Brazil’s Central Bank receives international award for open finance

RIO DE JANEIRO, BRAZIL – On June 14, the Brazilian Central Bank (BC) announced that the Brazilian Open Finance was awarded internationally, about three months after the launch.

Through the social network Twitter, the BC informed that the initiative won the Central Banking Awards 2022.

Open finance allows customers to authorize sharing their data in a standardized way with several types of financial institutions.

Based on the citizen’s relationship history with the financial system, institutions can offer better credit conditions, such as lower interest rates and longer terms for good payers.

Launched at the end of March, open finance will work as an extension of open banking, allowing data sharing only between traditional banking products.

With open finance, exchanging information between other financial services, such as accreditation, foreign exchange, investments, insurance, and pension plans, will be possible.

The award comes at a time when the development of new projects by the Central Bank is suspended because of the strike by Central Bank employees.

Besides open finance, projects such as the second phase of the Forgotten Value Withdrawal Consultation are on hold.

The release of statistics, such as the Focus bulletin (weekly survey with financial institutions), the exchange rate flow, the Savings Report, and the daily Ptax rate (average exchange rate that serves as a reference for some negotiations), were suspended or have a considerable delay.

With information from Agência Brasil

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