Private Banking In Brazil

According to the current policy recently adopted by the Central Bank of Brazil (Banco Central do Brasil – Bacen), the opening and functioning of representative offices of foreign banks¹ continues to be subject to the prior approval of Bacen but now is only limited to those international financial institutions that still do not have a branch or subsidiary in Brazil and would like to know the local market more closely in order to decide whether it would be convenient or not to establish a bank in our jurisdiction in the future.

The business undertaken by a representative office is and has always been severely restricted. At no time it may act as a bank or undertake banking business. It may, however, promote the services and facilities which the foreign bank offers and thereby solicit clients for the bank. Furthermore, the representative office may obtain and supply the foreign bank with information regarding a variety of matters and act as a point of contact between