Circular No. 3917 — Defines and Consolidates Rules for Compulsory Deposit on Demand Resources

The Collegiate Board of the Central Bank of Brazil, in a session held on November 21, 2018, based on art. 10, items III and IV, of Law No. 4.595, of December 31, 1964, and art. 66 of Law No. 9.069, of June 29, 1995, and having in view the provisions of Circular No. 3.529, of March 29, 2011,

R E S O L V E:

Art. 1. This Circular provides for the compulsory deposit on demand resources captured by multiple banks and investment banks holding a Bank Reserves account, commercial banks, and savings banks.

Art. 2. The Value Subject to Deposit (VSR), on each business day, consists of the balances registered in the following subgroups and titles of the Accounting Plan of the Institutions of the National Financial System (Cosif):

I - 4.1.1.00.00-0 Demand Deposits;

II - 4.5.1.00.00-6 Third-Party Resources in Transit;

III - 4.9.1.00.00-2 Collection and Collection of Taxes and Similar;

IV - 4.9.9.05.00-1 Administrative Checks;

V - 4.9.9.12.10-4 Contracts for Assumption of Obligations - Linked to Operations Carried Out in the Country;

VI - 4.9.9.27.00-3 Obligations for Payment Services; and

VII - 4.9.9.60.00-8 Resources from Realized Guarantees.

§ 1. The following are exempt from the compulsory deposit on demand resources:

I - the values registered in the following Cosif accounting rubrics:

a) 4.5.1.85.00-7 Payment Orders in Foreign Currencies; and

b) 4.5.1.90.00-9 Payment Orders in Foreign Currencies - Floating Rates.

§ 2. The values registered in the Third-Party Resources in Transit rubric, subject to the requirement, are balanced with the respective corresponding assets, provided that those of predominantly debtor origin are not computed for balancing purposes.

Art. 3. The calculation base for the exigibility of the compulsory deposit on demand resources corresponds to the arithmetic mean of the VSRs calculated during the calculation period, minus R$500,000,000.00 (five hundred million reais).

Sole paragraph. The calculation period begins on the Monday of one week and ends on the Friday of the following week.

Art. 4. The exigibility of the compulsory deposit on demand resources is calculated by applying, to the calculation base referred to in Art. 3, a rate of 21% (twenty-one percent).

Art. 5. A financial institution that presents an exigibility equal to or less than R$500,000.00 (five hundred thousand reais) is exempt from the obligation to deposit, and must provide the information provided for in Art. 8 of this Circular.

Art. 6. The verification of compliance with the exigibility is done based on the positions calculated on each business day of the movement period, which begins on the Monday of the second week following the end of the calculation period and ends on the Friday of the following week.

§ 1. For the purposes of the verification referred to in the main text of this article, position is considered the daily closing balance of the Bank Reserves account.

§ 2. The arithmetic mean of the institution's positions during the movement period must correspond to 100% (one hundred percent) of the exigibility calculated for the respective period.

§ 3. At the end of each day, the institution's position must be equivalent to, at minimum, 65% (sixty-five percent) of the exigibility calculated for the respective period.

Art. 7. A financial institution that fails to observe the regulations regarding compliance with the exigibility of the compulsory deposit on demand resources incurs the payment of financial costs as provided for in the current regulation.

Sole paragraph. A deficiency in the daily position average equal to or less than 3% (three percent) of the respective exigibility will not be subject to financial costs provided that, in the immediately preceding movement period, there is an excess in the daily position average, relative to the corresponding exigibility, of a value equal to or greater than the deficiency.

Art. 8. A financial institution must provide, by the business day immediately preceding the start of the movement period, the daily data related to the calculation period.

§ 1. In cases where the deadline referred to in the main text coincides with the last business day of the calculation period, the deadline will be extended to the first business day of the movement period.

§ 2. A financial institution is exempt from providing the information referred to in this article if the values subject to deposit and others related to compliance with the exigibility and deposit deductions remain unchanged relative to the last reported position.

§ 3. In the event of the absence of information regarding one or more days of the calculation period by the end of the deadline fixed in the main text, observed the provisions of § 1, each unreported position will be assigned the value of the last reported position.

§ 4. A financial institution that reports or alters data after the deadlines fixed in this article is subject to the penalties provided for in the current regulation.

Art. 9. Financial institutions are divided into two segments, called

Group A and Group B, for the purposes of the compulsory deposit on demand resources.

§ 1. The calculation and movement periods of Group A have a one-week lag relative to those of Group B.

§ 2. The Department of Banking Operations and Payment Systems (Deban) will publish the detailed lists of institutions belonging to each group.

Art. 10. Deban will adopt the necessary measures for the operationalization of the provisions of this Circular.

Art. 11. The following are revoked:

I - Circular No. 3.416, of October 24, 2008;

II - Circular No. 3.586, of March 19, 2012;

III - Circular No. 3.632, of February 21, 2013;

IV - Circular No. 3.867, of December 19, 2017;

V - Circular No. 3.781, of January 21, 2016; and

VI - Art. 8 of Circular No. 3.823, of January 24, 2017.

Art. 12. This Circular enters into force on the date of its publication, producing effects:

I - from the calculation period of December 10 to December 21, 2018, whose compliance will take place from December 31, 2018, to January 11, 2019, for financial institutions that are part of group “A”; and

II - from the calculation period of December 3 to December 14, 2018, whose compliance will take place from December 24, 2018, to January 4, 2019, for financial institutions that are part of group “B”.

                 Reinaldo Le Grazie  
                       Monetary Policy Director