BCB Normative Instruction No. 501 of August 5, 2024

Resolution No. 222

BCB NORMATIVE INSTRUCTION NO. 501, OF AUGUST 5, 2024

Amends BCB Normative Instruction No. 330, of November 24, 2022, which consolidates the procedures for registering corporate information in the System of Information on Entities of Interest of the Central Bank - Unicad, as provided for in BCB Resolution No. 209, of March 22, 2022.

The Head of the Financial System Monitoring Department - Desig, in the exercise of the authority conferred upon him by Art. 23, item I, letter 'a', of the Internal Regulations of the Central Bank of Brazil, annexed to BCB Resolution No. 340, of September 21, 2023, based on Art. 85, item I, letter 'b' of said Regulations, having in view the provisions of CMN Resolution No. 5,043, of November 25, 2022, and BCB Resolution No. 209, of March 22, 2022,

RESOLVES:

Art. 1º BCB Normative Instruction No. 330, of November 24, 2022, shall enter into force with the following alterations:

“Section VII
Communication regarding corporate participations in the country and abroad

Art. 10-A. The communication regarding the allocation of new resources to dependencies located abroad and the increases in share capital in financial institutions and similar institutions participated in abroad, as provided for in Art. 7, § 1º of CMN Resolution No. 5,043, of November 25, 2022, must be carried out in the 'Occurrences' module of Unicad.

Art. 10-B. The registration referred to in Art. 10-A must be made:

I - In the case of increases in share capital in financial institutions and similar institutions participated in abroad: option 'Inclusion', 'Communication', 'Communication of Links', 'Allocation of resources abroad - Res. 5.043 art. 7 - Participations'; and

II - In the case of allocation of new resources to dependencies located abroad: option 'Inclusion', 'Communication', 'Communication of Alteration/Inclusion of Registration Data', 'Allocation of resources abroad - Res. 5.043 art. 7 - Dependencies'.

§ 1º As provided in Art. 7, § 1º of CMN Resolution No. 5,043, of 2022, the institution must communicate to the Central Bank of Brazil its intention to carry out the operations referred to in the main text with a minimum advance notice of 90 (ninety) days.

§ 2º In the registration referred to in items I and II of the main text, the 'Observation' field must be filled with detailed information about the operation, discriminating, at a minimum:

a) the identification of the foreign unit subject to the operation;

b) the expected date for the effective implementation of the operation;

c) the value of the operation in reais and in foreign currency;

d) the percentages of current participation and participation after the operation;

e) the remittance of new resources or the absorption of previously remitted resources; and

f) the justification for the operation.” (NR)

Art. 2º This Normative Instruction enters into force on the date of its publication.

ANDRÉ MAURÍCIO TRINDADE DA ROCHA

NOTE

The System of Information on Entities of Interest of the Central Bank (Unicad), regulated by BCB Resolution No. 209, of March 22, 2022, aims to maintain, in a single database, corporate information on financial institutions, other institutions authorized to operate, and natural and legal persons who are subject to some type of authorization or registration by the Central Bank of Brazil, or who are of interest to this Autarchy.

2. CMN Resolution No. 5,043, of November 25, 2022, regulates corporate participation, in the country and abroad, and the installation of dependencies, abroad, by financial institutions and other institutions authorized to operate by the Central Bank of Brazil. This Resolution establishes, in its Art. 7, the exemption of authorization from the Central Bank of Brazil for the allocation of new resources in a dependency located abroad or for increases in capital of financial institutions and similar institutions abroad, provided that these actions do not result in an increase in the percentage of participation. Furthermore, certain conditions must be met, including compliance with operational limits and minimum capital and equity requirements. To this end, the intention to carry out such operations must be communicated to the Central Bank with a minimum advance notice of 90 (ninety) days.

3. This Normative Instruction amends BCB Normative Instruction No. 330, of 2022, with the objective of establishing the procedures regarding the communications provided for in CMN Resolution No. 5,043, of 2022, through registration in the Unicad System.

5. Decree No. 10,411, of June 30, 2020, regulates the carrying out of regulatory impact analysis (AIR) as a prerequisite for the issuance of normative acts. However, in its Art. 4º, the Decree establishes the hypotheses for exemption from carrying out an AIR. This BCB Normative Instruction falls under the hypotheses provided for in items II - normative act intended to discipline rights or obligations defined in a hierarchically superior norm that does not allow, technically or legally, different regulatory alternatives; and III - normative act considered to be of low impact.

6. In view of the issuance of the normative cited in paragraph 2, it is imperative that institutions correctly communicate the allocation of new resources in a dependency located abroad or the increases in capital of financial institutions and similar institutions abroad, with no alternative other than creating a procedure for institutions to make these communications, thus justifying the classification of this Normative Instruction under item II of Art. 4º of Decree No. 10,411, of 2020. Furthermore, it is understood that the registration of this information in Unicad is the least burdensome way to make such communications, both for the institutions and for the Central Bank of Brazil, given that it is an existing System used for the registration of corporate information of interest to the Central Bank of Brazil, which also justifies its classification under item III of Art. 4º of said Decree.

7. Thus, based on the provisions in paragraphs 5 and 6, I understand that the issuance of this Normative Instruction is exempt from carrying out an AIR.

ANDRÉ MAURÍCIO TRINDADE DA ROCHA
Financial System Monitoring Department (Desig)