Constitution

Chile 1980 Constitution (reviewed 2021)

Table of Contents

CHAPTER XIII. CENTRAL BANK

ARTICLE 108

There shall be an autonomous body, with its own patrimony, of a technical nature, called Central Bank, whose composition, organization, functions and powers will be determined by a constitutional organic law.

ARTICLE 109

The Central Bank may only perform transactions with financial institutions, whether they are public or private. In no way may it grant to them its guarantee, nor acquire documents issued by the State, its organisms or companies.

Notwithstanding the foregoing, in exceptional and transitory situations, in which the preservation of the normal functioning of internal and external payments requires it, the Central Bank may buy during a determined period and sell, in the open secondary market, instruments of debt issued by the Treasury, in accordance with the provisions of its constitutional organic law.

No public expenditure or loan shall be financed with direct or indirect credits of the Central Bank.

However, in case of foreign war or threat of it, which will be qualified by the National Security Council, the Central Bank may obtain, grant or finance credits to the State and public or private entities.

The Central Bank will not be able to adopt any agreement which means, in a direct or indirect way, the establishment of different or discriminatory norms or requirements in relation to persons, institutions or entities that undertake operations of the same nature.