Normative Instruction BCB No. 321 of November 10, 2022

NORMATIVE INSTRUCTION BCB NO. 321, OF NOVEMBER 10, 2022

Amends Normative Instruction BCB No. 210, of December 21, 2021, which amends and consolidates the procedures for submitting the Trial Balance and Analytical Balance Sheet of the Prudential Conglomerate and the registration procedures for institutions that do not integrate a prudential conglomerate.

The Head of the Financial System Monitoring Department (Desig), using the authority granted by Article 23, item I, letter “a” of the Internal Regulations of the Central Bank of Brazil, annexed to Ordinance No. 84,287, of February 27, 2015, based on Article 77, item III of said Regulations, and in view of the provisions of CMN Resolutions Nos. 4,858, of October 23, 2020, 4,911, of May 27, 2021, 4,924, of June 24, 2021, and 4,950, of September 30, 2021, and BCB Resolutions Nos. 92, of May 6, 2021, 120, of July 27, 2021, 146, of September 28, 2021, and 168, of December 1, 2021,

RESOLVES:

Article 1. Normative Instruction BCB No. 210, of 2021, shall enter into force with the following amendments:

“Article 4. ............................................................................................................

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II - .....................................................................................................................

a) the individual trial balances of foreign dependencies and participations in entities abroad that are part of the prudential conglomerate; and

b) the consolidated balances of foreign dependencies and participations in entities abroad that are part of the prudential conglomerate;

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§ 1. For each foreign dependency and participation in an entity abroad referred to in item II, letter “a” of the main text, the functional currency of the investment, as referred to in Articles 7 to 9 of CMN Resolution 4,817, of May 29, 2020, and Articles 7 to 9 of BCB Resolution No. 33, of October 29, 2020, must be reported.

§ 2. The institution referred to in the main text of Article 1 that uses transaction or statement conversion, in accordance with CMN Resolution No. 4,924, of June 24, 2021, and BCB Resolution No. 120, of July 27, 2021, must report the rate used for transaction or statement conversion, considering the parity of the Real in relation to the United States dollar, through concepts and techniques of parity between currencies.” (NR)

“Article 8. ............................................................................................................

I - on January 1, 2023, with respect to Article 4, item II, letter “a”, and §§ 1 and 2;

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(NR)

Article 2. The new versions of the Layout and the Filling Instructions, valid from the January 2023 data base, are available on the Central Bank of Brazil’s website at the electronic address https://www.bcb.gov.br/estabilidadefinanceira/leiautedocumentoscrd.

Article 3. The following changes were made to the Layout and the Filling Instructions:

I - inclusion of information regarding the individual trial balance of foreign dependencies;

II - inclusion of information regarding the individual trial balance of participations in entities abroad that are part of the prudential conglomerate;

III - inclusion of a field to report the functional currency of the investment;

IV - inclusion of a field to report the rate used for transaction or statement conversion, considering the parity of the Real in relation to the United States dollar, through concepts and techniques of parity between currencies; and

V - exclusion of the consolidation percentage field (percentConsolidacao).

Article 4. The following documents are discontinued, effective from the January 2023 data base:

I - 4303 - Analytical Balance Sheet - Individual Position of Foreign Dependency;

II - 4313 - Analytical Balance Sheet - Individual Position of Foreign Corporate Participation.

Article 5. Normative Instruction BCB No. 201, of December 9, 2021, is revoked.

Article 6. This Normative Instruction enters into force on January 1, 2023.

Gilneu Francisco Astolfi Vivan

NOTE

This Normative Instruction BCB (IN BCB) amends IN BCB No. 210, of December 21, 2021, which amends and consolidates the procedures for submitting the Trial Balance and Analytical Balance Sheet of the Prudential Conglomerate and the registration procedures for institutions that do not integrate a prudential conglomerate, which is done through documents code 4060 - Analytical Balance Sheet - Prudential Conglomerate and 4066 - Analytical Balance Sheet - Prudential Conglomerate. The obligation to prepare and submit this to this Central Bank is provided for in CMN Resolution No. 4,911, of May 27, 2021, and BCB Resolution No. 146, of September 28, 2021.

2. As provided in IN BCB No. 210, of 2021, starting from the January 2023 data base, documents 4060 and 4066 will contain information on foreign dependencies and corporate participations. Therefore, this IN BCB:

(i) amends the wording of IN BCB No. 210, of 2021, to clarify that the information regarding the individual trial balances of participations in entities abroad and the consolidated balances of participations in entities abroad to be sent refers to entities that are part of the prudential conglomerate;

(ii) publishes the new layouts and the new filling instructions for documents code 4060 - Analytical Balance Sheet - Prudential Conglomerate and 4066 - Analytical Balance Sheet - Prudential Conglomerate, incorporating, from the January 2023 data base, information on foreign dependencies and participations in entities abroad that are part of the prudential conglomerate, which are currently sent through documents code 4303 - Analytical Balance Sheet - Individual Position of Foreign Dependency and 4313 - Analytical Balance Sheet - Individual Position of Foreign Corporate Participation, which will continue to be submitted until the December 2022 data base;

(iii) discontinues documents code 4303 - Analytical Balance Sheet - Individual Position of Foreign Dependency and 4313 - Analytical Balance Sheet - Individual Position of Foreign Corporate Participation from the January 2023 data base;

(iv) creates a field to report the functional currency used for each foreign dependency and participation in an entity abroad that is part of the prudential conglomerate;

(v) creates a field to report the rate used for the conversion of transactions or statements, considering the parity of the Real in relation to the United States dollar; and

(vi) excludes the consolidation percentage field (percentConsolidacao), as this information is no longer used in monitoring activities.

3. Decree No. 10,411, of June 30, 2020, regulates the carrying out of regulatory impact analysis (AIR) as a prerequisite for the issuance of normative acts. However, in its Article 4, said decree establishes the circumstances for exemption from carrying out an AIR. This IN BCB falls under three of these circumstances, namely: item II - normative act intended to regulate rights or obligations defined in a hierarchically superior norm that does not allow, technically or legally, different regulatory alternatives; III - normative act considered to have low impact; and VII - normative act that reduces requirements, obligations, restrictions, requests, or specifications with the objective of reducing regulatory costs. Thus, based on items II, III, and VII of Article 4 of Decree No. 10,411, of 2020, I understand that the issuance of this IN BCB is exempt from carrying out an AIR.

Gilneu Francisco Astolfi Vivan
Head of the Financial System Monitoring Department (Desig)