Circular No. 2.987

CIRCULAR N. 002987 ------------------ Redefines the rules for compulsory reserve requirements on resources from deposits and guarantees made. The Collegiate Board of the Central Bank of Brazil, in view of the provisions of art. 10, items III and IV, of Law No. 4.595, of 31 December 1964, as amended by arts. 19 and 20 of Law No. 7.730, of 31 January 1989, and in Resolution No. 1.857, of 15 August 1991, and in arts. 66 and 67 of Law No. 9.069, of 29 June 1995; D E C I D E D: Art. 1º To redefine the rules for compulsory reserve requirements on resources from deposits and guarantees made by multiple banks, without commercial portfolio, holding investment and/or credit, financing and investment portfolios, investment banks and credit, financing and investment companies. Art. 2º For the purposes of this Circular, the following is defined: I - Amounts Subject to Reserve Requirements (VSR) as the balances recorded in the following accounting titles of the Chart of Accounts for Institutions of the National Financial System (COSIF): a) 4.1.1.60.00-2 Deposits of Residents Abroad; b) 4.1.1.75.00-4 Compulsory Deposits; c) 4.1.1.85.00-1 Linked Deposits; d) 4.9.9.12.10-4 Contracts for Assumption of Obligations - Linked to Operations Carried Out in the Country; and e) 4.9.9.60.00-8 Resources from Guarantees Made. II - calculation base of the compulsory reserve requirement as the arithmetic average of the VSR recorded on business days of the calculation period, deducting R$2,000,000.00 (two million reais) from the sum of items "a", "b" and "c" and an equal amount from the sum of items "d" and "e", all of item I of this article. III - the calculation period begins on the Monday of one week and ends on the Friday of the following week; and IV - the adjustment date as the Wednesday of the week subsequent to the calculation period, it being understood that, if it is not a business day, the immediately following business day shall be considered. Art. 3º The compulsory reserve requirement shall be calculated by applying, to the calculation base defined in item II of art. 2º of this Circular, the same rates provided for the compulsory reserve requirement and mandatory reserve on demand resources raised by multiple banks with commercial portfolio, commercial banks and savings banks: Sole Paragraph. For the purposes of the provisions of the "caput" of this article, items "a", "b" and "c" of item I of art. 2º are equivalent to demand and notice deposits and items "d" and "e" of the same item to other resources. Art. 4º The compulsory reserve requirement referred to in this Circular must be fulfilled exclusively in cash and the resources collected shall not be entitled to any remuneration. Paragraph 1º The amounts collected on the adjustment date remain unavailable until the subsequent adjustment. Paragraph 2º In the event of insufficient compulsory reserve requirement as referred to herein, the financial institution incurs the payment of a financial cost that will be
charged in accordance with the regulations in force, applicable to insufficiency in fulfilling the requirements of compulsory reserve and mandatory reserve on demand resources. Art. 5º For the purposes of calculating the compulsory reserve requirement and the respective adjustment, the institution must inform the daily balances of items "a" to "e" of item I of art. 2º of this Circular through a specific transaction of the Central Bank Information System (SISBACEN), to be disclosed in due course. Paragraph 1º The information referred to in this article must be provided by the business day prior to the adjustment date of the respective position. Paragraph 2º The financial institution that presents the information late and/or changes it after the date provided in the previous paragraph incurs the payment of a fine as defined in the regulations in force. Paragraph 3º The financial institution whose requirement is equal to or less than R$10,000.00 (ten thousand reais) is exempt from the collection referred to herein, but is nevertheless obliged to provide the information in the manner established in this article. Paragraph 4º The financial institution whose balance in all items is equal to zero is exempt from providing the information referred to in this article, remaining in this condition as long as such situation persists. Art. 6º All financial movement of the compulsory reserve requirement provided for in this Circular shall be made by entry in the Banking Reserves account, and the financial institution must enter into an agreement for such, as provided in Circular No. 2.425, of 15 June 1994. Art. 7º For the purpose of transition to the new system, the resources collected on the adjustment date of 21 July 2000, relating to the calculation period from 10 July to 14 July 2000, shall remain unavailable at the Central Bank of Brazil until 2 August 2000. Art. 8º This Circular enters into force on 17 July 2000, when Circular No. 2.701, of 28 June 1996, shall be revoked, applying from the calculation period beginning on 17 July 2000, whose adjustment will occur on 2 August 2000. Brasília, 23 June 2000 Luiz Fernando Figueiredo Director Luiz Fernando Figueiredo Director