BCB Resolution No. 279 — Regulates Law No. 14,286 of December 29, 2021, to provide for Brazilian capital abroad

Vote

BCB RESOLUTION NO. 279, OF DECEMBER 31, 2022

Regulates Law No. 14,286, of December 29, 2021, to provide for Brazilian capital abroad.

The Collegiate Board of the Central Bank of Brazil, in an extraordinary session held on December 30 and 31, 2022, based on the provisions of Arts. 8, 10, 11, and 18 of Law No. 14,286, of December 29, 2021,

RESOLVES:

CHAPTER I

PRELIMINARY PROVISIONS

Art. 1 This Resolution provides for the flows, stocks, and reporting of Brazilian capital abroad, understood as the values, goods, rights, and assets of any nature held outside the national territory by residents.

§ 1 For the purposes of this Resolution, direct financing, loans, and commercial credits granted in the Country to non-residents are also considered Brazilian capital abroad. (Transformed into § 1, effective from 2/2/2026, by BCB Resolution No. 521, of 10/11/2025.)

§ 2 Operations involving Brazilian capital abroad in virtual assets must comply with the provisions of this Resolution. (Included, effective from 2/2/2026, by BCB Resolution No. 521, of 10/11/2025.)

CHAPTER II

OF THE FLOWS AND STOCKS OF BRAZILIAN CAPITAL ABROAD

Art. 2 The investment of Brazilian capital abroad may be carried out in any modality regularly practiced in the international market.

Sole paragraph. Derivatives operations abroad may be carried out in any modality regularly practiced in the international market on exchanges or in the over-the-counter market.

Art. 3 The flows and stocks of Brazilian capital abroad must comply with legal requirements, and their economic justification must be observed.

Sole paragraph. The supporting documentation for the flows and stocks of Brazilian capital abroad must be kept for a period of 10 (ten) years counted from the conclusion of the Brazilian capital abroad operation, and the Central Bank of Brazil may, during this period, request it from the holder of the capital whenever it deems necessary.

Art. 4 Entities subject to specific regulation must additionally observe the regulatory requirements specific to their activities in the investment of Brazilian capital abroad.

Art. 5 Investment in the equity of a company, when made through international share contribution or other assets, cannot characterize reciprocal participations between the national and foreign companies.

§ 1 For the purposes of the caput, international share contribution or other assets is understood as:

I - the capitalization of a Brazilian company carried out by a non-resident in Brazil, through the delivery or exchange of equity participation held in a foreign company, headquartered abroad; or

II - the capitalization of a foreign company, headquartered abroad, carried out through delivery or exchange, by a resident in Brazil, of equity participation held in a Brazilian company.

§ 2 Until October 31, 2023, for the realization of investments through international share contribution or other assets, the realization of simultaneous foreign exchange operations related to the entry of external investment into the Country and the exit of Brazilian investment abroad will be required.

Art. 6 Financial transfers related to Brazilian capital abroad must be processed in an institution authorized to operate in the foreign exchange market, observing the limits and specific conditions established in legislation and regulation.

Sole paragraph. In the case of trading in derivative instruments abroad, transfers must be processed only in a bank authorized to operate in the foreign exchange market.

CHAPTER III

OF REPORTING

Art. 7 Information on Brazilian capital abroad must be provided to the Central Bank of Brazil in accordance with this Resolution, relating to:

I - equity participation in non-resident companies;

II - depositary receipts of securities (BDRs) issued by non-resident companies;

III - shares of investment funds abroad;

IV - debt securities issued by non-residents;

V - loans and financing granted to non-residents;

VI - deposits in non-resident institutions;

VII - commercial credits granted to non-residents;

VIII - real estate located abroad;

IX - virtual assets; (Wording given, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

X - derivatives traded abroad; and (Wording given, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

XI - sustainable debt securities issued by non-residents. (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

§ 1 Information relating to the following must also be provided:

I - export revenues held abroad and their use; and

II - income from Brazilian capital abroad.

§ 2 For the purposes of reporting, Brazilian capital abroad is also considered to be the assets abroad whose ownership was transferred by any arrangement, revocable or not, to a trustee agent abroad for administration in favor of specified resident beneficiaries.

§ 3 For the purposes of this Resolution, sustainable securities may be: (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

I - Green Bonds: debt securities in which the use of raised funds is restricted to financing or refinancing activities or projects that generate benefits to the environment; (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

II - Social Bonds: debt securities in which the use of raised funds is restricted to financing or refinancing activities or projects that generate social benefits; (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

III - Sustainability Bonds: debt securities in which the use of raised funds is restricted to financing or refinancing activities or projects that generate social and environmental benefits; or (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

IV - Sustainability-Linked Bonds: debt securities in which the raised funds have free destination, but the issuer commits to achieving pre-defined sustainability objectives – which improve the conditions of the environment, society, or both. (Included, effective from 1/10/2025, by BCB Resolution No. 492, of 14/8/2025.)

Art. 8 The physical or legal person resident holding Brazilian capital abroad is responsible for reporting information.

Sole paragraph. The persons responsible for reporting information in accordance with this Resolution, as the case may be, are:

I - the depositary institution of BDRs;

II - the investment fund with applications abroad, through its administrators; and

III - the resident beneficiary of the arrangements referred to in § 2 of Art. 7.

Art. 9 Reporting must be made in annual and quarterly declarations sent electronically to the Central Bank of Brazil.

Art. 10 The annual declaration must be sent when Brazilian capital abroad, on the annual reference date, total an amount equal to or greater than US$1,000,000.00 (one million United States dollars) or its equivalent in other currencies.

Sole paragraph. The reference date for the annual declaration is December 31.

Art. 11 The quarterly declaration must be sent when Brazilian capital abroad, on the quarterly reference date, total an amount equal to or greater than US$100,000,000.00 (one hundred million United States dollars) or its equivalent in other currencies.

Sole paragraph. The reference dates for the quarterly declarations are March 31, June 30, and September 30.

Art. 12 The limits established in Arts. 10 and 11:

I - in the case of residents, with the exception of those mentioned in items I and II of the sole paragraph of Art. 8, do not include:

a) BDRs;

b) shares of investment funds in the Country that possess assets abroad;

II - in the case of a depositary institution of BDRs, are calculated individually by program authorized by the Securities and Exchange Commission (CVM); and

III - in the case of an investment fund, are calculated by the total of assets abroad.

Sole paragraph. If the assets abroad of residents are held in a joint deposit account or, in any other way, belong in co-ownership to two or more physical or legal persons, each part must consider the full value of that asset for classification regarding the obligation to file the declaration, and each declarant must file the declaration only for their respective share, even if the total value declared individually is below the mandatory threshold.

Art. 13 The period for sending the annual declaration is from February 15 to April 5 of the year following the reference date.

Art. 14 The periods for sending the quarterly declarations are:

I - from April 30 to June 5 of the following year, in the case of the reference date of March 31;

II - from July 31 to September 5 of the following year, in the case of the reference date of June 30;

III - from October 31 to December 5 of the following year, in the case of the reference date of September 30.

Art. 15 The person responsible for reporting information in accordance with this Chapter must keep, for a period of 10 (ten) years counted from the reference date of the declaration, the supporting documentation used to support the information provided, for presentation to the Central Bank of Brazil, when requested.

Art. 16 The person responsible for reporting information is subject to the penalties established in legislation and specific regulation.

CHAPTER IV

FINAL PROVISIONS

Art. 17 The Central Bank of Brazil will publish on its website the Declarant's Manual containing instructions for filling out the declarations of Brazilian capital abroad.

Art. 18 The disclosure of data by the Central Bank of Brazil relating to the information provided based on this Resolution will be done in a manner that does not identify individual situations.

Art. 19 The following are revoked:

I - Resolution No. 3,854, of May 27, 2010;

II - CMN Resolution No. 4,841, of July 30, 2020;

III - Circular No. 3,624, of February 6, 2013;

IV - Circular No. 3,830, of March 29, 2017; and

V - Arts. 1 to 17 of Circular No. 3,689, of December 16, 2013. (See BCB Resolution No. 164, of 23/11/2021.)

Art. 20 This Resolution enters into force on the date of its publication.

Otávio Ribeiro Damaso
Director of Regulation