Latest news with #BancoCentral
Bloomberg
4 hours ago
- Business
- Bloomberg
Colombian Inflation Slows More Than Forecast to Lowest Since 2021
Colombian inflation slowed more than expected in May to its lowest level since 2021, potentially bolstering the arguments of Finance Minister German Avila who is calling for much deeper interest rate cuts. The annual inflation rate fell to 5.05%, from 5.16% in April. That was lower than expected by analysts surveyed by Bloomberg, whose median forecast was 5.12%.
Reuters
5 days ago
- Business
- Reuters
Brazil's Pix set for next leap with launch of recurring payments
June 4 (Reuters) - Brazil's wildly popular instant payment system Pix is poised for another leap with the launch of a new recurring payments feature this month, central bank officials said on Wednesday. Since its launch in late 2020, Pix has rapidly become the leading payment method in Latin America's largest economy, surpassing cash as well as debit and credit cards. Last year it handled more than 26 trillion reais ($4.61 trillion) in transactions. Initially slated for launch last October, the new feature will go live on June 16, allowing users to authorize recurring charges with a single consent, according to the central bank, which developed and operates Pix. That will allow for automatic payments of utilities, phone bills, school tuition, gym memberships, and digital or streaming services via the new "Pix Automatico" tool. "'Boleto' will be overtaken by Pix Automatico when it comes to automatic payments," said Renato Gomes, the central bank's financial system organization director. Boleto is the traditional slip method, which moved 6.2 trillion reais last year, according to banking federation Febraban. Speaking at a central bank event in Sao Paulo to present the feature, Gomes added that existing automatic debit services via banks are also likely to be disrupted by the new tool. Companies must sign bank agreements to offer automatic debit, a process central bank regulation director Gilneu Vivan described as burdensome for small businesses. Pix Automatico will simplify the process, allowing small merchants to receive recurring payments with ease. Vivan also noted that nearly 60 million Brazilians do not own a credit card, a group that will now be able to access subscription-based services previously limited to cardholders. A study by payments platform EBANX estimates that Pix Automatico could handle at least $30 billion in e-commerce transactions within its first two years of operation. ($1 = 5.6418 reais)
CNA
5 days ago
- Business
- CNA
Brazil's Pix set for next leap with launch of recurring payments
Brazil's wildly popular instant payment system Pix is poised for another leap with the launch of a new recurring payments feature this month, central bank officials said on Wednesday. Since its launch in late 2020, Pix has rapidly become the leading payment method in Latin America's largest economy, surpassing cash as well as debit and credit cards. Last year it handled more than 26 trillion reais ($4.61 trillion) in transactions. Initially slated for launch last October, the new feature will go live on June 16, allowing users to authorize recurring charges with a single consent, according to the central bank, which developed and operates Pix. That will allow for automatic payments of utilities, phone bills, school tuition, gym memberships, and digital or streaming services via the new "Pix Automatico" tool. "'Boleto' will be overtaken by Pix Automatico when it comes to automatic payments," said Renato Gomes, the central bank's financial system organization director. Boleto is the traditional slip method, which moved 6.2 trillion reais last year, according to banking federation Febraban. Speaking at a central bank event in Sao Paulo to present the feature, Gomes added that existing automatic debit services via banks are also likely to be disrupted by the new tool. Companies must sign bank agreements to offer automatic debit, a process central bank regulation director Gilneu Vivan described as burdensome for small businesses. Pix Automatico will simplify the process, allowing small merchants to receive recurring payments with ease. Vivan also noted that nearly 60 million Brazilians do not own a credit card, a group that will now be able to access subscription-based services previously limited to cardholders. A study by payments platform EBANX estimates that Pix Automatico could handle at least $30 billion in e-commerce transactions within its first two years of operation.
Reuters
5 days ago
- Business
- Reuters
Colombia inflation likely slowed in May, but up in full-year 2025: Reuters poll
BOGOTA, June 4 (Reuters) - Colombia's consumer price increases likely slowed slightly in May thanks to reduced pressure on food costs and the appreciation of the peso currency, a Reuters survey showed on Wednesday, though inflation expectations for 2025 overall grew. According to the median estimate of the 19 analysts surveyed, inflation likely rose 0.4% in May, below the 0.66% rise in April. Projections ranged between 0.15% and 0.54%. "During May there were pressures on services associated with the continued indexation of rents, also of regulated goods, especially public services," said Carlos Alberto Velasquez, head of economic investigations at Alianza brokerage. "However, pressures on food and goods were kept contained in response to the favorable behavior of the exchange rate," he added, referring to the 2.86% appreciation of the peso against the dollar. If analysts' median prediction is met, 12-month inflation through May will have reached 5.12%, well above the central bank's long-term target of 3%. Inflation expectations for the close of this year were up in the poll to 4.8%, from 4.55% in the previous survey, which would mark the fifth consecutive year of annual inflation being above the target. Expectations for the close of 2026 were also up in the poll, to 3.75%, from 3.61% in the previous survey. Inflation was a top factor in the April decision by Colombia's central bank board to cut the benchmark interest rate by 25 basis points to 9.25%, surprising the market. Inflation figures for May will be published on June 9.
Reuters
28-05-2025
- Business
- Reuters
Brazil's debt issuance cost rises to highest level in more than eight years
BRASILIA, May 28 (Reuters) - The average cost of Brazil's domestic debt issuance rose to the highest level in more than eight years, Treasury data showed on Wednesday, as elevated interest rates and persistent inflation continue to weigh on the country's debt profile. The cost reached 13.05% in April, up from 12.61% the previous month and the highest since January 2017. Local currency debt accounts for 96% of the total public debt in Latin America's largest economy. Brazil's debt burden is under pressure from high interest rates - nearly half of the public debt is linked to the Selic rate - as well as persistent inflation, which has long remained above the 3% target, making inflation-linked bonds more expensive. The central bank has raised interest rates by a total 425 basis points to 14.75% since it began a tightening cycle in September to curb sticky inflation. Annual consumer prices reached 5.40% in mid-May. According to Treasury data, Brazil's total public debt stock, including external debt, rose 1.44% in April from the previous month to 7.617 trillion reais ($1.34 trillion). Gross debt issuance totaled 204.6 billion reais, while redemptions reached 164.6 billion reais, resulting in net issuance of 40 billion reais. The debt stock was also impacted by 68.3 billion reais in interest payments, the Treasury said. Year-to-date, Brazil's public debt has increased by 300.6 billion reais, driven by 259.4 billion reais in interest payments and net issuance of 41.2 billion reais. ($1 = 5.6894 reais)
