14.9 14.6 14.6 17.3 21.1 20.9 19.0 18.9 21.7

11.7 11.4 11.2 11.6 12.0 12.6 12.2 12.5 12.9 13.1

14.1 14.9 15.2 15.2 15.7 16.8 18.7 19.0 19.2 18.9

26.6 26.6 26.5 26.9 26.9 27.5 29.6 29.5 29.5 28.9

27.7 28.2 28.8 28.6 28.7 30.0 31.8 32.4 32.5 31.8

Average

...

20.4

18.0

12.1

16.8

27.9

30.1

It corresponds to weighted averages of loans granted within the month of the report.

Source: ABA based on "Statistical Bulletin", Central Bank.

36

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 17: Number of Institutions End of:

December December December December December December December December December December December December December December December December December December December December December December December November

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Public Banks

Private Banks

Non-Banking Financial Institutions

Total Financial System

37 37 36 36 36 36 35 36 34 33 31 24 19 16 16 14 13 16 15 14 13 12 12 12

161 154 142 139 141 134 134 131 133 135 96 96 95 86 76 75 72 62 60 59 58 60 55 55

117 105 89 69 59 51 50 44 39 37 30 26 25 23 24 24 22 21 21 18 18 18 18 17

315 296 267 244 236 221 219 211 206 205 157 146 139 125 116 113 107 99 96 91 89 90 85 84

Source: ABA based on Central Bank's data.

37

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 18: Employees Period

Public Banks

Private Banks

Total

1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008( 1 )

79,714 78,973 78,346 79,409 80,710 81,200 80,380 80,581 81,680 82,666 75,710 67,706 58,984 56,169 56,127 53,483 48,434 40,696 40,041 40,042 39,986 38,302 44,289 40,903 39,499 38,442 37,788 38,348 38,270

66,426 63,106 62,543 65,496 67,877 63,788 60,741 57,880 61,171 64,365 57,876 54,375 58,464 62,660 65,126 56,331 57,384 62,557 63,571 61,976 60,597 57,971 60,318 40,928 43,433 46,763 51,387 56,512 58,191

146,140 142,079 140,889 144,905 148,587 144,988 141,121 138,461 142,851 147,031 133,586 122,081 117,448 118,829 121,253 109,814 105,818 103,253 103,612 102,018 100,583 96,273 104,607 81,831 82,932 85,205 89,175 94,860 96,461

(1) It corresponds to September.

Source: ABA based on Central Bank's data.

38

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 19: Number of Accounts Period

Time Deposits

Savings Accounts

Current Accounts

1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

December December December December December December December December December December December December December December December December

914,703 821,084 786,613 1,064,878 1,176,916 1,318,297 1,304,517 1,521,687 1,643,408 1,848,985 1,928,096 2,080,318 1,593,350 1,256,816 937,550 902,696

4,590,900 5,550,187 4,530,047 4,191,733 4,861,662 5,931,610 6,059,221 6,712,506 8,742,034 12,084,360 13,196,919 13,790,783 17,764,496 11,329,351 12,571,963 14,093,178

1,567,078 1,507,362 1,536,493 1,755,346 1,744,156 1,861,979 1,703,932 1,881,238 2,286,945 2,908,606 3,221,887 3,204,233 3,260,707 2,638,476 2,032,786 2,286,472

2005

March June September December

844,009 880,559 942,570 915,960

13,079,737 13,087,626 15,254,225 16,612,092

2,165,411 2,268,101 2,396,598 2,600,613

2006

March June September December

970,244 1,034,620 1,114,441 1,331,322

16,613,368 17,067,082 17,525,072 18,246,351

2,569,251 2,638,351 2,658,044 2,725,302

2007

March June September December

1,423,693 1,473,840 1,457,850 1,401,380

18,571,899 18,979,879 19,415,880 20,203,148

2,849,496 2,835,035 2,944,744 3,055,815

2008

March June September

1,442,142 1,364,036 1,409,412

20,326,072 20,557,340 20,930,751

3,138,950 3,236,854 3,336,893

Source: ABA based on "Financial System Indicators", "Statistical Bulletin" and "Information on Financial Institutions", Central Bank.

39

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 20: Number of Branches (1) End of:

December December December December December June December December December December December December December December December December December December December December November

1987 1988 1989 1990 1991 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Public Banks

Private Banks

2,005 2,026 2,039 1,970 1,905 1,776 1,710 1,621 1,455 1,461 1,391 1,358 1,377 1,391 1,733 1,737 1,608 1,561 1,412 1,428 1,420

2,553 2,597 2,622 2,471 2,345 2,481 2,535 2,397 2,563 2,659 2,946 2,967 2,862 2,809 2,155 2,080 2,161 2,218 2,412 2,451 2,483

Non-Banking Financial Institutions 227 160 107 87 75 60 59 51 45 45 42 56 63 73 58 59 53 100 99 110 109

Total Financial System 4,785 4,783 4,768 4,528 4,325 4,317 4,304 4,069 4,063 4,165 4,379 4,381 4,302 4,273 3,946 3,876 3,822 3,879 3,923 3,989 4,012

(1) Including head offices.

Source: ABA based on Central Bank's data.

40

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 21: Branches Geographical Distribution (1) As of November 30, 2008 Provinces

Public Banks

Private Banks

Total Banking System

Non-Banking Financial Institutions

Total Financial System

Capital Federal Provinces Buenos Aires Catamarca Córdoba Corrientes Chaco Chubut Entre Ríos Formosa Jujuy La Pampa La Rioja Mendoza Misiones Neuquén Río Negro Salta San Juan San Luis Santa Cruz Santa Fe Santiago del Estero Tierra del Fuego Tucumán

162 1,258 513 14 221 40 43 49 25 5 5 91 12 35 14 44 20 9 7 6 11 70 8 5 11

594 1,889 686 7 170 19 16 32 93 13 24 12 13 101 48 25 43 41 26 35 27 355 41 12 50

756 3,147 1,199 21 391 59 59 81 118 18 29 103 25 136 62 69 63 50 33 41 38 425 49 17 61

22 87 52 1 5 1 2 0 1 0 1 0 1 5 2 1 0 2 3 3 0 5 1 0 1

778 3,234 1,251 22 396 60 61 81 119 18 30 103 26 141 64 70 63 52 36 44 38 430 50 17 62

Total

1,420

2,483

3,903

109

4,012

(1) Including head offices.

Source: ABA based on "Information on Financial Institutions", Central Bank.

41

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 22: ATMs Geographical Distribution

As of November 30, 2008 Provinces

Public Banks

Private Banks

Total Banking System

Non-Banking Financial Institutions

Total Financial System

Capital Federal Provinces Buenos Aires Catamarca Córdoba Corrientes Chaco Chubut Entre Ríos Formosa Jujuy La Pampa La Rioja Mendoza Misiones Neuquén Río Negro Salta San Juan San Luis Santa Cruz Santa Fe Santiago del Estero Tierra del Fuego Tucumán

445 2,117 1,025 43 312 71 113 62 22 5 5 52 7 71 15 99 36 16 8 8 10 84 5 34 14

1,804 5,303 2,182 22 371 58 41 85 235 60 102 19 38 280 111 62 137 185 107 91 86 697 108 26 200

2,249 7,420 3,207 65 683 129 154 147 257 65 107 71 45 351 126 161 173 201 115 99 96 781 113 60 214

3 9 3 0 1 1 0 0 0 0 0 0 0 2 0 0 0 0 1 1 0 0 0 0 0

2,252 7,429 3,210 65 684 130 154 147 257 65 107 71 45 353 126 161 173 201 116 100 96 781 113 60 214

Total

2,562

7,107

9,669

12

9,681

Source: ABA based on "Information on Financial Institutions", Central Bank.

42

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 23: Assets and Liabilities Structure Item

December 2005

December 2006

December 2007

In Millions of Pesos

%

In Millions of Pesos

%

221,962

100.0

258,384

100.0

297,840

100.0

346,715

100.0

18,933 67,122 79,241 55,885 2,450 25,836 -4,930

8.5 30.2 35.7 25.2 1.1 11.6 -2.2

36,001 65,405 99,940 77,832 4,962 20,874 -3,728

13.9 25.3 38.7 30.1 1.9 8.1 -1.4

43,673 63,104 127,931 110,406 5,030 16,583 -4,088

14.7 21.2 43.0 37.1 1.7 5.6 -1.4

54,404 69,800 150,814 132,772 5,294 17,221 -4,473

15.7 20.1 43.5 38.3 1.5 5.0 -1.3

28,607 6,141 21,918

12.9 2.8 9.9

28,030 6,174 22,835

10.8 2.4 8.8

32,311 6,286 24,536

10.8 2.1 8.2

38,283 6,662 26,753

11.0 1.9 7.7

Liabilities

195,044

87.9

225,369

87.2

261,082

87.7

305,770

88.2

Deposits Non-financial private sector Financial sector Public sector Other obligations through financial intermediation Promissory Notes Foreign Credit Lines Forwards and other operations Other Others

136,492 101,647 737 34,108

61.5 45.8 0.3 15.4

170,898 124,345 944 45,610

66.1 48.1 0.4 17.7

205,551 155,248 1,147 49,156

69.0 52.1 0.4 16.5

239,919 171,044 1,669 67,206

69.2 49.3 0.5 19.4

52,072 6,696 4,863 3,329 37,184 6,480

23.5

2.9

46,037 6,762 4,618 6,008 28,649 8,434

17.8 2.6 1.8 2.3 11.1 3.3

46,156 7,068 4,315 8,273 26,500 9,376

15.5 2.4 1.4 2.8 8.9 3.1

54,284 6,254 5,259 6,110 36,661 11,567

15.7 1.8 1.5 1.8 10.6 3.3

26,918

12.1

33,015

12.8

36,758

12.3

40,946

11.8

Assets Cash and due from banks Public bonds Loans Non-financial private sector Financial sector Public sector Provisions Other credits through financial intermediation Fixed assets Others

Stockholder's Equity

... ... ... ...

In Millions of Pesos

%

November 2008 In Millions of Pesos

Source: ABA based on "Information on Financial Institutions", Central Bank.

43

%

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 24: Terms for Assets and Liabilities

As of November 30, 2008 (in millions of pesos) Assets

Due Portfolio

1 Month

3 Months

6 Months

12 Months

24 Months

More than 24 Months

Total

Public Sector Loans Financial System Non-financial Private Sector and Foreign Residents Liquid Assets

51 448

1,309 4,469

208 1,269

73 1,263

2,247 953

1,939 950

12,210 861

18,037 10,214

4,845 ...

46,475 54,403

18,715 ...

16,997 ...

13,928 ...

17,027 ...

43,283 ...

161,271 54,403

Total

5,345

106,657

20,193

18,333

17,127

19,915

56,355

243,925

Liabilities

1 Month

3 Months

6 Months

12 Months

24 Months

More than 24 Months

Total

Deposits Demand Deposits Others Other Financial Intermediation Obligations Central Bank International Banks and Institutions Unsubordinated Notes Financing Received by Local Financial Institutions Others

145,298 52,800 92,498

28,997 ...

28,997

8,794 ...

8,794

3,264 ...

3,264

448 ...

448

53,119 52,800 320

239,919 105,600 134,320

16,257 206 62 207

2,038 142 81 168

1,336 220 54 132

2,339 588 12 461

2,772 229 27 1,499

5,574 565 37 3,785

30,315 1,950 273 6,254

4,451 11,331

1,567 80

810 119

975 302

723 294

479 708

9,005 12,834

29

14

21

78

75

1,515

1,733

161,583

31,049

10,150

5,681

3,295

60,209

271,967

Subordinated Notes Total

Source: ABA based on "Information on Financial Institutions", Central Bank.

44

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 25: Terms for Assets and Liabilities As of November 30, 2008 (as % of liabilities) Assets

Public Sector Loans Financial System Non-financial Private Sector and Foreign Residents Liquid Assets

0.0 0.2

0.5 1.6

0.1 0.5

0.0 0.5

0.8 0.4

0.7 0.3

More than 24 Months 4.5 0.3

1.8 ...

17.1 20.0

6.9 ...

6.2 ...

5.1 ...

6.3 ...

15.9 ...

59.3 20.0

Total

2.0

39.2

7.4

6.7

6.3

7.3

20.7

89.7 Total

Liabilities

Due Portfolio

1 Month

3 Months

6 Months

6 Months

12 Months

12 Months

24 Months

24 Months

Total

6.6 3.8

Deposits Demand Deposits Others Other Financial Intermediation Obligations Central Bank International Banks and Institutions Unsubordinated Notes Financing Received by Local Financial Institutions Others Subordinated Notes

53.4 19.4 34.0

10.7 ...

10.7

3.2 ...

3.2

1.2 ...

1.2

0.2 ...

0.2

More than 24 Months 19.5 19.4 0.1

6.0 0.1

0.7 0.1

0.5 0.1

0.9 0.2

1.0 0.1

2.0 0.2

11.1 0.7

0.0 0.1

0.0 0.1

0.0 0.0

0.0 0.2

0.0 0.6

0.0 1.4

0.1 2.3

1.6 4.2 0.0

0.6 0.0 0.0

0.3 0.0 0.0

0.4 0.1 0.0

0.3 0.1 0.0

0.2 0.3 0.6

3.3 4.7 0.6

Total

59.4

11.4

3.7

2.1

1.2

22.1

100.0

0.7

0.7

1.8

3.0

6.0

0.9

0.9

Assets/Liabilities Ratio

1 Month

3 Months

Source: ABA based on "Information on Financial Institutions", Central Bank.

45

88.2 38.8 49.4

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 26: Terms for Assets and Liabilities

As of November 30, 2008 (Percentage term structure) Assets

Public Sector Loans Financial System Non-financial Private Sector and Foreign Residents Liquid Assets

0.3 4.4

7.3 43.8

1.2 12.4

0.4 12.4

12.5 9.3

10.7 9.3

More than 24 Months 67.7 8.4

3.0 ...

28.8 100.0

11.6 ...

10.5 ...

8.6 ...

10.6 ...

26.8 ...

100.0 100.0

Total

2.2

43.7

8.3

7.5

7.0

8.2

23.1

100.0 Total

Liabilities

Due Portfolio

1 Month

1 Month

3 Months

3 Months

6 Months

6 Months

12 Months

12 Months

24 Months

24 Months

Total

100.0 100.0

Deposits Demand Deposits Others Other Financial Intermediation Obligations Central Bank International Banks and Institutions Unsubordinated Notes Financing Received by Local Financial Institutions Others Subordinated Notes

60.6 50.0 68.9

12.1 ...

21.6

3.7 ...

6.5

1.4 ...

2.4

0.2 ...

0.3

More than 24 Months 22.1 50.0 0.2

53.6 10.6

6.7 7.3

4.4 11.3

7.7 30.2

9.1 11.7

18.4 29.0

100.0 100.0

22.8 3.3

29.6 2.7

19.9 2.1

4.5 7.4

9.7 24.0

13.5 60.5

100.0 100.0

49.4 88.3 1.7

17.4 0.6 0.8

9.0 0.9 1.2

10.8 2.4 4.5

8.0 2.3 4.3

5.3 5.5 87.5

100.0 100.0 100.0

Total

59.4

11.4

3.7

2.1

1.2

22.1

100.0

100.0 100.0 100.0

Source: ABA based on "Information on Financial Institutions", Central Bank.

46

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 27: Loans and Deposits (in millions of pesos) Period

Loans Public Banks

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

December December December December December December December December December December December December December December December December December December November

9,557 19,952 18,409 21,543 23,286 23,580 22,255 23,379 25,153 22,060 21,700 20,388 28,429 17,529 19,096 24,472 30,211 37,248 48,519

Private Banks

4,984 11,415 21,713 25,433 32,614 31,702 38,312 45,590 50,402 53,732 52,707 48,291 43,958 40,647 46,155 53,326 67,066 86,533 97,051

NonBanking Financial Institutions 86 279 599 722 860 666 781 1,022 1,524 1,907 1,745 1,494 453 492 866 1,444 2,663 4,150 5,243

Deposits Total Financial System

14,627 31,646 40,721 47,698 56,759 55,948 61,347 69,991 77,080 77,699 76,152 70,173 72,840 58,668 66,117 79,241 99,940 127,931 150,814

Public Banks

7,462 6,793 10,547 17,324 18,562 17,730 19,789 24,023 27,254 26,946 28,498 21,454 32,851 44,732 55,680 61,708 76,307 88,065 108,600

Private Banks

3,414 9,300 16,013 23,347 28,521 27,178 34,631 46,169 50,676 54,275 57,679 44,767 41,954 49,687 60,765 74,495 94,095 116,719 130,654

NonBanking Financial Institutions

Total Financial System

60 223 451 490 588 324 371 336 390 352 393 226 196 216 211 289 496 767 665

10,936 16,316 27,011 41,162 47,670 45,233 54,791 70,527 78,320 81,573 86,570 66,447 75,001 94,635 116,655 136,492 170,898 205,551 239,919

Source: ABA based on "Statements of Financial Institutions", "Financial Statements of Financial Institutions" and "Information on Financial Institutions", Central Bank.

47

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 28: Loans and Deposits (as a percentage) Period

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

December December December December December December December December December December December December December December December December December December November

Loans Public Banks

Private Banks

65.3 63.0 45.2 45.2 41.0 42.1 36.3 33.4 32.6 28.4 28.5 29.1 39.0 29.9 28.9 30.9 30.2 29.1 32.2

34.1 36.1 53.3 53.3 57.5 56.7 62.5 65.1 65.4 69.2 69.2 68.8 60.3 69.3 69.8 67.3 67.1 67.6 64.4

Deposits

NonBanking Financial Institutions 0.6 0.9 1.5 1.5 1.5 1.2 1.3 1.5 2.0 2.5 2.3 2.1 0.6 0.8 1.3 1.8 2.7 3.2 3.5

Total Financial System

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

Public Banks

Private Banks

68.2 41.6 39.0 42.1 38.9 39.2 36.1 34.1 34.8 33.0 32.9 32.3 43.8 47.3 47.7 45.2 44.7 42.8 45.3

31.2 57.0 59.3 56.7 59.8 60.1 63.2 65.5 64.7 66.5 66.6 67.4 55.9 52.5 52.1 54.6 55.1 56.8 54.5

NonBanking Financial Institutions

Total Financial System

0.5 1.4 1.7 1.2 1.2 0.7 0.7 0.5 0.5 0.4 0.5 0.3 0.3 0.2 0.2 0.2 0.3 0.4 0.3

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

Source: ABA based on "Statements of Financial Institutions", "Financial Statements of Financial Institutions" and "Information on Financial Institutions", Central Bank.

48

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 29: Information by Group of Institutions November 2008 (in millions of pesos) Group

Assets

Stockholders´ Equity

Loans to Private Sector (1)

Deposits of Private Sector

Public Federal Banks

81,727

8,439

18,702

22,857

Public Provincial and Municipal

55,884

4,355

19,295

29,505

Public Banks

137,611

12,794

37,997

52,362

International Banks Local Private

93,851 97,346

10,352 14,824

43,707 40,926

63,200 46,446

Cooperatives

10,640

906

4,717

8,371

Private Banks

201,837

26,082

89,350

118,017

Banks Total

339,448

38,876

127,346

170,378

7,268

2,070

5,426

665

346,716

40,946

132,772

171,044

Non-Banking Financial Institutions Total Financial System

(1) Net of provisions.

Source: ABA based on "Information on Financial Institutions", Central Bank.

49

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 30: Information by Group of Institutions November 2008 (as a percentage) Group

Assets

Stockholders´ Equity

Loans to Private Sector (1)

Deposits of Private Sector

Public Federal Banks

23.6

20.6

14.1

13.4

Public Provincial and Municipal

16.1

10.6

14.5

17.2

Public Banks

39.7

31.2

28.6

30.6

International Banks

27.1

25.3

32.9

36.9

Local Private

28.1

36.2

30.8

27.2

Cooperatives

3.1

2.2

3.6

4.9

Private Banks

58.2

63.7

67.3

69.0

Banks Total

97.9

94.9

95.9

99.6

2.1

5.1

4.1

0.4

100.0

100.0

100.0

100.0

Non-Banking Financial Institutions Total Financial System

(1) Net of provisions.

Source: ABA based on "Information on Financial Institutions", Central Bank.

50

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 31: Income Statement – Financial System (as a percentage of net assets)

Financial Margin Interest Income CER and CVS Return Assets Return Differences in Valuation Other Financial Income Net Income on Services Non-collectibility Expenses Operating Expenses Tax Burdens Income Tax Adjustments on Public Debt Valuation (1) Judicial Injunctions Amortization Miscellaneous Monetary Adjustments Total Return Adjusted Return ( 2 ) ROE

2000

2001

2002

2003

2004

2005

2006

2007

2008 11 Months

5.7 4.0

5.7 3.8

1.1 -0.5 1.3 -0.5 1.1 -0.3 1.9 -1.1 -4.2 -0.3 -0.2 -0.4 -0.6 0.9

3.1 0.9 1.0 0.4 1.0 -0.2 2.0 -0.8 -4.1 -0.3 -0.1 -0.2 -0.9 0.8

4.6 1.5 1.5 0.4 1.2 0.1 2.3 -0.6 -4.6 -0.4 -0.3 -0.2 -0.9 0.8

5.8 1.8 1.3 0.4 2.2 0.1 2.7 -0.5 -5.1 -0.5 -0.3 -0.3 -1.1 1.2

5.7 2.2 1.0 0.5 1.9 0.1 3.1 -0.7 -5.5 -0.6 -0.4 -0.3 -0.7 0.9

6.7 3.1 1.0 0.7 1.5 0.5 3.5 -0.8 -6.1 -0.7 -0.5 -0.6 -0.3 0.5

...

...

0.1 1.2 0.4 2.8 -2.4 -5.8 -0.4 -0.3

0.2 1.2 0.5 3.0 -2.6 -6.1 -0.5 -0.2

6.5 -1.7 3.9 2.8 1.7 -0.1 1.9 -4.7 -4.4 -0.3 -0.2

...

...

...

...

...

...

0.4

0.6

... ... ... ...

... ... ...

-1.8 -5.8 -8.9 -8.9 -59.2

-0.2

...

...

...

...

...

...

-2.9 -1.9 -22.7

-0.5 0.7 -4.2

0.9 2.0 7.0

1.9 3.4 14.3

1.5 2.5 11.0

1.6 2.5 13.5

(1) Communication "A" 3911. Valuation adjustments according to Communication "A" 4084 are included in "Assets Return".

(2) Judicial injunctions amortization and Public Sector revaluation are not included.

Source: "Report on Banks", Central Bank.

51

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 32: Ratios – Financial System (as a percentage)

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Nov. 2008

1 - Liquidity

23.1

25.0

23.4

19.6

22.8

29.1

29.6

20.1

22.5

23.0

28.1

2 - Credit to Public Sector

16.2

18.0

17.3

23.0

48.5

46.5

40.6

31.3

22.3

16.1

12.8

3 - Loans to Private Sector

48.4

44.9

39.9

42.7

20.8

18.1

19.6

25.8

31.0

38.2

39.4

4 - Private Sector Non- performing Loans

12.2

14.0

16.0

19.1

38.6

33.5

18.6

7.6

4.5

3.2

2.9

5 - Capital Exposure to Private Sector

20.6

24.7

26.2

21.9

17.3

12.4

-1.0

-4.1

-3.3

-3.0

-3.1

6 - ROA

0.5

0.2

...

...

-8.9

-2.9

-0.5

0.9

1.9

1.5

1.6

7 - ROE

3.9

1.7

...

-0.2

-59.2

-22.7

-4.2

7.0

14.3

11.0

13.5

138.0

142.0

147.0

143.0

189.0

69.0

125.0

151.0

167.0

160.0

167.0

9 - Capital Requirement Compliance

20.3

21.0

20.1

21.4

...

14.5

14.0

15.3

16.8

16.9

16.8

10 - Excess of Minimum Capital Requirement

49.0

54.0

58.0

54.0

...

116.0

185.0

173.0

134.0

93.0

89.0

8 - Efficiency

1 - (Liquid assets in Central Bank + Other liquids assets + LEBAC/NOBAC from repos) / Total deposits.

2 - (Public bonds (LEBAC/NOBAC not included) + Loans to Public Sector + Compensations) / Net Asset.

3 - Loans to Private Sector / Net Asset.

4 - Private Sector Non-performing loans / Loans to Private Sector.

5 - (Non-performing - provisions) / Equity. Non-performing includes categories 3 to 6.

6 - Total Return / Net Assets.

7 - Total Return / Equity.

8 - (Financial Margin (Net interest income + CER/CVS Return + Other assets return + Difference on valuation + Other financial return) + Net Non-interest income) / Operating expenses.

9 - Minimum capital requirement compliance / Risk weighted assets (according to Central Bank regulations).

10 - (Minimum capital compliance - requirement (considering forbearances) / Requirement.

Source: "Report on Banks", Central Bank.

52

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 33: Non-performing Loans – Financial System (as a percentage)

Dec. 2000

Dec. 2001

Dec. 2002

Dec. 2003

Dec. 2004

Dec. 2005

Dec. 2006

Dec. 2007

Nov. 2008

Non-performing Loans

12.9

13.1

18.1

17.7

10.7

5.2

3.4

2.7

2.5

Non-performing - Private Sector

16.0

19.1

38.6

33.5

18.6

7.6

4.5

3.2

2.9

Commercial Loans

14.9

20.7

44.0

38.0

22.8

9.3

5.0

3.1

...

Consumer and Mortgage

17.3

17.5

31.4

28.0

11.0

4.8

3.5

3.4

...

Provisions / Non-performing Loans

61.1

66.4

73.8

79.2

102.9

5.0

4.4

4.7

3.7

-0.3

-1.3

-1.0

-0.8

-0.8

26.2

21.6

17.2

11.9

-1.0

-4.1

-3.3

-3.0

-3.1

(Non-performing Loans - Provisions) / Total Financing (Non-performing Loans - Provisions) / Equity

124.5 129.9

129.6 130.9

Source: "Report on Banks", Central Bank.

53

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 34: Income Statement – Private Banks

(as a percentage of net asset)

Financial Margin Interest Income CER and CVS Return Assets Return Differences in Valuation Other Financial Income Net Income on Services Non-collectibility Expenses Operating Expenses Tax Burdens Income Tax Adjustments on Public Debt Valuation ( 1 ) Judicial Injunctions Amortization Miscellaneous Monetary Adjustments Total Return Adjusted Return ( 2 ) ROE

2000

2001

2002

2003

2004

2005

2006

2007

2008 11 Months

6.2 4.1

6.4 4.3

2.3 0.1 0.9 -0.3 1.7 -0.2 2.0 -1.3 -4.6 -0.3 -0.3

2.9 1.0 0.8 0.6 0.8 -0.3 2.4 -0.9 -4.6 -0.3 -0.2

4.3 1.7 1.0 0.5 1.0 0.1 2.7 -0.6 -5.1 -0.4 -0.2

5.9 2.1 0.6 0.6 2.4 0.2 3.4 -0.6 -5.9 -0.6 -0.3

5.8 2.7 0.4 0.6 1.9 0.1 3.8 -0.8 -6.3 -0.7 -0.2

7.4 4.3 0.4 0.8 1.1 0.8 4.3 -1.0 -7.0 -1.0 -0.7

-0.6 -0.7 1.0

...

-1.0 0.7

-0.2 -1.0 0.9

-0.1 -0.9 1.2

-0.1 -0.9 1.0

-0.2 -0.4 0.5

...

...

0.2 1.4 0.5 2.9 -2.5 -6.0 -0.4 -0.4

0.3 1.2 0.7 3.2 -3.0 -6.4 -0.5 -0.3

7.6 -0.2 1.1 4.4 2.5 -0.1 2.0 -5.0 -4.8 -0.4 -0.2

... ...

... ...

... ...

0.4

0.7

...

...

...

...

...

...

...

...

0.1 0.1

0.2 0.2

-3.0 -7.5 -11.3 -11.3

-2.5 -1.2

-1.0 0.2

0.5 1.6

2.2 3.2

1.6 2.6

2.0 2.6

0.8

1.4

-79.0

-19.1

-8.1

4.1

15.3

10.9

15.7

(1) Communication "A" 3911. Valuation adjustments according to Communication "A" 4084 are included in "Assets Return".

(2) Judicial injunctions amortization and Public Sector revaluation are not included.

Source: "Report on Banks", Central Bank.

54

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 35: Ratios – Private Banks (as a percentage)

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Nov. 2008

1 - Liquidity

22.8

24.3

24.1

23.6

24.8

27.6

29.2

21.5

23.7

25.7

32.6

2 - Credit to Public Sector

13.6

16.1

14.7

20.8

49.4

47.1

41.2

28.0

15.9

9.1

6.6

3 - Loans to Private Sector

47.6

44.6

38.4

45.4

22.4

19.9

22.5

31.1

37.9

46.6

46.0

7.7

8.9

9.8

14.0

37.4

30.4

15.3

6.3

3.6

2.5

2.6

13.2

11.5

13.4

11.4

18.6

11.2

1.9

-2.2

-3.0

-3.6

-3.3

6 - ROA

0.5

0.3

0.1

0.2

-11.3

-2.5

-1.0

0.5

2.2

1.6

2.0

7 - ROE

4.3

2.3

0.8

1.4

-79.0

-19.1

-8.1

4.1

15.3

10.9

15.7

139.0

146.0

152.0

151.0

168.0

93.0

115.0

136.0

158.0

152.0

168.0

9 - Capital Requirement Compliance

14.6

18.9

18.0

17.6

...

14.0

15.1

17.8

18.6

19.2

18.2

10 - Excess of Minimum Capital Requirement

27.0

60.0

49.0

43.0

...

88.0

157.0

155.0

87.0

84.0

4 - Private Sector Non-performing Loans 5 - Capital Exposure to Private Sector

8 - Efficiency

116.0

1 - (Liquid assets in Central Bank + Other liquids assets + LEBAC/NOBAC from repos) / Total deposits.

2 - (Public bonds (LEBAC/NOBAC not included) + Loans to Public Sector + Compensations) / Net Asset.

3 - Loans to Private Sector / Net Asset.

4 - Private Sector Non-performing loans / Loans to Private Sector.

5 - (Non-performing - provisions) / Equity. Non-performing includes categories 3 to 6.

6 - Total Return / Net Assets.

7 - Total Return / Equity.

8 - (Financial Margin (Net interest income + CER/CVS Return + Other assets return + Difference on valuation + Other financial return) + Net Non-interest income) / Operating expenses.

9 - Minimum capital requirement compliance / Risk weighted assets (according to Central Bank regulations).

10 - (Minimum capital compliance - requirement (considering forbearances) / Requirement.

Source: "Report on Banks", Central Bank.

55

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 36: Non-performing Loans – Private Banks (as a percentage)

Dec. 2000

Dec. 2001

Dec. 2002

Dec. 2003

Dec. 2004

Dec. 2005

Dec. 2006

Dec. 2007

Nov. 2008

Non-performing Loans

8.3

9.9

19.8

15.7

8.9

4.4

2.9

2.2

2.3

Non-performing - Private Sector

9.8

14.0

37.4

30.4

15.3

6.3

3.6

2.5

2.6

Commercial Loans

8.4

15.4

44.7

39.0

18.2

7.3

3.8

2.0

...

Consumer and Mortgage

11.9

12.4

26.0

17.2

10.0

4.2

3.2

3.2

...

Provisions / Non-performing Loans

67.7

75.7

73.4

79.0

97.0

114.3

129.3 141.3

135.4

(Non-performing Loans - Provisions) / Total Financing

2.7

2.4

5.3

3.3

0.4

-0.6

-0.9

-0.9

-0.8

(Non-performing Loans - Provisions) / Equity

13.4

11.4

18.6

11.2

1.3

-2.2

-3.0

-3.6

-3.3

Source: "Report on Banks", Central Bank.

56

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 37: Concentration of Deposits (as a percentage) End of: 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

December December December December December December December December December December December December December December December December December December December December November

Top 5

Top 10

Top 15

Top 20

Others

Number of Banks

37.11 35.96 36.17 35.63 34.96 38.68 36.85 42.61 42.33 45.18 48.91 50.26 52.33 49.92 54.16 55.65 55.16 54.52 55.95 54.97 50.35

50.72 49.76 49.39 49.78 48.62 51.69 50.18 58.21 58.40 61.62 70.51 71.74 73.18 73.42 77.04 75.49 73.72 72.80 73.73 75.69 70.77

... ... ... ... ...

65.34 67.46 65.63 67.68 66.25 66.77 65.14 74.34 75.25 78.30 84.46 85.87 88.55 89.51 90.25 90.31 89.99 89.32 89.47 90.90 87.47

34.66 32.54 34.37 32.32 33.75 33.23 34.86 25.66 24.75 21.70 15.54 14.13 11.45 10.49 9.75 9.69 10.01 10.68 10.53 9.10 12.53

175 176 170 166 167 167 168 127 120 113 104 92 89 85 78 75 73 71 72 72 72

60.56 58.73 68.13 68.76 71.43 79.54 80.37 82.77 83.66 85.31 85.17 85.02 84.16 84.53 86.42 82.47

Source: ABA based on "Statements of Financial Institutions", "Financial Statements of Financial Institutions" and "Information on Financial Institutions", Central Bank.

57

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 38: Concentration of Assets (as a percentage) End of: 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

December December December December December December December December December December December December December December December November

Top 5

Top 10

Top 15

Top 20

Others

Number of Banks

38.19 36.43 39.88 38.71 40.89 42.82 45.64 45.63 48.71 57.16 57.85 55.64 54.80 52.23 50.81 55.34

51.28 50.57 55.18 55.67 57.73 64.03 68.20 69.35 70.90 77.72 76.89 73.44 71.59 69.85 70.97 76.20

59.73 58.83 64.00 66.37 67.64 73.56 77.44 79.00 80.97 86.10 85.12 83.75 82.19 80.64 82.47 86.47

65.71 64.89 69.29 72.38 74.05 80.03 83.23 85.09 87.01 90.38 89.90 88.96 87.54 86.61 87.62 90.99

34.29 35.11 30.71 27.62 25.95 19.97 16.77 14.91 12.99 9.62 10.10 11.04 12.46 13.39 12.38 9.01

167 168 127 120 113 104 92 89 85 78 75 73 71 72 72 72

Source: ABA based on "Statements of Financial Institutions", "Financial Statements of Financial Institutions" and "Information on Financial Institutions", Central Bank.

58

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 39: Tranches of Deposits

As of November 30, 2008 Tranches From

Individual To

Number

Legal Persons

Amount

Number

In Millions of Pesos 0 300 301 500 501 1,000 1,001 2,500 2,501 5,000 5,001 10,000 10,001 25,000 25,001 50,000 50,001 100,000 100,001 250,000 250,001 500,000 500,001 1,000,000 1,000,001 2,500,000 2,500,001 5,000,000 5,000,001 10,000,000 10,000,001 25,000,000 25,000,001 50,000,000 50,000,001 100,000,000 100,000,001

14,028,968 792,774 1,247,600 1,998,595 1,428,549 1,130,059 1,041,819 452,042 226,059 101,492 20,000 6,254 2,405 487 162 70 7 5

429 307 876 3,211 4,807 7,264 14,192 13,377 13,052 12,361 5,577 3,375 2,625 1,302 1,001 700 252 302

...

Total

22,477,347

Amount

Total Number

In Millions of Pesos

Amount In Millions of Pesos

...

1,034,211 107,699 143,467 206,414 140,350 106,079 125,938 80,938 63,386 56,941 25,929 15,473 12,033 4,891 2,863 1,881 654 431 278

95 31 74 267 418 545 1,523 2,128 3,409 6,489 6,656 7,180 11,910 10,743 11,991 15,523 10,138 10,606 50,381

15,063,179 900,473 1,391,067 2,205,009 1,568,899 1,236,138 1,167,757 532,980 289,445 158,433 45,929 21,727 14,438 5,378 3,025 1,951 661 436 278

524 338 950 3,477 5,225 7,808 15,715 15,505 16,461 18,850 12,234 10,555 14,535 12,045 12,992 16,222 10,390 10,908 50,381

85,010

2,129,856

150,107

24,607,203

235,116

Source: ABA based on "Information on Financial Institutions", Central Bank.

59

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 40: Deposits of Private Sector - Geographical Distribution

Provinces

Total Capital Federal Buenos Aires Great Buenos Aires Rest of Buenos Aires Catamarca Córdoba Corrientes Chaco Chubut Entre Ríos Formosa Jujuy La Pampa La Rioja Mendoza Misiones Neuquén Río Negro Salta San Juan San Luis Santa Cruz Santa Fe Santiago del Estero Tierra del Fuego Tucumán

III Q 2007

III Q 2008

Change

In Millions of Pesos 143,621.3 169,867.8 26,246.5 69,093.7 86,133.4 17,039.7 32,280.2 35,445.8 3,165.6 16,438.6 18,019.3 1,580.7 15,841.6 17,426.5 1,584.9 324.4 400.5 76.1 9,503.8 10,558.3 1,054.4 971.4 1,135.9 164.5 1,147.5 1,432.3 284.8 1,720.7 2,131.1 410.3 2,209.4 2,498.1 288.7 276.0 376.4 100.4 745.1 830.7 85.6 964.2 1,129.4 165.3 287.5 368.7 81.3 4,154.4 4,540.2 385.9 918.7 994.6 75.9 1,495.2 1,707.3 212.2 1,369.1 1,645.5 276.4 1,409.8 1,616.9 207.1 990.9 1,218.1 227.2 546.1 689.0 142.9 884.0 1,122.4 238.5 9,155.3 10,291.6 1,136.3 737.7 873.8 136.1 645.8 758.9 113.2 1,790.4 1,968.8 178.4

Change

Share %

18.3 24.7 9.8 9.6 10.0 23.4 11.1 16.9 24.8 23.8 13.1 36.4 11.5 17.1 28.3 9.3 8.3 14.2 20.2 14.7 22.9 26.2 27.0 12.4 18.5 17.5 10.0

100.0 50.7 20.9 10.6 10.3 0.2 6.2 0.7 0.8 1.3 1.5 0.2 0.5 0.7 0.2 2.7 0.6 1.0 1.0 1.0 0.7 0.4 0.7 6.1 0.5 0.4 1.2

Source: ABA based on "Statistical Bulletin", Central Bank.

60

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 41: Loans by Type Type of Loan

December 2005 Millions of Pesos

Public Sector

%

December 2006

December 2007

Millions of Pesos

%

Millions of Pesos

%

November 2008 Millions of Pesos

%

25,836

32.6

20,874

20.9

16,583

13.0

17,221

11.4

Financial Sector

2,450

3.1

4,962

5.0

5,030

3.9

5,294

3.5

Private Sector ( 1 )

55,885

70.5

77,832

77.9

110,406

86.3

132,772

88.0

8,344

10.5

11,012

11.0

14,295

11.2

16,054

10.6

12,844

16.2

17,220

17.2

23,218

18.1

24,965

16.6

Mortgage Loans

8,865

11.2

10,345

10.4

14,616

11.4

18,478

12.3

Pledge Loans

2,372

3.0

3,824

3.8

6,041

4.7

7,905

5.2

Consumer Loans

7,135

9.0

12,716

12.7

20,760

16.2

26,927

17.9

14,589

18.4

20,954

21.0

29,364

23.0

35,792

23.7

1,736

2.2

1,760

1.8

2,112

1.7

2,652

1.8

-4,930

-6.2

-3,728

-3.7

-4,088

-3.2

-4,473

-3.0

79,241

100.0

99,940

100.0

127,931

100.0

150,814

100.0

Overdraft Promissory Notes

Others Interest Accrued Provisions Total

(1) It includes loans to foreign residents.

Source: ABA based on "Information on Financial Institutions", Central Bank.

61

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 42: Financing by Activity (as a percentage)

Primary Manufacturing Electricity, Construction Commerce Production Industry Gas and Water 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 III 2008

9.0 11.1 12.6 12.4 10.8 10.3 9.2 9.1 9.1 8.1 8.9 8.2 5.7 6.6 7.8 10.4 10.9 11.5 11.5

23.9 20.8 20.6 19.5 18.0 18.5 19.4 18.1 16.5 14.6 11.5 9.3 7.7 8.8 12.6 16.2 17.0 16.5 15.8

7.4 3.0 1.3 2.5 2.0 2.1 2.1 2.0 2.2 1.8 1.6 1.5 2.2 1.2 1.1 0.9 1.2 1.4 1.3

5.9 6.4 5.1 4.2 4.2 4.3 4.1 3.5 3.6 3.7 3.5 3.0 2.5 2.2 2.4 2.3 2.2 2.1 2.2

6.6 11.4 15.1 17.0 15.7 13.9 12.3 11.6 10.5 9.8 8.7 6.3 4.3 4.5 5.2 6.2 6.9 7.5 7.4

Services

23.3 21.5 20.1 21.5 23.6 25.0 26.8 27.1 26.5 28.0 37.7 42.2 54.6 52.0 46.4 36.5 32.4 26.6 26.2

Individual NonTotal Employees identified 21.7 22.6 20.7 18.1 20.2 20.2 21.7 23.9 24.9 28.3 24.8 24.1 16.6 16.4 16.6 23.4 26.0 31.0 32.2

2.2 3.2 4.5 4.8 5.5 5.7 4.5 4.7 6.8 5.7 3.2 5.4 6.4 8.2 8.0 4.1 3.3 3.4 3.4

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

Source: ABA based on "Statistical Bulletin", Central Bank.

62

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 43: Non-performing Loans by Activity As a percentage on total financing of each activity Primary Manufacturing Electricity, Production Industry Gas and Water 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 III 2008

27.0 24.4 23.4 22.1 30.5 33.0 24.6 21.7 17.4 23.4 27.2 30.6 50.2 42.1 21.9 7.5 4.3 2.5 3.0

23.1 17.7 18.4 21.1 23.7 21.4 15.9 14.7 14.6 15.7 20.7 29.0 48.3 41.8 20.0 7.0 5.8 3.6 3.5

Construction Commerce Services

3.3 62.8 7.4 3.3 4.1 1.3 1.8 0.8 1.2 1.3 2.1 2.7 59.1 68.6 56.1 45.9 25.5 12.1 6.7

13.6 10.7 13.4 16.5 19.7 23.8 15.9 14.0 11.5 12.1 22.3 24.9 58.0 75.2 54.6 43.9 29.9 18.3 8.4

19.7 18.1 16.8 18.0 23.9 31.9 25.5 22.8 20.0 22.4 28.1 30.1 49.7 45.1 27.8 8.5 3.7 2.1 2.0

17.8 26.9 16.2 13.1 10.0 10.8 6.9 6.2 4.7 4.7 6.9 10.3 11.6 8.7 5.3 3.5 5.3 5.2 5.9

Individual NonTotal Employees identified 2.8 7.6 7.2 9.1 12.5 29.9 22.7 15.0 14.7 15.0 21.8 25.8 37.8 24.3 17.5 10.2 10.2 7.6 7.4

45.9 26.6 15.8 17.5 17.6 21.4 20.5 18.4 11.2 18.3 25.3 30.8 39.5 41.8 24.6 23.8 15.6 23.1 34.2

Source: ABA based on "Statistical Bulletin", Central Bank.

63

16.0 19.4 15.5 15.8 18.0 22.7 16.8 13.9 12.1 13.4 16.9 20.1 26.6 22.9 14.9 8.5 7.6 6.1 6.4

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 44: Loans to Private Sector - Geographical Distribution Provinces

III Q 2007

III Q 2008

Change

Change

In Millions of Pesos Total Capital Federal Buenos Aires Great Buenos Aires Rest of Buenos Aires Catamarca Córdoba Corrientes Chaco Chubut Entre Ríos Formosa Jujuy La Pampa La Rioja Mendoza Misiones Neuquén Río Negro Salta San Juan San Luis Santa Cruz Santa Fe Santiago del Estero Tierra del Fuego Tucumán

94,523.9 50,574.2 15,991.4 8,635.1 7,356.2 214.1 5,291.2 534.4 807.4 1,076.9 1,497.0 222.3 554.1 693.4 329.7 2,177.7 1,062.4 1,140.2 619.4 1,281.9 515.9 330.5 452.2 6,587.3 398.1 491.8 1,680.0

123,943.9 63,610.7 21,079.0 11,085.9 9,993.1 294.6 7,520.3 734.6 1,084.1 1,561.5 2,131.6 303.3 707.5 1,031.5 394.6 2,980.8 1,484.6 1,658.8 852.4 1,668.4 697.9 421.4 706.0 9,211.8 739.0 707.9 2,361.4

29,420.0 13,036.5 5,087.6 2,450.8 2,636.9 80.4 2,229.0 200.2 276.7 484.6 634.6 81.0 153.3 338.1 64.9 803.1 422.2 518.6 233.0 386.5 182.0 91.0 253.7 2,624.6 340.9 216.0 681.4

Share

Nonperforming Loans

% 31.1 25.8 31.8 28.4 35.8 37.6 42.1 37.5 34.3 45.0 42.4 36.4 27.7 48.8 19.7 36.9 39.7 45.5 37.6 30.1 35.3 27.5 56.1 39.8 85.6 43.9 40.6

100.0 51.3 17.0 8.9 8.1 0.2 6.1 0.6 0.9 1.3 1.7 0.2 0.6 0.8 0.3 2.4 1.2 1.3 0.7 1.3 0.6 0.3 0.6 7.4 0.6 0.6 1.9

7.2 8.0 6.1 7.2 4.8 5.5 5.4 17.2 5.7 7.3 3.5 6.2 5.1 3.3 20.7 8.7 5.8 6.3 6.6 5.9 17.9 7.0 4.1 3.9 10.2 6.6 10.7

Source: ABA based on "Statistical Bulletin", Central Bank.

64

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 45: Interest Rate on Loans to Private Sector - Geographical Distribution Provinces

III Q 2007

III Q 2008

Difference

Change

Difference from Average

% Total Capital Federal Buenos Aires Great Buenos Aires Rest of Buenos Aires Catamarca Córdoba Corrientes Chaco Chubut Entre Ríos Formosa Jujuy La Pampa La Rioja Mendoza Misiones Neuquén Río Negro Salta San Juan San Luis Santa Cruz Santa Fe Santiago del Estero Tierra del Fuego Tucumán

18.6 16.6 21.3 23.3 19.0 20.3 20.2 21.7 21.9 22.0 19.2 23.7 23.3 19.0 24.3 21.5 21.2 20.2 19.4 21.8 21.8 26.1 25.3 18.8 23.0 20.6 21.2

22.0 20.7 24.7 25.2 24.5 22.5 21.9 23.4 22.2 24.1 23.1 25.8 26.3 23.2 23.8 22.1 24.6 24.5 24.9 25.0 24.8 28.5 26.8 20.8 26.2 25.7 25.9

3.3 4.0 3.4 1.9 5.5 2.2 1.7 1.7 0.3 2.1 3.9 2.1 3.0 4.2 -0.4 0.6 3.4 4.2 5.4 3.1 3.1 2.4 1.5 2.0 3.2 5.1 4.7

17.9 24.3 16.1 8.1 29.2 10.6 8.6 7.9 1.4 9.6 20.4 8.9 13.0 22.2 -1.7 2.6 15.9 20.9 28.0 14.4 14.0 9.3 6.0 10.5 14.1 24.8 22.3

...

-1.3 2.8 3.2 2.5 0.5 -0.0 1.5 0.3 2.2 1.2 3.8 4.3 1.2 1.9 0.1 2.6 2.5 2.9 3.0 2.9 6.6 4.8 -1.2 4.2 3.7 4.0

Source: ABA based on "Statistical Bulletin", Central Bank.

65

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 46: Financing by Tranches As of November 30, 2008 Tranches From

Individual To

Number

Amount

Legal Persons Number

In Millions of Pesos

0 301 501 1,001 2,501 5,001 10,001 25,001 50,001 100,001 200,001 500,001 1,000,001 2,500,001 5,000,001 10,000,001 25,000,001 50,000,001 100,000,001 Total

300 500 1,000 2,500 5,000 10,000 25,000 50,000 100,000 200,000 500,000 1,000,000 2,500,000 5,000,000 10,000,000 25,000,000 50,000,000 100,000,000

Individual

Legal Persons

Amount

Number

Amount

Number

Amount

In Millions of Pesos

%

%

%

%

812,746 499,519 1,046,201 1,790,407 1,461,334 1,295,913 1,172,284 354,312 130,385 61,858 17,662 2,296 686 110 39 11 2 ... ...

162.9 224.2 830.2 3,064.0 5,329.8 9,331.3 18,184.7 12,069.0 9,001.7 8,477.3 4,949.0 1,540.7 976.4 366.1 267.5 151.6 67.1 ... ...

27,610 3,006 4,128 7,353 8,123 9,146 13,490 10,878 11,172 10,110 10,515 4,904 3,482 1,548 947 649 282 149 157

3.7 1.3 3.2 12.8 30.1 67.0 222.7 394.0 803.8 1,442.2 3,344.1 3,455.3 5,350.2 5,402.6 6,627.9 10,130.7 9,614.0 10,627.2 56,994.7

9.4 5.8 12.1 20.7 16.9 15.0 13.6 4.1 1.5 0.7 0.2 0.0 0.0 0.0 0.0 0.0 0.0 ... ...

0.2 0.3 1.1 4.1 7.1 12.4 24.2 16.1 12.0 11.3 6.6 2.1 1.3 0.5 0.4 0.2 0.1 ... ...

21.6 2.4 3.2 5.8 6.4 7.2 10.6 8.5 8.8 7.9 8.2 3.8 2.7 1.2 0.7 0.5 0.2 0.1 0.1

0.0 0.0 0.0 0.0 0.0 0.1 0.2 0.3 0.7 1.3 2.9 3.0 4.7 4.7 5.8 8.8 8.4 9.3 49.8

8,645,765

74,993.6

127,649

114,527.8

100.0

100.0

100.0

100.0

Source: ABA based on "Information on Financial Institutions", Central Bank.

66

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 47: Financing by Tranches and Situation

As of November 30, 2008 (as a percentage) Tranches

From 0 301 501 1,001 2,501 5,001 10,001 25,001 50,001 100,001 200,001 500,001 1,000,001 2,500,001 5,000,001 10,000,001 25,000,001 50,000,001 100,000,001 Total

Performing (1) To

300 500 1,000 2,500 5,000 10,000 25,000 50,000 100,000 200,000 500,000 1,000,000 2,500,000 5,000,000 10,000,000 25,000,000 50,000,000 100,000,000

Number of Debtors

Debt Amount

Non-performing (2) Number of Debtors

Debt Amount

Non-collectible (3) Number of Debtors

Debt Amount

86.7 87.2 86.8 86.8 86.9 88.5 91.3 88.7 87.6 90.6 89.6 91.0 91.4 93.0 94.5 95.3 96.6 95.7 99.1

86.7 87.3 86.8 86.8 86.9 88.7 91.4 88.5 87.8 90.6 89.7 91.1 91.6 93.2 94.7 95.1 96.5 96.0 99.2

4.1 3.9 4.5 5.0 5.4 4.7 2.9 1.8 1.3 0.9 1.2 1.4 1.6 1.4 0.7 1.2 0.3 0.7 ...

4.0 3.9 4.5 5.0 5.5 4.6 2.8 1.8 1.3 0.9 1.2 1.4 1.6 1.3 0.7 1.2 0.3 0.6 ...

9.2 8.9 8.8 8.3 7.7 6.8 5.8 9.4 11.1 8.5 9.2 7.6 6.9 5.6 4.7 3.5 3.0 3.6 0.9

9.3 8.9 8.7 8.2 7.7 6.7 5.8 9.7 11.0 8.5 9.1 7.6 6.8 5.5 4.6 3.6 3.2 3.4 0.8

87.5

93.1

4.4

1.6

8.1

5.4

(1) Include situations 1 and 2.

(2) Include situations 3 and 4.

(3) Include situations 5 and 6.

Source: ABA based on "Information on Financial Institutions", Central Bank.

67

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 48: Concentration of Credit Assistance As of November 30, 2008 Number of Institutions

Individual Number

Amount

Legal Persons Number

In Millions of Pesos

Individual

Legal Persons

Amount

Number

Amount

Number

Amount

In Millions of Pesos

%

%

%

%

1 2 3 4 5 or more

5,700,536 1,982,054 660,829 210,144 92,202

28,753.9 24,510.3 12,618.4 5,386.1 3,724.8

94,137 20,590 6,970 2,842 3,110

19,283.1 14,813.3 10,299.0 7,329.0 62,803.3

65.9 22.9 7.6 2.4 1.1

38.3 32.7 16.8 7.2 5.0

73.7 16.1 5.5 2.2 2.4

16.8 12.9 9.0 6.4 54.8

Total

8,645,765

74,993.6

127,649

114,527.8

100.0

100.0

100.0

100.0

Source: ABA based on “Information on Financial Institutions”, Central Bank.

68

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 49: Minimum Reserves Requirements

(as a percentage)

Since Item

January 2008

November 2008

19

19

19 30

19 20

19 30

19 20

19 30 19

19 20 19

100

100

14 11 7 2 0

14 11 7 2 0

7.2. In Foreign Currency: i) Up to 29 days. ii) From 30 to 59 days. iii) From 60 to 89 days. iv) From 90 to 179 days. v) From 180 to 365 days. vi) More than 365 days.

35 28 20 10 6 0

20 15 10 5 2 0

8. Obligations under foreign lines of credit (except those included in items 7 and 9)

0

0

1. Deposits in current accounts (except 16) and demand deposits in cooperative credit unions.

2. Deposits in savings accounts.

2.1. In Pesos (except 16).

2.2. In Foreign Currency.

3. Custody accounts, special accounts for closed savings groups, "Unemployment fund for construction workers", "Accounts for salaries payments", special current accounts for legal persons and pension savings accounts.

3.1. In Pesos (except 16).

3.2. In Foreign Currency.

4. Other demand deposits and obligations, pension payments granted by ANSES outstanding payment and immobilized funds corresponding to obligations comprised in these rules.

4.1. In Pesos (except 16).

4.2. In Foreign Currency.

5. Unused overdrafts funds.

6. Deposits in current accounts made by non-banking financial institutions computable for compliance of their minimum reserves requirements.

7. Time deposits, "acceptance" obligations -including liabilities for credit sale or assignment to persons other than financial institutions-, repos, stockrelated collaterals and repos, constant term investments, with advance settlement option or with renewal term for a fixed term and with variable compensation, and other term obligations, except for deposits comprised in items 11, 12, 13 and 15, according to their remaing term: 7.1. In Pesos: i) Up to 29 days. ii) From 30 to 59 days. iii) From 60 to 89 days. iv) From 90 to 179 days. v) More than 180 days.

Deposits with "CER" indexation clause are included in this item.

69

ANNUAL REPORT 2008 STATISTICAL APPENDIX

TABLE 49: Minimum Reserves Requirements (continued)

(as a percentage)

9. Debt securities (including notes). a) Debt issued as of 01.01.02, including debts arising from restructured obligations, according to their remaining term: 9.1. In Pesos: i) Up to 29 days. ii) From 30 to 59 days. iii) From 60 to 89 days. iv) From 90 to 179 days. v) More than 180 days.

9.2. In Foreign Currency: i) Up to 29 days. ii) From 30 to 59 days. iii) From 60 to 89 days. iv) From 90 to 179 days. v) From 180 to 365 days. vi) More than 365 days. b) Others.

10. Obligations towards the Trust Fund For Assistance to Financial Institutions and Insurance Companies.

11. Demand an time deposits made under Court order with funds originating in lawsuits, and their immobilized funds.

11.1. In Pesos.

11.2. In Foreign Currency.

12. Deposits of Trust Funds.

12.1. In Pesos.

12.2. In Foreign Currency.

13. Special deposits linked to foreign capital inflows -Decree 616/05.

14. Deposits and other demand obligations in pesos (except "Unemployment fund for construction workers"), which interest rate were higher than 15% of the average BADLAR interest rate of private banks.

15. Transferable time deposits certificates of public sector, denominated in pesos, with an option to be payed off in the next 30 days since its initial date.

14 11 7 2 0

14 11 7 2 0

35 28 20 10 6 0 0

20 15 10 5 2 0 0

0

0

10 15

10 10

19 40 100

19 20 100

100

100

16

16

Nota: A two-months period was complied to June-July and October-November.

70

ANNUAL REPORT 2008 APPENDIX

APPENDIX Principal Measures of Banking, Exchange and Financing Policies.

Communication "A" 4757. CONAU - 1 - 841. (01.04.08).

Effective as of January 2008, the Central Bank amended a series of reporting regimes.

Main changes were those introduced in Section A of the Financial System Debtors Reporting Regime. Pursuant to Personal Data Protection Act Number 25,326, debtors with 5 or more years of seniority who have been granted any kind of financing shall be identified.

These amendments became effective as of March 2008, but financial institutions could elect to apply them retroactively as of January 2008.

Based on information provided in January 2008, and in relation to Section I of this regime, it was made clear that financial institutions’ customers comprised within the scope of Section 26, Subsection 4, of the Personal Data Protection Act would not be included in the Central Register of Debtors.

Communication "A" 4762. CAMEX - 1 - 599. (01.17.08).

As of 01.18.08, the Central Bank provided new rules for application of non-remunerated deposits (Decree 616/05) in relation to foreign income on account of direct investment and financial loans.

Communication "A" 4764. CAMEX - 1 - 600. (01.17.08).

Effective as of 01.17.08, the Central Bank set forth new provisions governing access of residents to the local exchange market for developing assets abroad intended for specific purposes.

In such respect, legal persons residing in the country not comprised in the financial sector were exempted from limits to access the Unique and Free Exchange Market (Mercado Ăšnico y Libre de Cambios) for developing foreign assets until 06.30.08, provided that such funds and income thereof are used, within 365 days (before 360 days) of the date of entry into the exchange market, for payment of capital and interest of foreign financial debts on account of notes issued abroad, financial loans syndicated abroad, financial loans granted by foreign banks and other direct debts or debts secured by official foreign credit agencies; Argentine imports of goods; profits and dividends; and/or Argentine direct investments abroad.

71

ANNUAL REPORT 2008 APPENDIX

On the other hand, direct investment transactions abroad in non-financial asset productive activities carried out by resident companies were exempted from the prior Central Bank’s authorization.

Communication "A" 4769. REMON - 1 - 828 and OPRAC - 1 - 612. (01.31.08).

It was reported that the Inter-American Development Bank granted a loan to the province of San Juan for the execution of the Credit Program for Production and Employment Development in that province, intended for granting loans to micro, small and mediumsized companies starting or conducting in that province primary production or industrial, commercial or service activities (except for financial activities). Program resources may be used to finance investment, working capital and technical assistance projects.

Total resources shall amount to US$ 34 millions, of which US$ 14 millions shall be IADB Loan funds and US$ 20 millions shall be local funds.

Funds shall be distributed by the Central Bank to participating entities through quotas offered at auctions. Loans granted by financial institutions shall be denominated in Pesos.

Communication "A" 4770. CIRMO - 3 - 23. (02.01.08).

The minimum amount that institutions shall provide in coins at the request of the general public was increased from $50 to $100, both to bank customers and non-customers. The penalty for those institutions in breach of the obligation to provide change was increased from $1,000 to $10,000.

Communication "A" 4771. CREFI - 2 - 57 and LISOL - 1 - 482. (02.01.08).

The Central Bank amended financial institutions’ Minimum Capital Requirements, flexibilizing branch opening procedures, particularly in those areas of the country having low access levels to financial services.

In such sense, taking into account services and competence coverage through the financial system operating volume (number of branches and ATMs per inhabitant and deposit and loans concentration), categories used for classifying financial institutions were redefined, as of 01.01.08, in order to meet Minimum Capital Requirements; and new jurisdictions were set forth for each category.

Communication "A" 4775. CREFI - 2 - 58. (02.08.08).

The Central Bank amended the rules governing "Requirements to be met by foreign financial institutions’ representatives not authorized to conduct business in the country", thus

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eliminating the probability that the representation be in charge of a legal person. Only an individual may act as representative of a foreign financial institution not authorized to conduct business in our country.

Communication "A" 4776. REMON - 1 - 829. (02.13.08).

The Central Bank anounced that it shall participate in interest rate swap transactions in Pesos, within the framework of OTC Market carry forwards.

To such end, the Central Bank shall conduct transactions with banks, bilaterally, for the purchase and sale of BADLAR rate swaps of Private Banks with Fixed Domestic Rate in Pesos, to be settled based on difference regarding a minimum notional amount of $10 millions. Fixed interest rate swap agreements setting forth the change into variable rate shall be denominated in Pesos.

Likewise, a maximum 5 year term was provided for these agreements, with monthly adjustments in the variable interest rate.

Regarding operating limits per institution, they were set at 75% of their Computable Equity with a maximum notional amount of $500 millions.

Communication "A" 4777. CONAU - 1 - 845 and RUNOR - 1 - 846. (02.15.08).

It was provided that the information included in Section A of the Financial System Debtors Reporting Regime shall be effective, as optional choice, as of January 2008 reporting; and this choice shall become the mandatory option as of the date to be set forth by the Central Bank. Section A makes reference to Personal Data Protection Act Number 25,326 and such system shall be used to identify those debtors having financing with 5 or more years of seniority as of the date on which payment became enforceable.

Communication "A" 4778. RUNOR - 1 - 847. (02.15.08).

The Central Bank made provisions for the implementation of new security measures in bank cashiers.

In that sense, cashiers should have security measures preventing any trespass by the public in all their extension, therefore, they shall have, at least, one of the following technical features: a) antivandalic transparent surface; b) glass surface with external resistant film; c) glass or equivalent transparent substitute material with ballistic resistance. Such elements shall cover the front surface from the counter up to 2.20 meters height, provided building features so allow. Likewise, a security lock shall be implemented in order to allow entry only to authorized personnel.

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Each institution may extend this type of protection to other critical areas, according to the security analysis conducted in each of the premises.

Likewise, it was set forth that operating branches should have these features installed within 180 days. Branches which have been subject to express robberies during the past 3 years shall have priority over the others. There shall be a maximum 12 month additional term in order that the rest of the premises become compliant with this rule.

Communication "B" 9024. (02.19.08).

The Central Bank posted on its Web Site 3, for the use of financial institutions, information relating to operating modalities carried out under the Reporting Regime - Suspicious Transaction Report.

Communication "A" 4781. LISOL - 1 - 483. (02.29.08).

The Central Bank set forth that, as of 05.31.08, financial institutions should communicate debtors any negative changes to the rating assigned to them, to the extent the rating is changed to situations 3, 4 or 5, except for debtors in default of former institutions undergoing winding up, and except for debtors subject to judicial or extrajudicial collection procedures.

Communication "A" 4782. LISOL - 1 - 484. (03.03.08).

The Central Bank admitted subordinated negotiable instruments privately placed in financial institutions’ computable equity, thus extending their scope to other subordinated liabilities’ instrumentation modalities (loans, foreign lines of credit, etc.).

Communication "A" 4785. CAMEX - 1 - 602. (03.14.08).

The Central Bank provided measures relating to new foreign debt transactions intended to finance local companies having public license agreements, undertaken in installments having a mean effective term, including both capital and interest, of at least 5 years, and provided at least 50% of the funds are intended to finance public utilities infrastructure works with an execution term longer than 2 years.

Communication "A" 4786. CAMEX - 1 - 603. (03.14.08).

As of 03.17.08, aspects related to the treatment of funds entering the country on account of repatriation of residents’ investments and on account of exchange transactions for sale of foreign currency to residents in order to make portfolio investments abroad were amended.

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Communication "B" 9229. (03.25.08).

The Central Bank informed the pro rata share of each institution as of December 2007 in the controlling trust of SEDESA. In such respect, its corporate capital amounts to $1 million and the Estate share holding is equivalent to $1.

Communication "A" 4789. RUNOR - 1 - 851. (03.26.08).

It was provided for that individualization of debtors comprised within the limits of Section 26, subsection 4, of the Personal Data Protection Act Number 25,326 shall be optional as of March 2008, and that it shall be mandatory as of the date to be set forth in the future by the Central Bank.

Communication "A" 4792. CAMEX - 1 - 604. (04.10.08).

As of 04.11.08, local financial institutions were allowed, within a maximum fifteen (15) business day term to be counted as of the exchange rate agreement date, to make transfers to foreign banking institutions in exchange for foreign currency sales made by the local institution to individuals residing in the country on account of family contribution, and in favor of individuals residing abroad.

Communication "A" 4793. RUNOR - 1 - 853. (04.14.08).

Rules governing "Guidelines for operational risk management in financial institutions" were approved. These rules contain minimum requirements for management operations having this risk level.

Communication "A" 4798. OPRAC - 1 - 613. (05.02.08).

"Non-financial public sector financing" rules were amended to include trust and trust funds whose beneficiary, as determined in the respective agreements or provisions governing such trusts, belongs to the non-financial public sector.

Communication "A" 4803. CAMEX - 1 - 605. (05.12.08).

As of 05.13.08, local governments were exempted from the limit to the purchase of foreign currency bills, to the extent such purchases are made in order to deposit the funds in accounts held in local financial institutions within the framework of conditions for repayment of loans granted by International Institutions.

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Communication "A" 4804. CAMEX - 1 - 606. (05.15.08).

The Central Bank included goods and services purchases in the list of goods or rights acquired within the framework of the rules governing foreign currency income from financial loans exempted from constitution of non-remunerated deposits, provided they constitute financial assets (Decree 616/05).

Communication "A" 4805. CAMEX - 1 - 607. (05.15.08).

As of 05.16.08, new provisions were published governing agreement and payment of future contracts, forwards and other derivatives carried out by the financial sector and by the non-financial private sector.

Communication "C" 50,798. (05.19.08).

The Central Bank made clear that the "leasing" shall be deemed financing for the purposes of application of foreign currency deposits’ loan capacity.

Communication "A" 4806. REMON - 1 - 831. (05.29.08).

The Central Bank reported that it shall conduct short-term active repos in US$ against Central Bank, National Government and/or BOGAR notes. To such end, it shall participate on a daily basis in the READ trade show of OTC SIOPEL, through the inclusion and/or acceptance of purchase and sale offers, under blind agreement modality, subject to certain conditions.

Communication "A" 4807. LISOL - 1 - 485. (05.29.08).

The Central Bank set forth a unified bimonthly deposit of Minimum Cash Requirements for the June-July 2008 bimonthly period.

Communication "A" 4809. OPASI - 2 - 388, CREFI - 2 - 59 and REMON - 1 - 832.

(06.06.08).

The Central Bank amended the rules governing "Savings, salary payment and special deposits" in order to incorporate the Basic Account, which was implemented as of 09.01.08.

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Communication "A" 4811. CONAU - 1 - 852. (06.11.08).

It was set forth that the provision stating that debtors having financing where at least one of the financing transactions has at least 5 years of seniority as of the date on which such financing became enforceable should be identified shall be effective as mandatory provision as of reports issued in June.

Communication "A" 4813. REMON - 1 - 833. (06.19.08).

The Central Bank amended the bimonthly deposit corresponding to June-July 2008, and it allowed computing, for such deposit, any payment surplus applicable to the June deposit if it would have been considered individually.

Communication "A" 4814. CAMEX - 1 - 609. (06.20.08).

Third party funds pending settlement were included in the General Exchange Position and maximum and minimum thresholds of the said Position were amended.

Communication "A" 4815. REMON - 1 - 834. (06.23.08).

As of 07.01.08, it was provided that the requirement on obligations arising from transfers from abroad denominated in a foreign currency other than the US$ should be imputed in US$, to the extent their term is more than 72 business hours as of the date of crediting.

Communication "A" 4816. REMON - 1 - 835. (06.23.08).

Transactions in Pesos between financial institutions and the Central Bank through the "Liquidity window for transactions with Secured Loans and/or BOGAR 2020 guarantee" were authorized.

Communication "A" 4817. LISOL - 1 - 486 and OPRAC - 1 - 614. (06.23.08).

Financial institutions were authorized to conduct between them loan transactions backed by "Secured Loans" issued by the National Estate and/or with "BOGAR 2020" Secured Notes, on a minimum 7 calendar day term, under conditions to be agreed upon.

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Communication "A" 4822. CAMEX - 1 - 610. (07.04.08).

As of 07.07.08, exemptions to access the Exchange Market in order to create foreign assets for specific purposes and to conduct direct investment transactions abroad in non-financial goods and services productive activities carried out by companies residing in Argentina were amended.

Communication "A" 4823. CAMEX - 1 - 611. (07.04.08).

As of 07.07.08, the Central Bank issued provisions relating to new customer advance payments and export pre-financing, repayment to foreign creditor of amounts collected in advance on account of export of goods and advance payment registry evidenced in debit notes issued by the exporter on account of charges arising from foreign transactions.

Communication "A" 4825. LISOL - 1 - 487. (07.04.08).

The accepted margin was increased form 15% to 25% of the Computable Equity in order that those institutions registering surpluses to credit risk fractioning limits on account of financing to the non-financial public sector arising from transactions conducted until 03.31.03 and/or from transactions carried out after this date and expressly accepted may conduct transactions -purchase and sale or intermediation transactions- with national government bonds liable to comply with the minimum capital requirement on account of market risk.

Communication "A" 4831. REMON - 1 - 836. (07.23.08).

The Central Bank made clarifications regarding Communication "A" 4817, whereby loan transactions between financial institutions backed by "Secured Loans" and/or by "BOGAR 2020" Secure Bonds were included as generally authorized transactions, under the rules governing "Pledging of assets".

Communication "B" 9309. (07.24.08).

It was reported that Banco Itaú Buen Ayre S.A. changed its name to Banco Itaú Argentina S.A. Communication "A" 4832. CAMEX - 1 - 613. (07.29.08).

China EXIMBANK and China Development Bank were incorporated as official export credit agencies. Thus, they may access the Unique and Free Exchange Market (Mercado Único y Libre de Cambios) to purchase foreign currency to be transferred abroad without complying with the Central Bank’s prior authorization requirement.

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Communication "B" 9313. (07.30.08).

By virtue of Resolution 195/08 issued by the Ministry of Economy and Production, the constitution of nominative, non-transferable and non-remunerated deposits was suspended for 30 calendar days. This was equivalent to 30% of the amount of exchange income for sales of foreign assets owned by private sector residents higher than US$ 2 millions per month and per individual or legal person of all institutions authorized to conduct exchange transactions.

Communication "A" 4834. CAMEX - 1 - 614. (08.15.08).

Effective as of 08.19.08, a series of provisions were issued referring to exchange transactions for purchase and sale of foreign currency to resident individuals and legal persons.

Communication "A" 4835. CREFI - 2 - 60, LISOL - 1 - 488 and RUNOR - 1 - 862.

(08.15.08).

As of 01.01.09, Rules Governing Prevention of Money Laundering and other Illegal Activities, Prevention of Terrorist Financing and Consolidated Surveillance were amended.

Particularly, it should be highlighted the financial institutions’ obligation to implement preventive measures to allow the depositor identification when the depositor is not the account holder, in the case of cash deposits, except where electronic means are used for identification purposes (such as credit card) or in the case of collections with counterpart in a tax account, to the extent that at the time of the deposit or through internal institution records it is possible to establish an unequivocal relationship with the final payment destination. Likewise, the scope of the term "Politically Exposed Person (PEP)" was extended to foreign government officials and representatives of foreign financial institutions not authorized to conduct business in Argentina, who shall be bound to comply with money laundering and terrorist financing prevention rules in the transactions carried out thereby.

Communication "A" 4838. OPRAC - 1 - 615, LISOL - 1 - 489, COPEX - 1 - 269 and OPASI - 2 - 389. (08.29.08).

The Central Bank authorized financial institutions to subscribe primarily share certificates and/or debt instruments issued as of 08.29.08 by financial trusts intended for infrastructure works and/or equipment stated as critical and/or of public interest whose trustee or beneficiary of the trust settlement proceeds is a holder of the non-financial public sector.

Communication "A" 4843. CAMEX - 1 - 617. (09.19.08).

Conditions to be met by foreign financing funds with regard to the non-financial private sector and to the financial sector in order to be exempted from the 30% deposit were amended.

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Communication "B" 9351. (09.25.08).

The Central Bank resolved that national government bonds’ purchase and sale transactions carried out by institutions through the Central Bank through SIOPEL BON1 trade show, shall only be carried out with deposits owned thereby or with third-party deposits, excluding those corresponding to Pension and Retirement Trust Funds (Spanish acronym AFJP).

Communication "A" 4846. CIRMO - 3 - 27. (09.26.08).

The amount of change in coins that institutions are bound to deliver at the request of their customers and of the general public was reduced to $20 (from $100). The $10,000 penalty for noncompliance was also eliminated, and it was replaced with the sanctions provided for in Section 41 of the Financial Institutions Act, provided prior summary proceedings are conducted.

Communication "A" 4847. CAMEX - 1 - 618. (09.26.08).

The Central Bank published rules applicable in the event of collection and payments from related international commerce goods and services delivered through the payment system in the local currency for the commerce among MERCOSUR member countries, especially as it refers to transactions with Brazil.

Communication "A" 4848. COPEX - 1 - 270. (09.26.08).

It was reported that Argentina and Brazil Central Banks have created a voluntary bilateral payment system in order to facilitate transactions between the two countries denominated in their local currencies, which shall be effective as of 10.03.08, and conditions to be met by financial institutions wishing to operate in the system were informed, as well as necessary operating rules and other provisions to be taken into account.

Communication "B" 9368. (10.09.08).

The Central Bank communicated some of the public and free consultation sites that may be used in order to identify individuals having political exposure abroad and within the country.

Notwithstanding this, the Central Bank site still contains the List of Public Administration Officials for consultation purposes.

Communication "A" 4850. CAMEX - 1 - 619. (10.16.08).

The Central Bank provided for that, in order that institutions may conduct exchange transactions for foreign currency sales to residents to make portfolio investments abroad, the destination of the foreign currency transfer must be an account on behalf of the customer 80

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opened in a foreign institution or in a foreign institution that regularly conducts investment banking activities.

On the other hand, it set forth that if a foreign currency net offer or demand for an amount equivalent to US$ 2 millions (before, US$ 20 millions) or more is reached per Pension and Retirement Trust Fund per month, the Central Bank’s authorization shall be required to give access to the exchange market.

Communication "A" 4851. LISOL - 1 - 490 and OPRAC - 1 - 616. (10.16.08).

The Central Bank reduced the minimum cash requirement for foreign currency deposits as of November 2008. In relation to defects of application of foreign currency resources for which a reserve must be held, some possibilities of application were incorporated, such as service providers to export or directly related to exports, provided foreign currency income flow is verified.

Likewise, during November, 75% compensation was determined for defects of application of foreign currency resources for which a reserve must be held, and 35% compensation was determined for December.

Communication "A" 4852. REMON - 1 - 837. (10.16.08).

The Central Bank decided to offer to the market, with the frequency deemed appropriate according to market conditions and to local financial institutions needs, sales options on bonds issued by the Central Bank maturing within the six (6) following months.

Communication "A" 4853. REMON - 1 - 838. (10.16.08).

The Central Bank established that financial institutions shall only conduct sales transactions with National Government Bonds in favor of the Central Bank by applying the bonds held in their portfolio at least during the last three business days before the execution of the respective transactions.

Communication "A" 4854. RUNOR - 1 - 865. (10.20.08).

Rules governing "Guidelines for operational risk management in financial institutions" were amended, authorizing the possibility that the operational risk unit or the person in charge thereof may depend on the functional level having decision making capacity in risk management issues and not only on the General Manager or equivalent authority.

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Communication "A" 4855. CAMEX - 1 - 620. (10.27.08).

From 10.27.08 until 10.31.08, provisions referring to the participation of the Central Bank in the OCT-MAE Market were amended, in particular, with relation to the calculation of the highest Computable Open Position acceptable for each authorized institution.

Communication "A" 4856. REMON - 1 - 839. (10.28.08).

Rules governing "Monetary regulation transactions. Central Bank participation in repos markets with application of LEBACs, NOBACs and Public Bonds" were amended, and it was established that the Central Bank shall authorize for financial institutions which are not MAE Agents, during the opening hours of REPO trade show, the telephone operation of active and passive repos with the Central Bank at the fixed and/or variable rates set forth from time to time for the authorized terms.

Communication "A" 4858. REMON - 1 - 841. (10.29.08).

The Central Bank set forth a bimonthly unified position for the October-November 2008 term.

Communication "A" 4859. REMON - 1 - 842. (10.30.08).

The Central Bank Financial Assistance Regime in case of lack of liquidity was amended.

Regarding the maximum assistance amount, the "nominal reduction of deposits net of assistance granted" was replaced with "the reduction of financing resources (deposits, term investments, foreign lines of credit, negotiable instruments, etc.) and of cash and cash equivalents pledged as security for the increase of margins for maintenance of foreign lines of credit, passive repos and loan transactions among institutions secured with PGs and BOGAR 2020".

The term of such assistance was extended from 90 to 180 days.

The liquidity ratio was modified, incorporating as numerator holdings of National Government Bonds having the volatility published by the Central Bank, and interfinancial loans granted. Interfinancial loans received, foreign lines of credit, and negotiable obligations were included in the denominator.

The interest rate shall be 1.35 times the BADLAR rate of private banks and 1.7 times in the case of renewal of the assistance (before, it was 6/5 of LEBAC not adjustable for the shortest term and 1 additional point for renewal).

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Communication "A" 4860. CAMEX - 1 - 621. (10.30.08).

Effective as of 10.31.08, provisions related to collection of goods and/or services exports were set forth.

Communication "A" 4861. CONAU - 1 - 864, LISOL - 1 - 491 and OPRAC - 1 - 617.

(10.30.08).

As of 10.31.08, institutions were allowed to carry forward, in whole or in part, to "Investment accounts" or to "Special investment account", national government bonds or Central Bank monetary regulatory instruments in the list of volatilities published by the Central Bank.

Communication "A" 4862. REMON - 1 - 843. (10.30.08).

The rate applicable to charges on account of payment deficiencies in pesos and in bonds and monetary regulation instruments and bonds in Pesos and of minimum capital daily requirement in Pesos was amended. The charge shall be equivalent to two times the BADLAR rate of private banks for deposits in Pesos. Before, it was the last fixed rate applicable to active repos in Pesos, provided it was not for a term longer than 30 days. As regards the charge applicable for payment deficiencies in foreign currency and monetary regulatory bonds and instruments in foreign currency, it was added that such charge shall be equivalent to two times the BADLAR rate applied by private banks in US$ or two times the LIBO rate in US$ to 30 days (this was already set forth in the previous rule).

Communication "A" 4864. CAMEX - 1 - 623. (11.03.08).

The Central Bank set forth that, as of 11.03.08, access to the exchange market by the financial institutions for purchase and sale transactions of bonds in self-regulated Stock Exchanges and Markets for own transactions or for the coverage of transactions of resident and non resident customers, shall be subject to the previous agreement by the Central Bank, whenever it is not possible to show that the transacted value has remained in the sellers portfolio at least during a period of 72 business hours as of the date of the transaction settlement.

Communication "A" 4865. CONAU - 1 - 865. (11.04.08).

The Central Bank set forth the assessment criterion to be applied by financial institutions for sales options premiums taken on monetary regulatory instruments issued by the Central Bank.

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Communication "A" 4867. CAMEX - 1 - 624. (11.05.08).

As of 11.07.08, Common Trust Funds were exempted from various limits set forth in the exchange rules.

Communication "A" 4868. REMON - 1 - 844 and OPASI - 2 - 390. (11.07.08).

The Central Bank provided for that institutions may request pre-screening of guarantees with the following assets in decreasing order of priority: mortgage loans up to 75% of the guarantee value; pledges up to 60%; promissory notes for personal loans; deferred payment checks, and negotiable instruments with public offer. 100% of instruments shall correspond to financing of the regular consumption portfolio, except in the case of negotiable obligations, where holders may be holders or consumption or commercial portfolios.

Likewise, class "A" or class "B" debt instruments of financial trusts may be pledged. The trustee shall be a financial institution or a company authorized by the CNV (National Exchange Commission), controlled by a financial institution.

Communication "A" 4871. CAMEX - 1 - 625. (11.13.08).

The Central Bank homogenized in the equivalent of US$ 2 millions per calendar month for all institutions authorized to make exchange transactions, the limit for the sale of foreign currency to individuals and legal persons residing in the country not belonging to the financial sector. Likewise, exemptions from the mandatory requirement stating the prior agreement of the Central Bank for foreign currency bills and bonds in the Unique and Free Exchange Market (Mercado Ăšnico y Libre de Cambios) on several accounts were repealed.

Communication "A" 4872. REMON - 1 - 845. (11.13.08).

The Central Bank admitted, temporarily as of 12.01.08, that financial institutions may compute, for the purposes of meeting the minimum cash requirements, the total cash they keep, the total cash in transit and the total cash in companies devoted to transportation of monies and securities.

Communication "B" 9404. (11.13.08).

The Central Bank extended from $3 billions to $10 billions the maximum amount of fixed rate active repos to which institutions as a whole may have access, limiting them in order to not exceed their percentage of participation in system deposits.

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Communication "A" 4874. LISOL - 1 - 492 and OPASI - 2 - 391. (11.19.08).

The Central Bank admitted "Deposits with incentives or compensation -which may be total or partial- in goods or services" into term deposits and investments. This new deposit option may be exercised only in Pesos.

Finally, the provision whereby it was admitted that institutions may receive term deposits with compensation payable in durables was left without effect.

Communication "A" 4876. LISOL - 1 - 493, OPRAC - 1 - 618 and OPASI - 2 - 393.

(11.21.08).

The Central Bank reduced from 25% to 20% the liquidity ratio and modified its calculation formula. In the numerator, cash and cash equivalents in Pesos were discriminated from foreign currency cash and cash equivalents. Cash and cash equivalents were exempted from payment of minimum cash in foreign currency and foreign currency interfinancial loans. As regards pledged assets or restricted assets not computed, computables were exempted to meet minimum cash requirements in Pesos. The denominator was extended, as the Central Bank incorporated the total term deposits and investments (before, it was 50% and, before, 30%) and those deposits and foreign currency interfinancial loans were exempted.

The guarantee prescreening window was also modified. The Central Bank incorporated as pre-qualifiable instruments registered mortgage bonds. In relation to deferred payment checks, 3% of the instrument nominal value shall be admitted as maximum percentage per individual, not to exceed $100,000 per drawer.

As regards pledge of financial trust underlying assets, rights arising from assignment of cash flows were included.

On the other hand, the Central Bank authorized transactions in Pesos between financial institutions and the Central Bank, secured by National Government Bonds not considered for repos with the Central Bank and admitted in OTC SIOPEL "VELI" trade show. In this sense, said National Government Bonds were rated as best preferred asset available to be pledged.

Communication "A" 4878. REMON - 1 - 846. (11.26.08).

As of 11.26.08, the provision stating that financial institutions could only make sales transactions of National Government Bonds to the Central Bank, applying for such purpose those bonds maintained in the portfolio at least during the last three business days before the execution of the respective transactions was left without effect.

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Communication "C" 52,207. (11.26.08).

The Central Bank communicated that the Federal Administration of Public Revenues observed exchange transactions registered on behalf of individuals and legal persons whose tax condition is incompatible with the transacted amounts. Therefore, and in order to conduct transactions in the exchange market, institutions supervised by the Central Bank shall use in the Central Bank Web site databases provided by the Federal Administration of Public Revenues.

Communication "A" 4880. CAMEX - 1 - 626. (11.28.08).

It was provided for that local banking institutions may have access to the exchange market without need to request the prior authorization from the Central Bank to meet their obligations undertaken in favor of non residents for financial guarantees, provided they comply with several conditions set forth in the Circular Letter.

Communication "A" 4881. CAMEX - 1 - 627. (12.01.08).

As of 12.01.08, the Central Bank provided for that commercial debts on account of goods import financing past due or pending maturity, shall maintain, for the purposes of access to the exchange market, the treatment of commercial debts in the event of extensions of due terms, provided they comply with several conditions set forth herein.

Communication "A" 4882. CAMEX - 1 - 628 and RUNOR - 1 - 868. (12.05.08).

Temporary measures were provided for regarding the transfer and settlement of bond transactions. In line with General Resolution 543/08 of the National Exchange Commission, it was set forth, as temporary measure, that institutions shall not order any transfer of bonds to accounts held in depositaries other than the Securities Clearing Corporation (Caja de Valores) or the Public Debt Instruments Registration and Settlement Center or CRYL (Central de Registro y Liquidaci贸n de Instrumentos de Endeudamiento P煤blico), or in depositors and/or commissioner accounts bearing the status of central depositary institutions abroad held in local institutions, until a three (3) business day term has elapsed to be counted as of their accreditation.

Communication "A" 4889. OPASI - 2 - 395. (12.19.08).

Limitations in force regarding the number of endorsement authorized in regular checks (up to one endorsement) and of deferred payment checks (up to two endorsements) were extended until 12.31.09.

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Communication "C" 52,397. (12.22.08).

The Central Bank made clear that the use of an ink of a color other than black for the drawing of checks and other compensable instruments shall not constitute a cause for rejection.

Communication "A" 4891. OPRAC - 1 - 620, LISOL - 1 - 495 and RUNOR - 1 - 870.

(12.26.08).

The Central Bank provided for amendments in relation to loans for micro companies and financing for Microcredits Institutions.

A special category was incorporated for micro company financing granted by means of techniques based on information and close monitoring of customers, in order that financial institutions directly finance micro companies.

A special category was also created for financing granted by banks to institutions specifically devoted to finance micro companies allowing institutions to act as "second floor bank".

Loans granted by banks to microcredits institutions were exempted from "Credit Risk Graduation" rules.

Loans granted to Microcredits Institutions and to micro companies -up to $500,000- shall receive the treatment provided to the consumption or home portfolio.

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