Central Bank of Brazil Instruction Normative No. 586 of January 29, 2025

Resolution No. 222

INSTRUCTION NORMATIVE
BCB No. 586, OF JANUARY 29, 2025

Amends the Filling Instructions and the Layout of document code 2061 - Operational Limits Statement (DLO), as provided for in Instruction Normative BCB No. 81, of February 23, 2021.

The Head of the Department of Financial System Monitoring – 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, published through Resolution BCB No. 340, of September 21, 2023, based on art. 85, item I, letter “b” of said Regulations, in view of the provisions of Circular No. 3,748, of February 27, 2015, of Resolutions BCB Nos. 69, of February 10, 2021, 229, of May 12, 2022, and 452, of January 21, 2025, and of Instruction Normative BCB No. 81, of February 23, 2021,

RESOLVES:

Art. 1st. The new versions of the Filling Instructions for document code 2061 - Operational Limits Statement – DLO, available on the Central Bank of Brazil’s website at the electronic address https://www.bcb.gov.br/estabilidadefinanceira/leiautedocumentoscrd, shall enter into force as of the data-base of January 2025.

Art. 2nd. The following modifications were made to the Filling Instructions:

I - in Chapter V – Tables:

a) in Table 003 – Accounts:

1. in item D – Detailing of the RWA portion related to credit risk (RWACPAD): alteration in the description of the function of account 570.10; and

2. in item H – Detailing of the calculation of the leverage ratio (RA): alteration in the description of the function of account 142.09.

b) in Table 010 – Exposure weighting factors: inclusion of code 98010100.

c) in Table 024 – Element Type: inclusion of codes 31 and 72.

Art. 3rd. The following modifications were made to the Layout:

I - in Annex 010 – Exposure Weighting Factor Code: inclusion of code 98010100.

II - in Annex 024 – Element Type: inclusion of codes 31 and 72.

Art. 4th. This Instruction Normative enters into force on January 31, 2025.

ANDRÉ MAURÍCIO TRINDADE DA ROCHA

NOTE

The Operational Limits Statement – DLO, document code 2061, whose normative basis is Resolution BCB No. 69, of February 10, 2021, reflects the prudential regulation provided for in several Resolutions issued by the National Monetary Council – CMN and by the Central Bank of Brazil – BCB, with Instruction Normative BCB No. 81, of February 23, 2021, aiming to present, in a synthetic manner, the information regarding the detailing of the calculation of the limits monitored by the BCB, as of the reporting data-base.

2. For each limit, document code 2061 contains two sets of information: i) calculation of the institution's situation; and ii) calculation of the regulatory requirement and the margin (or insufficiency) of the institution regarding the considered limit. The said document is composed of various accounts that must be filled in by financial institutions and other institutions authorized to operate by the Central Bank of Brazil.

3. Resolution BCB No. 452, of January 21, 2025, promoted adjustments in Resolution BCB No. 229, of May 12, 2022, and in Circular No. 3,748, of February 27, 2015, covering the following changes: i) in Resolution BCB No. 229, of 2022, reinsertion of the adjustment of net equity returned to regulatory capital as exposure to credit risk – RWACPAD, subject to a Risk Weighting Factor – RWF of 100%; and ii) in Circular No. 3,748, of 2015, reinsertion of the adjustment in the calculation of the Leverage Ratio – RA. In light of this, in order to adapt to the new accounting standard and the current prudential framework, it was necessary to promote adjustments in the filling instructions and the layout of the DLO.

4. This Instruction Normative BCB – IN BCB contemplates the following modifications in the DLO:

I - alterations in the descriptions of accounts 570.10 and 142.09;

II - creation of a new RWF for the adjustment of net equity returned to regulatory capital as exposure to credit risk; and

III - inclusion of new domains related to exposures not eliminated by accounting criteria and to exposures excluded from RWACPAD, but registered in RWADRC.

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 of general interest to economic agents. However, in its article 4th, the said decree establishes the hypotheses for exemption from carrying out AIR. This IN BCB falls under the hypothesis provided for in item 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.

6. In view of the publication of Resolution BCB No. 452, of 2025, which establishes adjustments in regulatory capital as exposures to credit risk and in the calculation of the Leverage Ratio, as clarified in paragraph 3, and aiming to enable institutions to correctly calculate and report the requested values, there is no other alternative than to alter the DLO, thus justifying the inclusion of this IN BCB in item II of art. 4th of Decree No. 10,411, of 2020.

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

ANDRÉ MAURÍCIO TRINDADE DA ROCHA
Head of the Department of Financial System Monitoring