CMN Resolution No. 4527 — Amends the Regulation annexed to Resolution No. 3,339 of January 26, 2006, which governs committed transactions involving fixed-income securities

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595 of December 31, 1964, makes public that the National Monetary Council, in a session held on September 29, 2016, based on Article 4, items VI and VIII, of the aforementioned Law,

R E S O L V E S:

Art. 1. Articles 2 and 12 of the Regulation annexed to Resolution No. 3,339 of January 26, 2006, shall enter into force with the following wording:

“Art. 2. ........................................................

..................................................................

XXII - obligations issued by the International Finance Corporation (IFC), in accordance with Resolution No. 2,845 of June 29, 2001; and

XXIII - lease letters.

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

“Art. 12. The execution, extension, or renewal of committed transactions with securities issued or accepted by affiliated institutions, as defined in Article 1, § 1, of Resolution No. 2,107 of August 31, 1994, or by institutions belonging to the same prudential conglomerate, in accordance with the Accounting Plan of the Institutions of the National Financial System (Cosif), is prohibited.

§ 1. Until December 31, 2017, the execution, extension, or renewal of committed transactions based on securities whose issuance or acceptance occurred until September 29, 2016, is admitted, observing the following conditions:

I - maximum term of twelve months; and

II - maintenance of the accounting balance related to the total of operations in an amount equal to or less than 110% (one hundred and ten percent) of the total accounting balance determined on the base date of August 31, 2016.

§ 2. Starting from May 1, 2017, the amount referred to in item II of § 1 shall be 50% (fifty percent) of the total accounting balance determined on the base date of August 31, 2016.

§ 3. The committed transactions referred to in this article must observe the provisions of Resolution No. 2,107 of 1994 and subsequent regulations.” (NR)

Art. 2. This Resolution enters into force on the date of its publication.

Art. 3. Article 2, § 4, and items I and II of Article 17 of the Regulation annexed to Resolution No. 3,339 of January 26, 2006, are hereby repealed.

                          Ilan Goldfajn  
              President of the Central Bank of Brazil