BRZ CB Liquidity Financial Lines

On Mar. 27, BRZ CB provided liquidity financial lines and operations.

  • BRZ CB issued Resolution 374 to provide its liquidity financial lines (LFL) and approve the regulations that govern their operations, approval forms noted in Annexes I to IV.
  • Follows BRZ CB Jul. 2021 issuance of Resolution 110 to establish LFL, see #110378.
  • Liquidity Financial Lines
  • Annex I provides object, modalities, access, contracting, etc. for the loan operations.
  • Annex II regulates the admissibility, eligibility, pricing, discounts, etc. for debentures, commercial banknotes, and Annex III addresses credit operations and credit limits.
  • Annex IV provides financial limits of credit, withdrawal of guarantee limits, procedures.
  • Allocation of financial limits for Term Liquidity Line (LLT) depends on prior performance of homologation tests needed to determine LFL qualification in financial institutions.
  • By Jul. 1, 2024, LFL Participants who have not completed adhesion and homologation tests are temporarily considered inactive participants and cannot conduct operations.
  • Effectiveness
  • Regulatory provisions re article 7 in effect on Jul. 1, 2024; Resolution 110 is revoked.
  • Resolution enters into force on May 2, 2024, subject to the provisions of item II.

Regulators BRZ CB
Entity Types B/D; Bank; CU; IA; Inv Co
Reference Res 374, 3/27/2024; Rpl Res 110/2021
Functions Financial; Legal; Operations; Reporting; Risk; Treasury
Countries Brazil
Products Banking; Deposits; Fund Mgt; Loan; Payments
Regions Am
Rule Type Final
Rule Date 3/27/2024
Effective Date 5/2/2024
Rule Id 206296
Linked to Rule :110378
Reg. Last Update 3/27/2024
Report Section International

Last substantive update on 03/30/2024