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Brazil's central bank takes on licensing process for HNW bank shareholders
Chris Hamblin
23 October 2019
Where previously an investor had to obtain a presidential decree to authorise his shareholding, the central bank has now streamlined the process. The regulator's website declares: "The Presidential Decree (No 10,029 – September 26 2019) aims to give foreign investors equal treatment with domestic investors, by establishing that — provided the compliance with regulation issued by the National Monetary Council (CMN) and BCB — the increase of participation of foreign capital from individuals and legal entities domiciled abroad may be authorised by the BCB itself. "The delegation of power to faster, promoting a more competitive environment and favoring the improvement of the quality of financial services and the cost reduction for clients." The Brazilian financial sector is regulated by: the CVM (securities), the Central Bank (prudential and financial institutions), SUSEP (insurance) and PREVIC (pensions).