Open banking in Brazil: the structuring rules of an open financial system begin to emerge

The Central Bank of Brazil issued the Directive n. 4.032/2020, which establishes the initial structure responsible for the governance of the open banking implementation process in Brazil.

The new Directive stipulates that the initial structure responsible for the Brazilian open financial system’s governance must be private, non-profitable, and comprise the strategic, administrative, and technical levels. It also sets forth the responsibilities concerning these levels, which will be held by a Board of Directors, a Secretariat, and Technical Groups.

The regulatory framework concerning open banking in Brazil is being constructed with society’s active participation through public consultations, adding to the legal certainty needed in reliable business environments.