Resolution CMN No. 4678 — Provisions on the Calculation of Exposure Limits per Client by BNDES

The Central Bank of Brazil, pursuant to Article 9 of Law No. 4,595 of December 31, 1964, makes public that the National Monetary Council, in a session held on July 31, 2018, based on Articles 4, items VIII, X, XI, and XXII, and 22, § 1º, of the aforementioned Law,

R E S O L V E D:

Art. 1 This Resolution provides for the calculation, by the National Bank for Economic and Social Development (BNDES), of the exposure limits per client referred to in Resolution No. 4,677 of July 31, 2018, regarding the computation of shares acquired, directly or indirectly, from companies in the petroleum and mining sectors as a result of:

I - measures or programs instituted by federal law;

II - execution of guarantees for credit operations; or

III - investments compatible with the institution's corporate object.

Art. 2 Any excess found by BNDES relative to the exposure limits per client established in Resolution No. 4,677 of 2018, as a consequence of computing the shares mentioned in Article 1 in its respective calculation base, must be reduced gradually, observing the following schedule:

I - reduction of at least 33% (thirty-three percent), by December 31, 2021, of the excess found on January 1, 2019;

II - reduction of at least 50% (fifty percent), by December 31, 2024, of the excess found on January 1, 2022; and

III - total elimination, by December 31, 2027, of the remaining excess on January 1, 2025.

§ 1 The portion not reduced according to the provisions of the caput, items I and II, must be deducted in the calculation of Principal Capital, as provided for in Resolution No. 4,192 of March 1, 2013, Articles 4 and 5.

§ 2 The deduction referred to in § 1 must be maintained:

I - until January 1, 2025, for the portion not reduced according to the provision in item I; and

II - until January 1, 2028, for the portion not reduced according to the provision in item II.

§ 3 Compliance with the provisions of the caput, items I to III, as well as the maintenance of the deduction in the Principal Capital calculation as provided in § 2, implies classification for the purposes of exposure limits per client, as provided for in Resolution No. 4,677 of 2018.

Art. 3 The occurrence of an excess relative to the exposure limits per client implies the prohibition of BNDES contracting new operations that would result in the expansion of the verified excesses.

Art. 4 Resolutions Nos. 3,963 of March 31, 2011, and 4,430 of June 25, 2015, are hereby repealed.

Art. 5 This Resolution enters into force on January 1, 2019.

                      Ilan Goldfajn  
                       President of the Central Bank of Brazil