Circular No. 3643 — Establishes procedures for calculating the amount of risk-weighted assets in simplified form (RWARPS) under Resolution No. 4,194 of March 1, 2013

The Collegiate Board of the Central Bank of Brazil, in an extraordinary session held on March 1, 2013, based on the provisions of Articles 9, 10, item IX, and 11, item VII, of Law No. 4,595 of December 31, 1964, and Article 2, paragraph 2, of Resolution No. 4,194 of March 1, 2013,

R E S O L V E:

Article 1 The amount of risk-weighted assets in simplified form (RWARPS), as provided for in Resolution No. 4,194 of March 1, 2013, is the result of the sum of the products of cooperative exposures by their respective risk weighting factors.

Paragraph 1 For the calculation of the RWARPS amount, exposure is considered to be any item recorded in the financial statements that represents:

I - application of financial resources in assets and rights;

II - expenses or costs recorded in assets;

III - any advances granted by the institution;

IV - provision of guarantees, sureties, joint obligations, or any other form of personal guarantee for the fulfillment of financial obligations of third parties; or

V - values of contracted credits to be disbursed.

Paragraph 2 For the calculation of the exposure value, active provisions and revenues to be appropriated must be deducted.

Article 2 The value of the exposures referred to in Article 1 must be determined according to the criteria established in the Accounting Plan of the Institutions of the National Financial System (Cosif).

Sole Paragraph. In committed transactions, the value of the exposure must correspond to the accounting value:

I - of the resale, in the case of a purchase operation with a commitment to resell; or

II - of the asset subject to the operation, in the case of a sale operation with a commitment to repurchase.

Article 3 A Risk Weighting Factor (RWF) of 0% (zero percent) must be applied to the following exposures:

I - values held in cash, in national currency; and

II - investments in securities issued by the National Treasury or by the Central Bank of Brazil, except those linked to committed transactions.

Article 4 An RWF of 20% (twenty percent) must be applied to the following exposures:

I - freely movable deposits held in banking establishments;

II - rights representing the following cooperative operations:

a) net liquidity transferred as a result of the cooperative act known as financial centralization; and

b) interfinancial transfer operations in favor of affiliated cooperatives; and

III - committed transactions carried out with securities issued by the National Treasury or by the Central Bank of Brazil.

Article 5 An RWF of 50% (fifty percent) must be applied to the following exposures:

I - time deposits in financial institutions, provided they are not subject to a special regime, as well as exposures that have as their underlying asset the securities issued by them;

II - interbank deposits;

III - values of contracted credits to be disbursed; and

IV - credit operations of central credit cooperatives contracted with their affiliates.

Article 6 An RWF of 85% (eighty-five percent) must be applied to the credit operations of single credit cooperatives.

Article 7 An RWF of 100% (one hundred percent) must be applied to the following exposures:

I - investments in investment fund shares;

II - other committed transactions of sale with commitment to repurchase;

III - guarantees, sureties, joint obligations, and guarantees provided; and

IV - operations for which no specific RWF is established.

Article 8 An RWF of 250% (two hundred and fifty percent) must be applied to exposures related to values not deducted in the calculation of Reference Equity (PR), mentioned in Article 5, paragraph 2, of Resolution 4,192 of March 1, 2013.

Article 9 An RWF of 300% (three hundred percent) must be applied to exposures related to tax credits resulting from fiscal loss of income tax and negative base of social contribution on net profit, as provided for in Resolution No. 3,059 of December 20, 2002, not excluded for the purposes of calculating PR.

Article 10 For the purposes of calculating risk-weighted exposures, the following shall not be considered:

I - exposures related to assets deducted from PR, as provided for in Resolution No. 4,192 of 2013; and

II - exposures resulting from interdependence operations.

Article 11 This Circular enters into force on October 1, 2013.

Article 12 Circular No. 3,509 of October 15, 2010, is hereby revoked, effective October 1, 2013.

Luiz Awazu Pereira da Silva
Director of Regulation of the Financial System