Central Bank Resolution CMN No. 4811 Amending Exchange Market and Correspondent Contracting Rules

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4.595 of December 31, 1964, makes public that the National Monetary Council, in a session held on April 30, 2020, based on the provisions of Article 4, items V, VIII, and XXXI, of the aforementioned Law and considering the provisions of Article 23 of Law No. 4.131 of September 3, 1962,

R E S O L V E D:

Art. 1º Resolution No. 3.568 of May 29, 2008, shall be in effect with the following alterations:

“Art. 3º ......................................................

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III - ..........................................................

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c) foreign exchange operations with clients for ready settlement up to US$300,000.00 (three hundred thousand United States dollars) or its equivalent in other currencies; and

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“Art. 8º ......................................................

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§ 5º Without prejudice to the duty of client identification provided for in Article 18 of this Resolution, in foreign currency purchase and sale operations up to US$3,000.00 (three thousand United States dollars), or its equivalent in other currencies, the presentation of documentation regarding the underlying legal transactions of the foreign exchange operations is waived, provided that in the case of operations without the participation of companies hired as correspondents, the keeping of copies of client identification documents is also waived.” (NR)

Art. 2º Resolution No. 3.954 of February 24, 2011, shall be in effect with the following alterations:

“Art. 9º ......................................................

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§ 2º ..........................................................

I - limitation to the value of US$3,000.00 (three thousand United States dollars), or its equivalent in other currencies, per operation, and in the case of purchase or sale of foreign currency in cash with delivery of the counter-value in national currency also in cash, limitation to the value of US$1,000.00 (one thousand United States dollars), or its equivalent in other currencies;

II - obligation to inform the client of the Total Effective Value (VET) of the operation, expressed in reais per unit of foreign currency and calculated considering the exchange rate, applicable taxes, and tariffs eventually charged;

III - obligation to deliver to the client a receipt for each foreign exchange operation performed, containing the identification of the contracting institution, the hired company, and the client, the indication of the foreign currency, the exchange rate, the values in foreign currency and in national currency, and the VET, as well as the identification of the payer or payee abroad in the foreign exchange operations referred to in item II of the main text;

IV - exclusivity clause of the correspondent with the contracting institution for the provision of services related to the foreign exchange operations referred to in item I of the main text; and

V - observance of regulatory provisions that govern the foreign exchange market.” (NR)

“Art. 9º-A The contracting institution must adapt correspondent contracts in foreign exchange operations in effect on July 1, 2020, to the provisions of items I, II, III, IV, and V of § 2 of Article 9 and items III and V of Article 10, by December 30, 2020.” (NR)

“Art. 10. .....................................................

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III - disclosure to the public, by the hired party, of its status as a service provider to the contracting institution, identified by the name by which it is known in the market, with a description of the products and services offered and the phone numbers of the contracting institution's customer service and ombudsman services, through a visible panel maintained in locations where services are provided to clients and users, and by other means if necessary to clarify the public, such as on their websites and mobile device applications;

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V - use, by the correspondent, exclusively of standards, operational norms, and tables defined by the contracting institution, including in the proposal or application of tariffs, interest rates, exchange rates, calculation of Total Effective Cost (CET) or Total Effective Value (VET), and any amounts earned or owed by the client, inherent to the products and services provided by the contracting institution;

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“Art. 15. .....................................................

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II - addresses of public service points, identification of their websites and mobile device applications, and respective names and CNPJ registration numbers; and

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Art. 3º Article 1 of Resolution No. 4.113 of July 26, 2012, is hereby repealed.

Art. 4º This Resolution enters into force:

I - on the date of its publication, regarding the new wording given to Article 3 of Resolution No. 3.568 of 2008;

II - on July 1, 2020, regarding the other provisions.

Roberto de Oliveira Campos Neto President of the Central Bank of Brazil