Central Bank of Brazil

But undeniably, the highlight is the Fed's rate decision at 8:00 PM European time.

Later tonight we will also get announcements from the Central Bank of Brazil.

And Jan, as for today's trading session, US futures are currently in the green, so let's see if this can hold throughout the session.

Yeah.

Nobody's not looking to say, hey, you know, where should this go? Because every country.

around the world for the most part it has been observing exactly what happened so the bis announced in october 2024 that it was handing the project over to the partners and then here's the observing members so to the project denbridge so you have asian infrastructure asian infrastructure investment bank Banco Central Pilipinas, Bank Indonesia, Bank of France, Bank of Israel, Bank of Italy, Bank of Korea, Bank of Mauritius, Bank of Namibia, Central Bank of Bahrain, Central Bank of Brazil, Central Bank of Chile, Central Bank of Egypt, Central Bank of Jordan.

the list goes on and on and on so you basically go through every country the new york innovation center federal reserve bank of new york reserve bank of australia reserve bank of india south african reserve bank and the world bank but every other countries listen they're including the european central bank so everybody's an observer to it like hey what are these guys doing what's going to actually happen you know how is this going to you know function from a multi-country uh perspective uh is this going to be you know something I mean, I look at all this stuff, Chip, and I think about the euro, how complex and difficult the conversion of many countries when they joined the European Union, converting their currencies to the euro, and how many countries suffered economically as a direct result.

And then who bared the weight of it? Germany bared the majority bulk weight of supporting the EU.

Daniel, Brazil is the exception to this steady interest rate or tighter policy settings.

The central bank, Banco Central do Brasil, recently cut its policy rates by 25 basis points.

What's the outlook?

Our base case outlook here, Guias, stands for the continuation of this calibration cycle.

But here's where the mechanics get interesting.

PIX is managed by the Central Bank of Brazil.

OK.

So for consumers, it is virtually instantaneous and practically free.

What could have done better to get then, to get to more open banking adoption? We often see the UK as being quite a success.

In May, we had Central Bank of Brazil at our conference in Brussels.

They had a completely different lens on success, on what success could be of open banking.

In, in Europe, what has failed when you look at PSD2 or open banking at large?

It's a major innovation in the payment space, but more fundamentally, it's become a driver of financial inclusion in that country.

Yvette spoke with Carlos Brandt of the Central Bank of Brazil about this a while back as part of a three-episode series we did on PIX.

So we have now, for example, one... 33 million PIX users in Brazil, which accounts for more than 80% of the adult population in Brazil.

And out of this 133 million PIX users, 64 million users, so almost half of them, made its first digital transactions with PIX.