CMN Resolution No. 4,948 — Foreign Derivatives Operations by Financial Institutions

CMN RESOLUTION NO. 4,948, OF SEPTEMBER 30, 2021

Provides for the carrying out of derivative operations abroad by financial institutions and other institutions authorized to operate by the Central Bank of Brazil and the financial transfers resulting from them; amends Resolution No. 3,568, of May 29, 2008, which provides for the foreign exchange market, and Resolution No. 4,033, of November 30, 2011, which provides for the application abroad of foreign currency holdings of banks authorized to operate in the foreign exchange market and for the raising of external resources for the purposes it specifies; and revokes Resolution No. 3,312, of August 31, 2005, which provides for protection (hedge) operations with foreign financial institutions or on foreign exchanges, and Resolution No. 3,833, of January 28, 2010.

The Central Bank of Brazil, in accordance with Art. 9 of Law No. 4,595, of December 31, 1964, makes public that the National Monetary Council, in a session held on September 30, 2021, based on Art. 4, items V, VIII and XXXI, of the aforementioned Law, and taking into account the provisions of Circular No. 24, of February 25, 1966,

RESOLVES:

Art. 1 Financial institutions and other institutions authorized to operate by the Central Bank of Brazil may carry out derivative operations abroad, of any modality regularly practiced in the international market.

Art. 2 Resolution No. 3,568, of May 29, 2008, shall enter into force with the following alteration:

“Art. 8 ............................................................................................................

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§ 6 Transfers related to the trading of financial derivative instruments abroad, of any modality regularly practiced in the international market, must be carried out in banks authorized to operate in the foreign exchange market.” (NR)

Art. 2 (Revoked by BCB Resolution No. 277, of December 31, 2022.)

Art. 3 Resolution No. 4,033, of November 30, 2011, shall enter into force with the following alteration:

“Art. 1 ............................................................................................................

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V - financial derivative instruments contracted abroad, of any modality regularly practiced in the international market.

................................................................................................................” (NR)

Art. 3 (Revoked, as of December 31, 2022, by CMN Resolution No. 5,042, of November 25, 2022.)

Art. 4 The Central Bank of Brazil is authorized to issue the rules and adopt the measures necessary for the execution of the provisions of this Resolution.

Art. 5 The following are revoked:

I - Resolution No. 3,312, of August 31, 2005; and

II - Resolution No. 3,833, of January 28, 2010.

Art. 6 This Resolution enters into force on January 3, 2022.

Roberto de Oliveira Campos Neto

President of the Central Bank of Brazil