CMN Resolution No. 2874 — Provisions on the Establishment and Operation of Microentrepreneur Credit Societies

RESOLUTION NO. 002874

Dispenses with the establishment and operation of microentrepreneur credit societies.

The CENTRAL BANK OF BRAZIL, in accordance with Article 9 of Law No. 4.595 of December 31, 1964, makes public that the MONETARY COUNCIL, in a session held on July 26, 2001, considering the provisions of Article 1 of Law No. 10.194 of February 14, 2001,

RESOLVES:

Article 1. Establish that microentrepreneur credit societies are subject to authorization for establishment and operation and to supervision by the Central Bank of Brazil, observing the provisions of this Resolution and the regulations in force.

Paragraph 1. Microentrepreneur credit societies must be established in the form of a closed company, in accordance with Law No. 6.404 of December 15, 1976, and subsequent legislation, or in the form of a limited liability quota society.

Paragraph 2. The expression "Microentrepreneur Credit Society" must appear in the corporate name of the societies referred to in the caput, and the use of the word "bank" is prohibited.

Article 2. Microentrepreneur credit societies, in performing activities related to their corporate object, may grant financing and provide guarantees to natural persons, with a view to enabling ventures of a professional, commercial, or industrial nature, of small size, and to legal entities classified as microenterprises in accordance with the legislation and regulations in force.

Sole Paragraph. The activities referred to in this article may be carried out on their own account or, through a service provision contract, in the name of an institution authorized to grant loans in accordance with the legislation and regulations in force.

Article 3. Microentrepreneur credit societies may, with prior authorization from the Central Bank of Brazil, have their corporate control exercised by Organizations of Civil Society of Public Interest constituted in accordance with Law No. 9.790 of March 23, 1999, provided that such organizations:

I - develop credit activities compatible with the corporate object of microentrepreneur credit societies;

II - do not confer any management or veto power on the public sector in the conduct of their activities.

Article 4. The direct or indirect equity participation of the public sector in the capital of microentrepreneur credit societies is prohibited.

Article 5. Microentrepreneur credit societies must permanently observe the following limits:

I - minimum paid-in capital and net equity of R$100,000.00 (one hundred thousand reais);

II - debt of up to five times their respective net equity, adding the obligations of current liabilities, co-obligations from the assignment of credits and from the provision of guarantees, and deducting applications in federal public bonds;

III - risk diversification of R$10,000.00 (ten thousand reais), maximum, per client, in their credit operations and provision of guarantees.

Article 6. Microentrepreneur credit societies are authorized to carry out the following operations:

I - obtaining transfers and loans originating from:

a) national and foreign financial institutions;

b) national and foreign entities focused on development and funding actions, including Organizations of Civil Society of Public Interest constituted under Law No. 9.790 of 1999;

c) official funds;

II - application of cash availability in the financial market, including time deposits, with or without the issuance of certificates, observing any specific legal and regulatory restrictions for each application;

III - assignment of credits, including to financial credit securitization companies, in accordance with the regulations in force.

Article 7. The following are prohibited for microentrepreneur credit societies:

I - the collection, in any form, of resources from the public, as well as the issuance of securities and marketable securities intended for public placement and offering;

II - the granting of loans for consumption purposes;

III - the contracting of interfinancial deposits in the capacity of depositor or depositary;

IV - equity participation in financial institutions and other institutions authorized to operate by the Central Bank of Brazil.

Article 8. The Microcredit Service Post (PAM) is created, intended for the credit operations referred to in Article 2, with the following characteristics:

I - it may be installed in any locality by financial institutions that carry out the credit activities referred to in the caput;

II - the installation of the post does not require an injection of paid-in capital and net equity from the financial institution;

III - it may be fixed or mobile, permanent or temporary, allowing the use of facilities provided or funded by third parties;

IV - daily transactions must be incorporated into the accounting of the headquarters or any branch of the institution;

V - the operating hours may be freely determined by the financial institution;

VI - the creation and closure must be communicated to the Central Bank of Brazil within a maximum period of five business days from the respective occurrence.

Article 9. Microentrepreneur credit societies must provide information to the Central Credit Risk System, as provided for in Resolution No. 2.724 of May 31, 2000, observing the procedures currently established in the regulations in force.

Article 10. The Central Bank of Brazil is authorized to adopt the measures and issue the norms deemed necessary for the execution of the provisions of this Resolution, including:

I - altering the limits established in Article 5, items II and III;

II - establishing the conditions for the authorization and operation of microentrepreneur credit societies;

III - setting the criteria and procedures related to the accounting of the operations of microentrepreneur credit societies, as well as to the preparation and dissemination of their financial statements.

Article 11. This Resolution enters into force on the date of its publication.

Article 12. Resolution No. 2.627 of August 2, 1999, is revoked, and the citations contained in Circular No. 2.964 of February 3, 2000, and Letter-Circular No. 2.898 of February 29, 2000, are replaced by this Resolution.

Brasília, July 26, 2001

Carlos Eduardo de Freitas
Interim President