BCB Normative Instruction No. 460 of March 28, 2024

Resolution No. 222

BCB NORMATIVE INSTRUCTION NO. 460, OF MARCH 28, 2024

Amends the wording of Circular Letter No. 3,853, of December 19, 2017, and of Normative Instruction No. 389, of June 6, 2023, which detail, respectively, the accounting line items to be used in the calculation of the portion of risk-weighted assets in simplified form (RWAS5) with regard to credit risk, and the accounting line items to be used in the determination of the portion of risk-weighted assets related to payment services provided (RWASP).

The Head of the Prudential and Exchange Regulation Department (Dereg), in use of the attributions conferred upon him by art. 23, item I, letter “a”; and art. 119, item I, letter “a”, of the Internal Regulations of the Central Bank of Brazil, annexed to BCB Resolution No. 340, of September 21, 2023, and having in view the provisions of art. 11, sole paragraph, of Resolution No. 4,606, of October 19, 2017, in Circular No. 3,862, of December 7, 2017, in art. 6º, item I, of BCB Resolution No. 198, of March 11, 2022, in item IV of art. 9º of BCB Resolution No. 201, of March 11, 2022, in item IV of art. 11 of CMN Resolution No. 4,606, of October 19, 2017, and in BCB Resolution No. 202, of March 11, 2022,

RESOLVES:

Art. 1º The Circular Letter No. 3,853, of December 19, 2017, shall enter into force with the following alterations:

“Art.1º ............................................................................................................

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Sole paragraph. ..............................................................................................

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II - .....................................................................................................................

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d) 1.4.1.40.00-4 - Receipts of Documents Sent by Other System Participants;

III - the portion of credit operations carried out within the scope of the Emergency Program for Access to Credit in the modality of guarantee of receivables (Peac-Maquininhas), instituted by Law No. 14,042, of 2020, which corresponds to the values registered in account 3.0.9.83.20-7 - Emergency Program for Access to Credit (Peac - Maquininhas), minus the values of account 3.0.9.83.29-0 - Provision for losses - Peac – Maquininhas;

IV - the amounts to be received from issuers of payment instruments related to acting as an acquirer or sub-acquirer, covered by the “ADQ” component of the RWASP portion, which correspond to the sum of the accounts:

a) 1.4.1.50.10-4 Amounts to be Received Not Linked to Cessions; and

b) 1.4.1.50.20-7 Ceded Amounts to be Received; and

V - the net resources corresponding to the balances of electronic currencies maintained in payment accounts that correspond to the sum of the accounts:

a) 1.3.6.25.00-1 - TITLES LINKED TO BALANCES IN PREPAID ACCOUNTS;

b) 1.4.2.02.00-7 – CENTRAL BANK – ELECTRONIC CURRENCY DEPOSITS; and c) 1.4.2.06.00-3 - CENTRAL BANK – INSTANT PAYMENT ACCOUNT;

d) 1.2.1.10.04-3 - Treasury Financial Notes - Linked to Balances in Prepaid Accounts;

e) 1.2.1.10.06-7 - National Treasury Notes - Linked to Balances in Prepaid Accounts;

f) 1.2.1.10.08-1 -National Treasury Notes -Linked to Balances in Prepaid Accounts; and

g) 1.2.1.10.98-8 - Others - Linked to Balances in Prepaid Accounts.” (NR)

Art. 2º The abstract of Normative Instruction No. 389, of June 6, 2023, shall enter into force with the following alteration:

“Details accounting line items to be used in the determination of the portion of risk-weighted assets related to payment services provided (RWASP) by a single payment institution, by a Type 2 conglomerate, by a Type 3 conglomerate classified in segment 5 (S5) and by a financial institution and Type 1 conglomerate classified in S5.” (NR)

Art. 3º Normative Instruction No. 389, of June 6, 2023, shall enter into force with the following alteration:

“Art. 1º In the determination of the RWASP portion, related to payment services provided, referred to in item I of art. 6º of BCB Resolution No. 198, of March 11, 2022, item IV of art. 9º of BCB Resolution No. 201, of March 11, 2022, and item IV of art. 11 of CMN Resolution No. 4,606, of October 19, 2017, both of March 11, 2022, balances of accounting line items from the Accounting Standard of Institutions Regulated by the Central Bank of Brazil (Cosif) must be used.” (NR)

Art. 4º The following provisions of art. 1º of Circular Letter No. 3,853, of 2017, are revoked:

I - letters “bb”, “bc” and “bd” of item IV;

II - letters “af”, “ag”, “ah” and “ai” of item IX; and

III - letters “a” and “b” of item XXIX.

Art. 5º This Normative Instruction enters into force on the date of its publication.

RICARDO FRANCO MOURA

INFORMATIVE NOTE

Amends the wording of Circular Letter No. 3,853, of December 19, 2017, and of Normative Instruction No. 389, of June 6, 2023, which detail, respectively, the accounting line items to be used in the calculation of the portion of risk-weighted assets in simplified form (RWAS5), with regard to credit risk, and the accounting line items to be used in the determination of the portion of risk-weighted assets related to payment services provided (RWASP).

The regulation of the accounting line items to be used in the calculation of the required capital derives from the update of the prudential framework applicable to institutions that carry out payment activity, object of Public Consultation Notice 78/2020, of November 11, 2020. It is worth highlighting that CMN Resolution No. 5,049, of November 25, 2022, created the portion corresponding to the amount of risk-weighted assets related to payment services provided (RWASP), applicable to financial institutions and conglomerates led by financial institutions and integrated by at least one institution that provides a payment service (Type 1) opting for segment 5 (S5). This new portion has its calculation methodology defined in BCB Resolution No. 202, of March 11, 2022, with the wording given by BCB Resolution No. 363, of December 14, 2023.

2. Individual payment institutions and Type 2 and 3 conglomerates, also subject to the determination of RWASP and the methodology established by BCB Resolution No. 202, of 2022, already have the detail of the accounting line items to be used in the calculation of said portion. On the other hand, art. 3º, item VII, of Resolution No. 4,282, of November 4, 2013, establishes that the regulation must have as objectives the uniformity and equivalence between the prudential norms applicable to the Type 3 conglomerate and the regulation applicable to financial institutions. In this context, it is appropriate, by expanding the scope of BCB Normative Instruction No. 389, of 2023, to extend the applicability of that detail of line items to financial institutions that provide payment services and to Type 1 conglomerates, both from S5.

3. Furthermore, Circular Letter No. 3,853, of December 19, 2017, which similarly details the accounting line items to be used in the calculation of the portion of risk-weighted assets in simplified form related to credit risk (RWARCSimp), must also be adjusted. With the changes made, the accounting elements related to amounts to be received as a result of services provided for the acquirer or sub-acquirer of payment instruments covered by the “ADQ” component of the RWASP portion, and also the accounting elements related to the resources corresponding to the balances of electronic currencies allocated to Federal Public Securities (TFP), maintained with the Central Bank of Brazil and similar operations, cease to be considered as exposures. Thus, such accounting elements are confined to the scope of the RWASP portion and no longer of the RWARCSimp, as determined by CMN and BCB Resolutions that regulate the matter.

4. Regarding the regulatory impact analysis (AIR) of this normative alteration, art. 22 of Decree No. 10,411, of June 30, 2020, establishes that the obligation to prepare an AIR does not apply to proposals for normative acts that, on the date of production of effects of the Decree, had already been submitted to public consultation. As the alterations now effected are a direct consequence of the draft submitted to the Public Consultation 78/2020 process, prior to the production of effects of the mentioned Decree, there is no obligation to carry out an AIR for the present normative act.

5. Furthermore, I consider that the normative act now issued must enter into force on the date of its publication. Such urgency is justified by the need for this BCB to monitor in a continuous and timely manner the capital allocation of these institutions.

6. In this context, based on the provisions of art. 23, item I, letter “a”, of the Internal Regulations of this Central Bank, I resolve to edit the normative instruction in the form of the attached draft.

RICARDO FRANCO MOURA
Head of the Prudential and Exchange Regulation Department